Small Business Hacks To The Lucrative World Of Government Contracting

Why Work For The Government?

There are many compelling reasons to work for the Federal Government.  We will go into in-depth detail about how a small business can benefit greatly from being a government contractor.

Being A Government Contractor Is A Great Way To Make Your Business Stand Out In An Overcrowded Field

Business can be very competitive. Working on government projects is a great way to make a mark in an oversaturated market. The government has a great deal of work specifically set aside for small businesses.

Also, many small businesses often do not want to deal with the hassle of working with the government, and sometimes there can be surprisingly little competition for a government project. That is why utilizing Sam Directory to handle all the confusing registration requirements is a very smart investment. 

So, How Does A Small Business Successfully Start Relationships With Key Government Contractors?

The first step is to become familiar with the government marketplace. Do your research and become familiar with the terms that are commonly used in that industry. Then study the different regulations and become certified with the government, if necessary. You could also attend government trade shows to better understand the needs of particular government and state agencies. This will help you identify the needs of prime contractors and any niches that your business could fill.

The First Step Is Registering With SAM

To do any business with the federal government, you must register your business in the System for Award Management directory. The government will not hire any type of business (large or small) that has not registered in the SAM directory.

Please read one of the helpful blog articles on our site like Everything You Need to Know About SAM for Small Businesses.  These blogs will help give you all the information you need to understand how we can help make the process very easy for you. Sam Directory will happily guide you through this often confusing process.

What do I need to register for the Sam Directory?

You will need the following :

  • A Data Universal Numbering System or DUNS from Dun and Bradstreet
  • Your Tax Identification Number or TIN
  • A Social Security Number if you are a Sole Proprietor.

SAM Directory Can Help

Remember, registering for the SAM directory gives a business automatic entry into the extremely lucrative marketplace of the federal government. It is also a crucial step for applying for rewarding government grants that can help your business reach its full potential.  Let us, the professionals at SAM Directory, make sure that you do all that is needed to not miss out on this important opportunity. We will make certain that your application is processed quickly and efficiently so you can start being a federal contractor as soon as possible. We remove this hassle so you can go about the important mission of running your company. Stay tuned for the next article in this series.

Make Sure You Establish A Good Business Reputation

We have already mentioned that a certain number of federal contracts are always set aside specifically for small businesses. The Small Business Administration or SBA has reported that the United States government buys almost $100 billion worth of goods and services just from small businesses each year. This large amount does not even include the money spent on contracting at the state or municipal levels.

Try to establish a network of government contacts at various agencies. These contacts can often serve as invaluable advocates for your business. They can also give you advice on how to navigate the bidding process. After you receive awards, make sure you work hard to establish a track record of reliability and success.  

Innovation Is Key

The government needs to be very careful about how they handle money that is provided by taxpayers. They are tasked with making sure that things go smoothly and no unnecessary risks are taken. This is a great opportunity for a small business that prides itself on finding innovative solutions to age-old problems.

The United States government is open to fresh perspectives and ideas that can streamline their systems or save them money. Do not be afraid to think outside the box when you bid for government contracts. Your new ways of doing things could be just the thing to make you stand apart from the other companies vying for the same opportunity. They are particularly keen to listen to ideas that have been proven in the private sector.

Flex Your Expertise

This is not the time to be shy about your business’s accomplishments. Being a small business does not automatically mean that you are the underdog in the competition.

Bigger is certainly not always better.  Small businesses can often prove to be more agile, efficient, and have better response times when compared to their larger counterparts. A larger organization might not have the flexibility to pivot the way it can, which allows small businesses to be able to think on their feet during crises. Smaller companies can also provide more personalized customer services which is something all consumers appreciate.

Narrow In On The Customer’s Needs

At the end of the day, the United States government is a customer just like any other. However, this customer has deep pockets and unlimited needs. A small business can cater to the government by following a strategy in which the customer’s needs always come first. Identify what the government agency’s pain points are and then offer them your innovative solutions to their problems. This type of discipline always wins big points with the government.

Understand The Chain Of Command

In the private sector, you might have a boss or manager that you report to daily. The chain of command is usually very straightforward. In the world of government contracting, you might have several people to report to, including managers from other contracting companies. There can be a steep learning curve when it comes to managing the expectations of several government employees at once. 

However, there are endless opportunities and one can gain priceless experience by working with several agencies. Many departments in the federal government contain hundreds of agencies. These places have a wide variety of needs that can easily be filled by small businesses. Working with one agency often opens the door to other departments, making the scope of opportunities endless.