Why Teaming with a Prime is a Great Opportunity

For small businesses and businesses new to the government’s contract arena, teaming with a Prime may be your best avenue for developing business.  It’s your company’s opportunity to get some on-the-job experience selling products or services in a large playing field, which you may not have considered tackling on your own.

There are several teaming vehicles for small businesses; Federal Programs embrace Mentor Protégés, where 8(a) companies are qualified to team with a major Prime.  The objective is to nurture the small business, sharing technology and methods of doing business with the government.

Set asides programs, solicitations and subcontracting opportunities for small businesses are listed online at various government business sites.  In most cases, it’s the responsibility of the small company to do the research, identify your business models and locate a match for teaming.

On occasion the Prime comes looking for the small company with core competencies to add value to the contract.   The bottom-line, the teaming has to be a WIN WIN WIN for the government, the Prime and the small business.

It’s important to be prepared, since teaming can propel your company into the next stage of business with the government.  The questions of the day is where do you look, who do you ask and how do you prepare for doing business with government?

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Promoting GSA Schedule Awards

You’ve worked hard, followed all of the guidelines and received your first GSA schedule award.  Now what to do with it?  You need to promote your company services or products;  develop regular marketing strategies, contact government agencies buying your type of service or product.

Doing business with government requires contact.  Holding a GSA contract award is the approval to sell to the government, as they have a need to purchase the product.  Do the research and locate the authorized contacts for purchasing your product.

Always keep in mind when doing business with government, they are looking at the company’s performance, quality of product, best pricing and on-time delivery.  As a small business owner you need to deliver excellent services or products.

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Understanding Small Business Size Concerns

Small business programs and set aside opportunities are business strategies for small companies to establish a long term relationship into doing business with government.   Business owners and business development personnel need to be aware of small business classifications before submitting a bid.

SBA’s standard for determining business sizes is based on two factors; the number of employees over the past year, or the average amount of annual receipts over the past 3 years.  These business aspects are required to include any subsidiaries and affiliates related to the enterprise.  The assessment uses the largest number from the two factors to determine, whether or not your company is a small business matching the solicitation or contract classification.

The guidelines are stated in the “Table of Small of Business Standards”:

  • Small businesses - not to exceed 500 employees for manufacturing or mining industries or an average of no more than 7 million dollars for nonmanufacturing industries.
  •  Computer industries - not to exceed receipt amounts of 25.5 million dollars.
  • The highest allowable small business receipt average  – not to exceed 35.5 million dollars.

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The Importance of Past Performance Measurements

Past performances (PP) are part of the government’s evaluation in determining a contract award to your company.

Like the government this information should be stored in the company’s database.  The awards are the company’s badges of honor for providing excellent services to the government.

PP information stored in government data bases are used to verify and validate a company’s claim to the contract.  The goals are positive feedback demonstrating the company’s ability to meet government contract terms, conditions and performance.

These are deliverables and essential to receiving future government awards, and developing a long term business relationship.  It’s known as customer satisfaction and well worth the value to a small businesses looking to achieve success in business with government.

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Knowing the Benefits of ISO 9001

So what are the benefits of ISO 9001?  Customers looking to do business for the long term when companies are accountable and sustain quality products consistently.

A proven Quality Management System (QMS) is an obligation of management throughout the business organization.  It’s a directional guide for the company’s internal customers, helping to define the roles and responsibilities of employees.

In today’s market having an QMS, ISO 9001 compliance in place makes a statement of the company’s commitment and ability to provide measureable business.  It sends a message that standards are not only met, but maintained.  For many businesses these credentials increase service and product values to the purchasing customer.  Compliance generates customer satisfaction, leading to repeat business.

An ISO 9001 certification make be the deciding value after technical competence and price considerations for many clients looking to purchase your service or product.

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What are BPAs – Blanket Purchase Agreements

BPA – Blanket Purchase Agreement is another form of government contracting.  Like other purchasing formats BPAs eliminate the need for the government to search and price compare in the open market arena.  The government uses BPAs for repetitive orders from an awarded supplier or contractor.

It’s important to understand that BPAs are linked to the GSA Schedule terms and conditions.   BPA awards provide the government buyers with approved business links to establish ongoing purchases of services or products.  Depending on the limitations of the BPA, businesses may have the ability to sell their services or products to other participating government offices in the system across the USA.

Businesses may also identify additional discounts with specific levels of purchase.  This approach to business may entice the government to take advantage of additional cost savings.  Critical for the small business is to ensure discount amounts are competitive and profitable for the company.

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Why IDIQ – Indefinite Delivery Indefinite Quantity

IDIQ – Indefinite Delivery Indefinite Quantity are government contract forms requesting supplier to provide services or products of an indefinite quantity during a fixed time-frame.  IDIQs are used requirements for specific services or products have not been predetermined over the project’s life-cycle.

The government knows that they need the services or products, but haven’t been able to determine how many.  IDIQs are the solution for the government to be able to request these services or products as needed from the awarded supplier.

The benefits for the government is an approved supplier resource for a specific service or product, ensuring a manageable delivery time.   The awards are generally based on a minimum and maximum quantity amounts for the supplier to be able to make a bid or no bid decision.

Small businesses are able to make a decision of the contract’s value based on the potential dollar costs for services or the number of units for products to be delivered.

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Small Business Solicitations on the GSA Schedule

When small businesses think about doing business with the government, the first thought that comes to mind is generally a contract award.  More than three quarters of the businesses doing business through GSA Schedules are small businesses.

These small businesses have taken advantage of doing business with the government through this business vehicle. The GSA Schedule expedites business for the small businesses and government agencies authorized to make purchases in this arena.

Did you know there are small business and socio-economic set aside opportunities within the GSA Schedules?  In support of the small businesses the GSA administration encourages agencies to consider small businesses when placing orders.

Find out what it takes to be one of the small business Schedule holders providing commercial products and services?  Have you completed the preliminary registrations?

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NAICS Women-Owned Small Businesses (WOSBs) Under Represented

Is your company listed as one of the NAICS industry codes where Women-Owned Small Businesses (WOSBs) are under represented in the federal contracting arena? Did you know that Economically Disadvantaged Women Owned Small Businesses (EDWOSBs) can take advantage of two set asides falling under these NAICS for opportunities to bid on federal contracts?

Here’s an opportunity for you to tell me what your business does, specific certifications and the NAICS codes you would like to use in pursuing business with the government.

Simply go to the Small Business or WOSB tab located on the HOME page and send a reply with your information.  You will be sent notifications with matching NAICS.

Check out the latest posts, there are two recent solicitations from the government contracts; one for small business and another set aside for 8(a).

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Set-Aside for Total Small Business

Here’s a an equipment solicitation for a Small Business Set Aside.  Only qualified small businesses can take this opportunity to build a relationship with the Army Reserve Contracting Center on the West Coast.

USAR are looking to purchase OMR Software and Hardware with an anticipated 30 day delivery.

  • MICC – Presidio of Monterey (RC – West), Seaside, CA
  • Solicitation: W9124N-12-T-0014
  • NAICS Code: 334119 – Other Computer Peripheral Equipment Manufacturing

In order to particpate small businesses must be registered in the CCR database to proceed with an award. Small business contractors registered in the CCR should already have a Data Universal Numbering System (DUNS Number).

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