Government Contracting Secrets Straight from the Pros

Every year the procurement scorecard from the Small Business Administration shows a consistent growth in the number of small businesses receiving prime government contracts. In the first three quarters of 2013, nearly $70 of U.S. government contracts were available. StateAndFederalBids alone has tens of thousands of live and active bids regularly updated and hundreds of thousands of archived bidding opportunities in their database—all of these are supposedly within your business’s easy reach.

Learn the secrets of the government contracting market from the experts themselves:

• Take the baby steps with subcontracting. Experts advise businesses to always start small and easing into government contracts with subcontracting. Large companies with a General Services Administration Schedule contract are always required by law to have a portion of their work subcontracted to small businesses. The GSA and SBA websites have a full discussion on these opportunities.
• Meet all requirements consistently. Experts suggest that small business owners should be meticulous about reviewing every single requirement of the government agency and every detail of their proposal. The slightest oversight (even in the formatting) can cost a business the chance of winning a contract. With the bidding evaluators receiving hundreds of proposals for every solicitation, it is important that he finds the most significant information and figures in your bid without any unnecessary difficulty.
• Have an adequate and organized internal system. Experts always emphasize the need for an adequate internal system complete with an excellent accounting system and clear regulations and processes—as the lack of which can actually decrease a business’s chance of winning a government contract. Any business looking to secure a government contract needs to be well equipped to accurately gather, allocate, distribute, and document all costs, expenses, etc.
• Be open-minded about the business and learn from your mistakes. There is no use whining or complaining when you don’t get to win as many contracts as you wish or simply getting awarded one contract for that matter. Immediately evaluate your proposal and inquire from the contracting officer and other authorities on what you did wrong and what the winning contractor did right so that the next time you’re up to bid for some other contracts, you’ll know exactly what to do and be finally successful at it.

Our excellent team of researchers at StateAndFederalBids ensures you that we give you nothing less than the freshest and newest listing of government bidding opportunities every day with our customized notification emails straight in your inbox and smartphones.

Government Contracting: Tips, Recommendations, and More

It should go without saying that it is critical that you really know the product you are delivering or the service you are rendering and that you completely understand the procedures when you are in the government contracting business. It is also vital to keep the following in mind:

• When starting in the government contracting industry, the smartest first thing to do is to register on the Small Business Administration’s PRO-Net database and join the network of the OSDBU or the Office of Small and Disadvantaged Business Utilization.
• The government conducts business through contracting officers. Only these authorized agents have the power to bind the government, unless formally advised otherwise. But while they have been given such reign in the business, they too have limits so you need to ensure that you are dealing with the right person with the right authority.
• Never deliver something different (regardless whether it’s better or bigger) that the one specified in the contract. Any deviation from the specifications listed may cause the government to reject the deliverables, which can be very costly for you and your business.
• Establish a strict schedule to follow for the production of your deliverables to ensure that you have everything under control—from procuring your materials to subcontracting to quality checking—and that delivery of the product or service is made on the specified time. If you feel like you will not be able to meet some schedule, immediately notify the administration office and wait for the recommendation or advice on what best to do next. Remember that your inability to deliver on time gives the agency the right to cancel the entire contract—again, a scenario that you will most likely be the most disadvantaged party.
• It is no secret that the government contracting business has long been used as a means to advance many different social, national, and economic objectives. As a contractor doing business with the government, you are required to act in accordance with the various labor laws such as Contract Work Hours and Safety Standards Act, the Service Contract Act, and other similar laws that promote such objectives (of course, except for those contracts where these statutes are non-applicable.
• Familiarize yourself with the contract provisions detailing the integrity of the government contracting process, such as the clause on “gratuities,” the provisions on the “officials not to benefit,” the section on “anti-kickback,” and many more.
• It would work to your business’s advantage if you can learn to be e-commerce savvy if you intend to do business with the federal government. This is because some government agencies, such as the Department of Defense, will require electronic transaction of payments, among others.
• In the event that disputes between you and the contracting officer occur, federal contracts have provisions that enumerate the procedures to following in order to resolve disputes. If you think and feel that a contracting officer may have issued a decision that you are not in agreement with, you should be able to immediately make an appeal to the Board of Contracts Appeal or the decision will be considered final and irrefutable.

What Not to Do When Preparing Your Bid

You should be warned that looking to establish a name in the government contracting business is not a walk in the park. Preparing the bid proposal alone can prove to be very stressful especially for those businesses taking their first few steps. With so many requirements to be accomplished and a long list of people involved in the process, committing a few errors here and there should not be a surprise. So here are some reminders on what you should avoid when writing that very important proposal:

• Do not start writing your bid without doing your research first. How well do you know the agency awarding the contract? How well do you know your competitors? Is your business up to par to deliver the agency’s requirements? Understanding the market and the players in government contracting should be your initial step in this business endeavor.  
• Do not leave out any required information. It should go without saying that since you’re preparing a very important document, double-checking the entire proposal is a must. Being a newbie in the government contracting business should not be an excuse for you to omit information especially those blanks labeled “required.”
• Do not provide inaccurate price quotes or make major mistakes in your calculations. Remember that you will have to provide evidence of the prices you are claiming to go with your products or services so every single item (be it a delivery fee, a product cost, or a service charge, etc.) should be accurately quoted. Make sure to double-check all calculations involved in your proposal and all numbers are correctly inputted.
• Do not stray away from the regular bid package format or miss listing critical information in their proper place in the bid proposal. While it could be cumbersome to be answering every question or filling every blank in the bid forms, you would be doing the evaluators a big favor if you keep up with the norm and help them find all that they’re looking for in just the regular places in the bids.
• Do not miss the deadline. Because your bid proposal is your ticket to being able to participate in the lucrative business of government contracting, common sense should dictate that you set aside ample time for you to prepare and submit a well-prepared bid proposal. Your timeline for bid proposal preparation should always include extra time to accommodate those unexpected delays. Note that missing the submission deadline alone can be one big reason for the evaluator board or agency to disqualify you and reject your bid right away.

StateAndFederalBids keeps your business up to date with the latest in the government bidding market and equips you with intelligence solutions to ensure your growth in the industry.

Know the Common Myths in Government Bidding

Every day thousands of businesses take their chances in bidding and hopefully winning a contract from the biggest spender in the whole world: the government. It is important to note however that it is not enough that you know the basics of government bidding to become successful in the industry. Here are the most common myths about the market that you need to look into so as not to be misguided:

• Government contracting is only for big businesses. Companies big and small can vie for the thousands of government bids posted regularly. In fact, thanks to the Small Business Administration, the U.S. government provides full support for small businesses, minorities, and women-owned companies across the nation in taking part in the government contracting business. If you are looking into entering and expanding in the industry, get an account at StateAndFederalBids to get help.
• Government contracts only go to the lowest-priced bids.  While the price or the cost of the bid is weighed in choosing the contract winner, it only accounts for 40% of the criteria. The decision-making process is also largely influenced by other factors including the company’s contract history, the business’s post-sale service, etc.
• Government contracting involves a lot of paperwork. While it may be true
  that the regulations covering the government contracting business require a lot of documents to be submitted, it ensures that a fair process is observed by and for all the companies involved, making it a relatively small price to pay for the all benefits that come with it.
• Government agencies do not pay on time. While payment arrangements were a problem in the past, modern-day processes have now been set to ensure that contractors are promptly paid right after work is successfully completed.

StateAndFederalBids offers the government contracting market the largest database of local, state, and federal government bids, where companies across the country may search and find the right contracting opportunity that ideally suits their profiles and needs.

  

Marketing Research 101: Helpful Tips to Keep in Mind

When done properly, a market research will give a business an advantage as it will help determine new products or services that can bring in more profit. A market research also helps evaluate whether companies are able to meet their client’s needs and preferences on existing products and services. Small business owners owe it to marketing research that they are able to identify any critical business issues that they need to immediately address, any additional product or service that they should start providing, any tweaking of package designs that they need to implement, or any modifying of service methods that they need to undergo to better serve their clientele base.

Why Conduct a Market Research

An excellent market research will show your business who your customers are, where to find them, and when or how they will most likely buy your products or avail of your services. The results of your market research will serve as your foundation in creating an effective business marketing plan or an efficient gauge to evaluate the success of your existing plan. When done poorly, a marketing research can spell the downfall of your entire business.

Primary versus Secondary Research

A primary market research aims to gather information by way of analyzing the efficiency of the current business practices and the current financial status of the company. It is also aimed at getting to know about the competition and how they work as opposed to your business processes. Here, research can be done through surveys, interviews, questionnaires, etc.

The secondary research, on the other hand, is carried out to evaluate data that has already been published. The results of the secondary research can be used to determine your targeted demographics, recognize competitors, outline your business benchmarks, etc.—all of which are aimed at

Research Tips to Keep in Mind

While conducting secondary research can be very useful, relying solely on its results may put your business at a disadvantage. Do not miss out on other relevant factors that are relevant to business growth; make sure to do your primary research as well.

Do not limit your sources to those that you can find online. Using the common search engines for your market research will limit your information to those available to the general audience and may not be accurate for your business. For an in-depth research in your targeted customer line, you should use more specific resources such as your local small business center, the local library, etc.

Talk to real customers. Ask them what they need and what they expect from your products and services. Small business owners have the tendency to survey only the people they know—family, friends, colleagues—who aren’t necessarily the best subjects to interview.

StateAndFederalBids is your one-stop shop solution for all your market intelligence needs to learn and grow in the government contracting business.

Winning the Contract: How Ready Are You?

So you were awarded the contract. Do you know exactly what to do and where to go next? How ready are you to handle the next few steps and carry out the responsibility that you have in your hands?

First off, it is important to know the fact that the ball is now in your hands and that now is the right time to start to fulfill the requirements specified in the contract—it could be to put up a structure, render a service, of provide a product.

While it is impossible to come up with the complete list of tips and techniques to help you gear up for taking the responsibility of being the contract winner, here’s a comprehensive list of must-dos once you get that contract in your hands. And although one can say that the items should be obvious (and with common sense, should be readily understandable), many start-up companies and small businesses normally fail to get off the ground simply because they seem to take the obvious for granted and fail to do them.

• Make sure that you completely understand the contract. As tiresome as it can sometimes get with everybody reminding you about reading the contract, it is one big and critical thing to do so over and over again. Make sure that you understand in detail all the provisions indicated: the project requirements, the deadlines and delivery dates, the documentations requested, and other specifications.
• Take note of all the important contacts. Make sure to have a complete and clear record of the contact details of important people in the contract. Include their full names, addresses, contact numbers, and e-mail addresses. Have these details for the contracting officer, the administrative officer, the government inspector, etc. You should also find contacting the local Defense Contract Management Agency helpful especially if you’re working on a military contract.
• Work as specified by the contract. Do not work outside the provisions indicated in the contract. Any special instructions must specifically come from the procurement officer or the administrative contract officer. You will be held liable for any consequence or cost that may result from taking any action outside of those specified in the contract.
• Find immediate resolution for any problem or question that you may have with the contract. Immediately contact the designated officers for any queries and inconsistencies that you may find in the contract. Ensure that you have all lines of communication open and that you establish a professional relationship with your colleagues right away. Do not hesitate to request for assistance for anything that does not meet your understanding.
• Have every process and procedure well documented. While we live in this so-called paperless society, it is important to have all business transactions accurately and promptly documented. Make sure that your entire team understands their individual responsibilities and the time frame allotted for every relevant activity. This is to ensure that the entire project is accomplished smoothly and that all deliveries are carried out in complete compliance with the contract provisions.
• Establish a firm quality control process. Always check that your quality control process is at its best. Review your procedures every now and then and make sure they are accurately and properly carried out so every item or product delivered exactly meets the specified requirements. Make it a point that it is always updated to conform to the dynamic standards of today’s government contracting market.

StateAndFederalBids is the market leader of online sources for government bidding opportunity listing, research, and business intelligence. It boasts of of top-of-the-line features that help businesses filter government bidding opportunities to find the ones that perfectly suit their needs and specifications.

Big Mistakes to Avoid in Government Contracting

Doing business with the government through renewable and recurring term contracting has long been proven to be a viable approach in finding a stable and long-term means of generating income. But selecting, competing, and winning these term contracts is easier said than done—as the world of government contracting is a big paradox that needs to be carefully examined and understood.

While the government-contracting business can be a lucrative career for contractors on the hunt for that stable long-term income in the today's fickle economy, it can be a confusing labyrinth of rules and regulations coupled with prospects who may not even bother to reply to emails or voice messages. When done incorrectly, it can be a costly loss and cause a lot of frustration. But when done right, they can definitely provide a steady and long-term stream of profit.

State, local, and federal agencies are all moving toward the steady use of term contracts to ensure the efficiency of purchasing in order to minimize costs while at the same time establish stable and secure expenses. But many contractors often make critical decisions in haste for their lack of knowledge and information on the idiosyncrasies of the business. Steer away from ruining your set goals in the government-contracting business by avoiding the following common mistakes:

• Inability to perform proper market research. It should go without saying that conducting research is one of the first vital steps vendors should take if they want to get to know the agencies and other critical players in the market. This is an important strategy to understand their practices, regulations, preferences, and other relevant purchasing aspects that they can work on to ensure propositions are prepared and submitted accordingly.
• Inability to examine the competition closely. Conducting a competitive analysis is another critical aspect of the government-contracting business that should never be overlooked. The competitive analysis is a must-have instrument for vendors as it offers not only a good look into the agency’s pricing, delivery requirements, and other relevant regulations but also of the current serving contractor’s winning proposition and their potential to retain the contract when it is back up for renewal.

• Inability to create unique and top-notch propositions. Getting awarded for a contract does not always mean having the lowest price. Increasing your chances of winning an award means having a comprehensive understanding of the agency’s needs, presenting excellent credentials, including add-on services, and establishing trust and rapport with your client.
• Inability to establish different strategies and approaches. Vendors need to be flexible enough to plan, create, and implement various strategies and approaches that will help improve their probability of winning more contracts. They will also need to be well informed about an agency’s contracting specifications including their receptiveness to the competitors’ products, services, and marketing approaches.
• Inability to determine the right contract opportunity to pursue. While vendors should not be putting all their efforts and resources on a single project from one agency or shop around from a large number of government contracts and spread their chances thin, they should nonetheless be able to determine which opportunities and projects are not suitable for their business needs and which one are. Putting your business at a high risk by working hard on winning a project whose specifications aren’t compatible with your business credentials and qualifications can cost the company more and leave it with a big loss and a negative impact on its revenue in the end. 

StateAndFederalBids holds the world's largest database of almost 50,000 open government bids regularly updated by an excellent team of researchers, keeping you on top of the government-bidding game.