What are GSA eligible organizations?
Organizations that would conform to GSA requirements are sometimes called GSA eligible. It really pays off to be one of those GSA eligible organizations. Here is why:
Only qualifying businesses can sell to the government
The government is quite picky when it comes to selection of vendors that they choose to purchase products and services from. This is for a reason: GSA wants the best for federal agencies, so the typical qualification routine is very scrutinous and time-consuming. To be found eligible to sell on GSA, a company needs to meet certain requirements, some of which are easy to match, and others are quite complicated.
Why cannot everyone sell to the government?
First, as said above, the government wants the best: the best products, the best services, and, of course, the best prices. GSA simply cannot and does not want to deal with minor firms, untrustworthy companies and so on. Second, strict regulations and qualification rules help prevent machinations and fraud on both sides.
Who qualifies to sell to GSA?
GSA wants to have business with solid, trusted companies that already have a name on the open market, and do not carry debts or other financial burdens. Only companies that offer competitive prices can qualify for federal grants and schedules. Also, there are several specific requirements a business must meet in order to be eligible for a GSA Schedule.
A checklist to know if you qualify to sell to GSA
1. Your company is properly registered
GSA only works with officially registered organizations. This means your company must have a DUNS number, NAICS codes, and enrolled at the System for Award Management (SAM).
2. Your company has been on the market for at least 24 months.
GSA does not work with startups or newbie firms. Not only must your company have been started no less than two years ago, but it also has to show profits in the last two consecutive years.
3. Size of the company
Various size companies can qualify and contrary to a common misbelief that says the size of your company does not matter that much, the GSA sets aside a number of government contracts specifically for small businesses.
4. You have a minimum revenue of $100,000/year
Your company has produced at least 100K annual sales for the past two years. Some specific schedules may require higher revenues.
5. Your company stands firmly on the ground
Financial stability is a key factor in the assessment of your company credentials for potential GSA enrollment. Not only must your business display positive figures, but you also must not be in debt, have too many loans or have assets frozen by a judicial decree.
6. Your company is not affiliated with GSA or federal agencies
It is illegal for procurement officers to award a Schedule to a company that is somehow related to the officer herself, GSA or the federal agency that issued solicitation.
7. Your products are TAA compliant
Every part, detail or unit of your products must be in compliance with the Trade Agreements Act. A product is TAA compliant if a half or more of its manufacture cost comes either from the US or designated countries, or if the product has undergone substantial transformation in the US or designated countries. TAA compliance is discussed here.
8. You have good references from past clients
One part of determination of eligibility is the Past Performance Evaluation report produced by Open Ratings. The report involves gathering of references and testimonials from clients of the company submitting a GSA application. The Open Ratings agency sends a questionnaire to your previous clients and analyzes the references received. The main point of this research is to make sure the company that would be offering its services to the government has a positive reputation on the market and has a solid record of fulfilling its obligations.
A quick way to see whether your Past Performance score would be adequate, is to ask your existing customers to answer the questionnaire beforehand, and then see if you should improve on anything negative that your client might mention. Price Reporter will be glad to assist you with PPE references, among other things.
And if you merely need to know you have chances with GSA, and if your business is eligible for selling to GSA, please contact us using the form below. We will be happy to help.