Federal Government Contracting

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Today is the best time to look for government contracting opportunities for small businesses. Currently, the federal government actively encourages small businesses to become federal contractors, so if you are the owner of such a business, make sure to read this text to learn how to become a federal contractor yourself.

Contracting with the federal government

Where to start from

Starting a government contracting business may seem like a terra incognita for you, but in fact the entire process is widely documented on numerous federal contract consulting resources, such as GSA eLibrary, Vendor Support Center and Small Business Administration at SBA.gov.

Also, we recommend checking out our blog articles about getting federal government contracts, on Price Reporter website:
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Call 201.567.6646 or provide your details for a free consultation:

    The articles and federal resources give you a systematic understanding of the entire contracting process and Federal Acquisition Regulations, which is the pledge of your future success as a federal government contractor.

    The next step would be to accomplish the obligatory training. The Pathways to Success is the training course that is required for all vendors to complete before they can apply for a GSA contract award.

    There are also SBA Programs helping small and disadvantaged businesses to enter government contracting with more ease. Make sure to check them out too.

    Federal contractor certification

    Starting a government contracting business is only available to certified federal contractors. What is certification? Basically, these are certain requirements and federal contracting rules you should comply with, in order to gain access to federal contracts. This may sound like a terrifying experience, but in fact the government simply wants to be sure that your business is stable and reliable enough for a federal contract.

    Among the obligatory requirements are:
    1. At least two years in business in the industry, within which you will be offering service or products to the government.
    2. Officially registered business. Your business can only sell to the government if it is properly registered. This includes getting NAICS codes and Product Service Code (PSC).
    3. Commercially available products. You cannot sell to the federal government something you didn’t sell previously on the commercial market.
    4. Financial stability. Being stable means having a certain minimum annual revenue for at least two years. Currently it is $100,000 per year.
    5. Good Past Performance Report. The government conducts business with the most reliable companies only. So, it evaluates your past performance by contacting your clients directly.

    If you meet the requirements, you can submit the document package for a review. Sometimes, a procurement officer may require some clarification, and there will often be price negotiation which is an inevitable part of contracting with the federal government. You can read more about the required documents here.

    Benefits of being a federal government contractor

    The obvious benefits of being a federal government contractor or vendor are:
    1. Access to the huge federal market. As a federal contractor, you are eligible to bid on federal contracts, and winning those would almost guarantee a stream of sales.
    2. Minimum advertising expenses. The federal market is rather narrow. While you still need some marketing efforts, your marketing expenses are comparably low.
    3. Reputation. A contractor for the federal government sounds very reputable. This helps you impress new clients on the commercial market, too. Indeed, if the government admits your expertise and professionalism, why wouldn’t anyone else do the same?
    4. Minimum 5 years contract. If you manage to win a contract, you remain in the business for a solid 5 years. And you can renew the contract for another 5 years three times, up to the total of 20!

    Need help?

    Want to start your government contracting business, but don’t know if you can handle it  yourself? Well, perhaps you are right, but don’t worry: federal contracting is a complex, but doable affair. And with federal government contracting consultants at your side you can achieve your goal faster, and with minimum effort.

    Price Reporter provides legal and technical assistance, as well as contract audit, procurement officer communication assistance, litigation help, and more, during the entire federal contracting process. Please don’t hesitate to contact us if you have any questions or if you decide that you want to acquire your first federal contract.

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