Understanding how the Federal Market works for Small Businesses

The key to succeeding in the federal market is to understand how it truly functions. Small businesses have many advantages since federal agencies have statutory obligations to t communicate and consider small businesses for contracting opportunities.

The Government of the United States is the largest buyer in the world. Federal agencies have enormous requirements for services and goods from almost all industries; therefore, the Government is constantly buying solutions from every business category to meet their high demands.

Federal agencies are obliged by law to set contracting goals. Thus, 23% of all government purchases are planned to go for SBA small business set-asides. Furthermore, contract goals are established for economically disadvantaged-women-owned businesses and women-owned-small-businesses, to enhance opportunities for disadvantaged small businesses, companies located in Historically Underutilized Business Zones and service-disabled / veteran-owned-small-businesses.

Usually, these government goals are not achieved. Nevertheless, they are of significant importance for the fact that federal agencies have a statutory obligation to communicate and consider small businesses for contracting opportunities. The program was specifically designed to encourage businesses to enter into this competitive environment. All businesses that are interested to participate in the Federal marketplace can match their business products and services to the purchasing requirements of federal agencies.

Although the concept of selling is the same, whether you sell to the Federal government or to the private sector, government procurement procedures may have a different set of rules and regulations. However, the same advertising methods and business strategies can be used here.

Government acquisition strategy

The U.S. government acquires many of the supplies and services it needs from contractors who meet the qualification criteria as set by NAICS code. It employs standardized procedures by which to buy goods and services. This means that the government contracting officials acquire products or services by using procedures that are consistent with the Federal Acquisition Regulation (FAR).

There are a variety of contracting methods used for buying these solutions from contractors, depending on the federal agency and other factors. These include simplified purchasing procedures, sealed bidding, and other contracting by negotiation and consolidated purchasing.

How small businesses can exploit Federal contracting opportunities

It’s about time for your company to become a Government partner. If you do not have the right experience in federal contracting opportunities, you need to use your common business sense. Business is all about smart investments, by using the best strategies to enjoy ROI.  To win a contract award you need to convince the federal agency that is interested in purchasing your products/services that you’re the best fit; to achieve this goal the only way is to submit a persuasive proposal. You can use efficient consulting services for small businesses in order to exploit government procurements in the most effective way.

By getting professional help, your proposal development will be in safe hands. Professionals with extensive experience and expertise in government procurement procedures understand the way federal official think and evaluate contactors’ responses. Competent to develop a solid competing strategy, they use advanced methodologies to apply the best capture planning for winning government contracts. Some of the services that will totally improve your winning chances include:

  • Capturing management to identify the best opportunity
  • Building a winning proposal strategy and win themes
  • Proposal development coordination, writing, editing, and review
  • Proposal document production and support

In addition to writing a professional proposal for your company, they will help you understand the core requirements of the contract, prepare you to face upcoming challenges and effectively communicate the values of your company during job performance.

By |2018-04-10T04:50:30+00:00April 12th, 2018|Federal Government Contracting, Government Procurement, SBA set-asides, Small Businesses|Comments Off on Understanding how the Federal Market works for Small Businesses

About the Author:

With over 26 years of sales and business development experience, Maron possesses excellent interpersonal and creative thinking abilities. He has been a sales and business development professional offering extensive experience in client relationship management, strategy, and bid as well as capture management for decades.