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Small Business Intro to Government Contracting

Small Business Intro to Government Contracting


Despite the cumbersome task of doing business with the Federal government, at times, with preparation and diligence, the end result can lead to tremendous sales and revenue opportunities for small businesses. You may ask why, because:

  • The U.S. Government is the world’s largest customer

  • It buys all types of products and services in both large and small quantities

  • It is required by law to provide opportunities for small businesses

The Government's objectives to contracting are aimed to ensure that:

  • Competition is fair and open—The process of requesting proposals, evaluating bids, and making awards should take place on a level playing field with full visibility. Any business that is qualified to bid or submit an offer should be considered.

  • Products and services are competitively priced. The government seeks pricing that is commensurate with its formidable buying power.

  • The government gets what it pays for—The government protects itself by carefully defining requirements, terms and conditions for all purchases. Contractors must document that they have fulfilled all requirements and met all terms in order to be paid.

  • Both the government and contractors comply with the law—Different rules and regulations apply to different types of purchases. The Federal Acquisition Regulation (FAR) or Defense Acquisition Regulation Supplement (DFARS) apply to most federal agencies. Individual organizations often have their own rules as well.

The government is particularly concerned  with including small businesses as it buys goods and services for several reasons:

  • To ensure that large businesses don’t “muscle out” small businesses

  • To gain access to the new ideas small businesses are great at providing

  • To support small businesses as engines of economic development and job creation

  • To offer opportunities to various disadvantaged socioeconomic groups

To these ends, most government agencies “set aside” a percentage of their acquisitions (what they buy) for small and disadvantaged businesses. The Small Business Administration (SBA) is a great resource and provides a wealth of information for Small Businesses pursuing business in the Federal Arena.

For additional information please reach out to:  https://www.sba.gov/


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Ruth Starr
<p>The GSA Making It Easier (MIE) FASTrack program is available for companies to understand what is necessary to be on the GSA schedule contracts.</p>
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