Tag: 8a

Sources Sought: Sierra Army Depot, Rail Scale – Manufacture and Installation

Posted on by Eric Coffie

The purpose of this notice is to obtain a snapshot of current market capabilities and gain knowledge of potential small business sources to include small business in the following socioeconomic categories: Certified HUB Zone; Woman-Owned Small Business (WOSB) and Serviced-Disabled Veteran-Owned Small Business (SDVOSB); Veteran-Owned Small Business (VOSB) and 8(a) small business concerns to manufacture and installation of a rail scale at the Sierra Army Depot (SIAD).  Other than small business are encouraged to express interest and submit capability statements as well.

  • Product Service Code: 2250 – TRACK MATERIAL, RAILROAD
  • NAICS Code: 336510 – Railroad Rolling Stock Manufacturing
  • Place of Performance: Herlong, CA the USA
  • Original Response Date: Nov 30, 2020 08:00 am PST

Full details via beta.sam.gov

govcon logo Check out our RESOURCES page for a sample letter that we use in response to government market research.

Rick Grams II: Building Multiple Successful ANC and Tribal 8a firms

Posted on by Eric Coffie

Working for over 20 years in different Tribal and Alaskan Native-owned companies, Rick Grams II shares his experience and his insights in doing business with the federal government.

BACKGROUND

Rick Grams II graduated with a bachelor’s degree in Business Administration with a focus on Information Technology and a master’s degree in Management from Colorado Technical University.

He has also worked with multiple successful Tribal and Alaskan Native-owned companies for over 20 years in different roles including being a General Manager, Director of Operations, Executive Director, Vice President, Chief Operating Officer, and Chief Information Officer.

Grams also contributed volunteer service time in each of the company’s vicinities which include his position as a Chairman of a government ethics committee in Alaska and as a member of the Fairfax County Government Information Technology Board in Virginia.

Currently, he is the Vice President and General Manager of Miami Technology Solutions, an SBA certified tribally-owned 8(a) company.

EXPERIENCE IN THE MARKETPLACE

Rick Grams II started working with Alaskan-native companies in 2000 after his naval career. Then, he moved to Virginia where he grew along with the same career and became a program manager of larger agencies.

Over the years, he learned about the similarities of the Alaskan native corporation model and the tribal model.

“There is no difference. It’s simply a matter of the ownership. The tribes out of Alaska are part of the, you know, part of 13 regional corporations. So they’re considered the Alaska native corporation model. The tribal model is, is a very similar model, same structure, same organization, same regulatory aspects.”

On his current position in the Miami Technology Solutions, they continued to build on the same scope of areas which are logistics and information technology. They do everything at the level that is profitable, lean, and sometimes dynamic and creative.

“It’s not only going to be, we’re going to make this work but we’re going to make this work and we’re going to make sure that the client is satisfied with it.”

In order to achieve this goal and make an environmental success, Grams also understand that they need to create a new mindset from a technology perspective for their employees. With this, their company has team buildings and does office games during their breaks.

“I’m just getting up out of the desk, doing something non-professional… no goal set, no, no sitting there reading a proposal or critiquing anything, just displaying cornhole, you know, 15 minutes, total refreshment, everybody’s smiling at the end, you know, get back to work and do your thing. It’s good.”

ADVICE FOR BUSINESSES

1. Be Familiar With Your Vision.

For starting companies, Grams advised to be familiar with your vision for that company because as a startup, sometimes, you need to follow another path and get the necessary resources no matter where it’s coming from so that you can take the company to become what you want it to be.

“When we’re small, we don’t have the luxury while we may go into the market wishing to be, you know, company X, but you run across a revenue stream that would really only apply if you were company B instead of company X. You have to be willing to convert to company B for a time period. So you can get back on the path to becoming company X because without revenue, you’re not going to have company X to pursue over the long haul.”

2. Be Willing To Grow.

In the federal marketplace, you need to do market research and proposal writing apart from creating and providing solutions to the government.

Even if it’s not your strength, you need to learn how to do these activities because it provides you an understanding on how to do it differently the next time.

“I did not expect to also be the one, you know, sitting down writing proposals, mapping out far regulations, you know, search and reps, those types of areas. That was not something that I expected to do… but the determination and the willpower to, to get past that in order to make the projects that I was involved in successful.”

3. Be Out In The Midst Of The Market.

Conferences and events will be of no use if you don’t know how to target your clients. You need to talk to them directly in order to get their attention and to understand what they needed from constructors like you.

“Nothing that I’ve been a part of seeing a win in the environment with has had to do with the simple status of, of being either an AMC or a tribal aid. Most of it has had to do with walking the halls, knowing the agency that you’re targeting, knowing what their budget constraints are, and yet knowing their internal politics as well.”

4. Be People-Centered.

It might be an old cliche but the greatest businesses know how to deal not just with their clients but with their people… their employees.

This is due to the reason that when your client sees that you know how to take care of your employees, it speaks volume to what your company really is.

“Nothing in business happens, happens without people understanding each other’s capabilities, and needs, and goals.”

RESOURCES

If you want to watch the full video of the interview with Rick Grams II as he shares his experience and insights in doing business, then be sure to click the links below:

064: Rick Grams II – Building and Growing Multiple Successful ANC and Tribal 8a firms

https://govcongiants1.wpengine.com/podcast/64/

https://www.youtube.com/watch?v=m0Gdoit2Tp8

IDIQs and IDVs : MasterMinds Monday

Posted on by Eric Coffie

On this episode of MasterMinds Monday, Eric Coffie shares the benefits of IDIQs and IDVs and how to prepare your company in order to get these kinds of contracting opportunities.

BENEFITS OF IDIQs and IDVs

In the government contracting marketplace, there is a misconception that having a small business certificate would equate to a handful of contract opportunities. Although, this may slightly be true, you will not achieve much success from the programs if you are not ready yet. 

“I think everyone out here should get 8a program, it is a pathway to riches and fortunes and generational wealth (however) only if you get it when you’re ready. If you do not wait until you’re ready, it can be a pathway to destruction because you spend so much time consumed with trying to learn it and trying to figure it out.”

This is further proven by one of the recent guests of the GovCon Giants podcast who did research on the companies that are part of the 8a program. The conclusion of the research made clear that the successful companies are the ones getting indefinite delivery vehicle (IDV) contracts. They keep on rising in terms of sales and are extending the life of their multi-year contract vehicles. 

This is because IDVs are essentially a blanket purchase agreement that has hundreds and even thousands of smaller contract opportunities that only selected companies are eligible to compete. These types of vehicles also provide a definite time period that are usually 5 to 10 years but can be stretched up to more than that.

This is why if you’re doing your research for contract opportunities on beta.sam, you will find contracts that say ‘only vehicle holders are eligible to bid.’ In this case, regardless if you are part of the 8a or VOSB, you can’t still bid on these types of contracts. 

So now instead of going to beta.sam and bidding on contracts, spend more time and effort on pre-qualifying for a contract vehicle. 

PREPARE YOUR COMPANY FOR IDVs, IDIQs, AND OTHER CONTRACTING OPPORTUNITIES

In order to pre-qualify your company and take advantage of these indefinite delivery vehicles, you need to have a list of the IDV opportunities that are in your particular space first. Go to your nearest Procurement Technical Assistance Centers or small business organization. 

Then, check if there are active or recently closed IDV opportunities in your industry, pull down the requirements, and analyze if you are qualified or not. 

If you are not qualified, then make sure that you are ready and qualified for the next opportunities. 

“If I were to give you a contract and give you an opportunity, you’re not even ready to receive it. So, how about we start getting ourselves ready and in a position so that we can receive opportunities.”

1. Get Funds.

Don’t use your own money to fund your company in order to get these contract opportunities. Rather, get supplier credit, vendor credit, or business credit.

This is for the reason that before the government pays, they still need to approve the products or services that you offer first. It’s not even about being financially stable or not. Unless the government has already approved the products that you sell, then don’t use your own money as it may go to waste. 

2. No Ability 

There are many requirements for a specific contract and you need to check all of these boxes. Because of this, contractors might be intimidated to do a project and just say that they can’t bid on it. 

But rather than avoiding an opportunity, why not put all the stuff in place in order to get qualified? IDV is going to probably require the highest levels in terms of requirements so you need to make sure that you achieve this. And the best way to do this is to find people or a team to help you. 

3. No Experience

Many people say that they don’t have enough experience and past performance to qualify for contracts. However, you can achieve this by including your team’s experience in your capability statement.

For instance if you’re bidding for a landscaping project. If you haven’t done anything like it before, you should not lie about your experience. However, you can hire another person who has experience in doing landscaping projects in the past and include their experience in your capability statement. This way, you are using that person’s performance to qualify for that specific project. 

Remember that you do not build a building alone, you have a team who have various experiences depending on their qualifications. You can use that to qualify for contracts that require past performance. Besides, in the government marketplace, they allow you to bring on people that complement your strength. 

RESOURCES

If you want to watch the full video where we talk about the benefits of IDIQs and IDVs and how to prepare your company in order to get these kinds of contracting opportunities, then be sure to click the links below:

Are you ready to win a contract, prepare your corporation for success using IDV

https://www.youtube.com/watch?v=kqs1D_TKZIg

Multiple year contract award (IDIQ) explained in simple terms – Eric Coffie

https://www.youtube.com/watch?v=WgVtj-Iv7yI

Charles Jones ­- Baltimore Powerhouse Commissaries

Posted on by Eric Coffie

Learn how you can continue to meet your HUBZone requirements while growing your business, including the tips on writing proposals for federal contracting with CEO and President of C&S Jones Group LLC, Charles W. Jones.

BACKGROUND

Mr. Charles Jones ventured into the mortgage industry back in 2008. However, that was only until the market crashed and the economy tanked due to the recession.

During those difficult times, he decided to form a business he called the C&S Jones Group in 2010. It was founded to assist with the cleanup of abandoned properties on behalf of asset managers. 

“We didn’t know when the economy was going to come back and there was a bunch of real estate that was out here. So I did my due diligence and got a subcontract with asset managers to maintain the properties in particular areas.”

They also did the operations support for the army and did facility management operations where they operate and assist with operations of commissary stores across the country.

Fast forward to today, his business has been named by the Baltimore Business Journal as one of the top 50 minority owned businesses in Baltimore for six consecutive years and it has also grown to become responsible in managing commissaries throughout four states. 

For those who are unfamiliar with commissaries, they are where you can purchase discounted groceries and other household goods for active duty, reserve, and guard members. But what most people are unaware of is that the success of this program is thanks to the diligence of the C&S Jones Group.

EXPERIENCE IN THE FEDERAL MARKETPLACE

Mr. Jones didn’t have any idea about writing proposals nor did he have any background, or friends who showed him the ropes. What he did was go to every outreach, agency and events that could teach him how to play in the field.

But he also credited the local PTAC or Procurement Technical Officer for being a huge help with his procurement technical assistance. 

“In the past, we literally just kept grinding. If we could not win the contract, we would do a debrief to see where we were strong and which areas we needed to improve.” 

Mr. Jones shared that he has had his fair share of defeat in the federal marketplace but what really pushed him to keep on going was that he understood that there was some space for the company to get in.

And all he needed was a good product, a sound business practice, and that the federal marketplace was a leveled playing field.

“Federal Contracting is an open book. You compete on a level playing field as everybody gets the same information.”

The HUBzone Program

“Businesses are all about solving a problem for somebody else and capturing some revenue for yourself.”

The HUBZone stands for Historically Underutilized Business Zone. It is basically an area where business development and growth has been fairly limited. The program’s goal is to help small businesses in urban and rural communities gain preferential access to federal procurement opportunities.

And they award at least three percent of federal contract dollars to HUBZone-certified companies each year.

While three percent may not sound like much but in 2011,

 

that percentage amounted to over 9.6 Billion dollars and was awarded to small businesses. 

In 2012, the median total value of awards for these firms was slightly more than $360,000.

The HUBZone certified companies either compete for contracts or are awarded a sole source contract. 

And when they compete for contracts amongst other HUBZone certified companies, they compete within a smaller pool of contractors.

They receive a 10% price evaluation preference in open contract competitions. Its main benefit is the growth you’ll be bringing into your own community!

So how can you know if you qualify for this program?

Well, HUBZone certification is location-based. All you need to do is to confirm if your business is located within a HUBzone, look up your address on the HUBzone map. 

If you are located in a HUBzone then the next step is to check out your eligibility requirements and the application process. 

Get 8A Certification Only When You’re Ready

“A lot of companies have made the mistake of getting their 8A certification way too early in the game.”

Mr. Jones mentioned that the 8A certification is a nine year program and if for example, you came in too early and had to spend five years to hit your mark, you’ll only have four years left to benefit from the program.

If you haven’t even opened up your business, don’t get 8A. Make it work in the beginning and not at the end.

The 8A is not a guarantee that you can receive a contact. You can’t get any contracts during that period if you don’t have the credit line, the security clearance, the past performance, and the relationship. 

This is not an easy industry where you only need to provide a certification. There are a lot of regulations to follow. You have to have people to trust you.

“Remember, you are using the taxpayer’s money in federal contracting, if you fail to deliver what you’ve promised then you are out of the game.”

RESOURCES

If you want to watch the full video of the interview with CEO of C&S Joes Group LLC, Charles Jones on how to stay ahead of the curve and continue to grow in federal contracting then be sure to click the link down below.

Charles Jones ­- Baltimore Powerhouse Commissaries: 

GovCon Website: 

https://govcongiants1.wpengine.com/podcast/charles-jones-baltimore-powerhouse-commissaries/

Youtube Full Video: 

https://www.youtube.com/watch?v=jd3bsvoKfiQ

Matthew Schoonover: Joint Venture and Mentor Protégé Guru

Posted on by Eric Coffie

Representing small businesses on matters relating to government contracting, Matthew Schoonover shares his insights about the mentor-protege program and the joint venture agreement.

BACKGROUND

Matthew Schoonover is an experienced attorney who worked in the industry for more than 10 years with institutions like Snell & Wilmer and UnitedLex professional services. 

Currently, he is a partner at Koprince Law LLC, a boutique law firm in Kansas, that works exclusively with federal government contractors. As part of his practice, Schoonover counsels government contractors on issues with the government as well as represent them in bid protests and claims. 

He is also a frequent contributor of SmallGovCon, a blog managed by Koprince Law to provide legal news and notes for small business contractors.

MENTOR-PROTEGE PROGRAM

Schoonover states that this is a business development program open to all small businesses of any socioeconomic designation, including those who are part of the 8(a).

This program works when a bigger business or a mentor agrees to help a small business develop their business, enhance their capabilities, and become more competitive.

On the side of the mentors, they will also gain an exemption to affiliation for the items of assistance and they can take up to a 40% equity stake.

Also, if they agree to enter into a joint venture agreement, the Small Business Administration will only consider the protege side for determining the size of the joint venture. This is a huge benefit for both parties because ordinarily a joint venture has to be between two small businesses. 

“The government has experienced working with some of the larger companies already. They trust them, they know them, they know that they have the ability to get the projects completed. So, teaming up with these people would improve your reputation as a small business as well.”

However, in order for this program to be effective, small businesses should work with a mentor who really understands their business. They should mainly be able to understand the goal of the program.

“I think generally the relationships are stronger when the parties know each other, if they’re both committed to helping the protege grow. And if part of that can be a joint venture for a job, that’s awesome.”

Because of this, you should find a mentor that is within your industry. This can be people or businesses that you have worked with in the past and even your competitors.

Also, you can consider talking to your local SBA office or to your local Procurement Technical Assistance Centers as they will surely help you in finding a prospective mentor. 

“So I really encourage folks to, you know, sit back and think about… what are some companies that I look up to or then I admire and do I have any contacts there or know of anybody who might be able to introduce me to start that discussion? And it really should frankly be a discussion between the mentor and the protege.”

JOINT VENTURE AGREEMENT

Schoonover defines a joint venture where two businesses come together to form a third separate legal entity in order to bid and perform a job. Because of this, the old SBA rule wherein the sizes are combined no longer apply. 

In most cases, this agreement only applies to two small businesses but if you are under the mentor-protege program, this also applies to you.

However, one of the companies, which should be under any SBA program, has to be the managing venture that provides the different requirements under the FDA’s regulations. They also need to follow the different approval requirements depending on the socioeconomic status of the joint venture.

“The parties need to make sure that they’re meeting the knows.”

Apart from that, there is also the 3-in-2 rule wherein it says that a joint venture cannot be awarded more than three contracts within the two year period.

RESOURCES

If you want to watch the full video of the interview with Matthew Schoonover as he shares his insights about the mentor-protege program and the joint venture agreement, then be sure to click the link down below.

006: Matthew Schoonover – Joint Venture and Mentor Protégé Guru

https://govcongiants1.wpengine.com/podcast/matthew-schoonover-joint-venture-and-mentor-protege-guru/

https://www.youtube.com/watch?v=df9jBqAT3Xc&list=PL6-jBNNcc98vTBvNhFYfUTeH0k-Vx2VBH&index=16

Top 5—”Launching a NASA Award Winning IT Security Company” With Narjis Ali

Posted on by Linette Genao

Temporarily leaving her family behind, Narjis Ali, the president and CEO of Sure Secure Solutions, packed her bags and moved from Pakistan to the U.S. to start her life over again.

Skilled in software programming and development architecture, she was a natural entrepreneur throughout her life, even introducing computer education in Pakistan for the first time. With a little push from her son-in-law, she decided to push forward and begin her business in the U.S.

I said, “Why not where I’ve moved now and made my country here in the U.S. I can also start business. It was just the fear of the unknown I suppose that made me take a few years to start it off, but once I was there, I was like, yeah, let’s roll.”

 

BACKGROUND

 

Sure Secure Solutions is an 8(a), Woman-Owned and Information Technology Security Company founded in 2004. The company’s core capabilities include Cloud Computing, Cyber Security, Web Application Development, Data Analytics, Content Management, Information Management IT Security.

Her drive and work ethic has led to a number of awards dating back to 2012 and most recently the 2019 NASA Small Business Industry Award – NSSC Prime Contractor of the Year. In addition, the 2016 Small Business Administration of the Year Award, NASA Small Business Prime Contractor of the Year both in 2016 and 2017 and many more.

 

TOP 5 

 

1. Dig Your Feet Into the Ground and Stand Through The Tough Times

Ali immigrated alone leaving her family, including three children, back home. One by one, they made their way to the U.S. However, she recalls the difficulties within that first year and how she pushed though those tough times, serving as encouragement for others to do the same when things become difficult.

“When I was a child I would stand by the seashore and it was not close to where I lived. We used to always visit once in a blue moon, go to a beach. I used to remember standing there and the sand going from under my feet and remembering how it would make me fall and panic, but my mother and my sister were always there with me and my mom would tell me to hold my sister’s hand and just stand there and dig my feet deep into the ground and just stand. Right? That is what made me. Even when I came here. I went through some hardships, but I stood through that and I realized that if you work hard and your intent is good and you’re honest about things, things do have a way of working out. It worked out for me.”

 

2. Be Patient and Seek Information

“I feel that today I can just hold somebody’s hand and say, ‘Don’t do that.’ ”

Ali discusses how resources and mentorship are key so you don’t waste yours or others time and money. She encourages entrepreneurs to hone into their path and where you want to take your company and educating yourself on the path to get there.

“You have to first identify where you’re going, what your skills are, what you want to focus on and then just zoom in there. It’ll take you much less time if you do a handful of opportunities that you think you want to go after rather than just go after anything and everything that says 8(a) in it.”

 

3. Relationships are golden

Unless you have the money, you will have to find a few partners to come up with the equity to set up the infrastructure. Relationships are golden in order for this to work and be successful.

Not just relationships with the customers you’re selling a product or service to but as Ali states, “Customers in the way of the environment. That allows you to be there and create those relationships with coworkers, colleagues, other companies, and the customer.”

This is how former astronaut, John Mike Lounge became one of Ali’s first business partners when she was just getting started. He was introduced to her by a mutual friend. Meeting and working with Lounge, led to her fascination with NASA, allowed her to get NASA, and become the 2016 and 2017 award winner for NASA.

“By the end of it when we were paying the bill. He was like, ‘Okay, I’m sold. I’m your partner.’ I’m like, What?”

 

4. Don’t Put All Your Eggs In One Basket

Learning the hard way, Narjis Ali advises not to put all your eggs in one basket. Instead, first build a strong team and then divide and conquer. This will lead to the most success.

“It’s not about winning. It’s all about getting a team that will win. Whether you have a prime role or a sub role. One is survival. The other is to win and make money…You have to make your name. You have to get money for it and you have to be able to take different roles in different opportunities…We spread out, we team work and we look for teaming opportunities that offer us a swim-lane where we’ve got really strong qualifications and then we shine there.”

 

5. Filter out very quickly where you want to focus

“Stop bidding on everything that looks it’s in your domain. It needs to be in your domain, but it also needs to have a familiarity with the customer environment,” states Ali.

She advises mastering 1 or 2 companies and building the trust and relationships instead of going after all that you can.

“It’s better to focus on a few agencies and be persistent and get to know that very well. Know the gaps and try entrepreneurand be at places where you can get to know the small business office.”

NARJIS ALI

As a leader, Narjis Ali is focused on helping others and assuring those around her continue to grow.

Narjis Ali & Eric Coffie “The most important thing was that we want to take people that matter, to places that matter…I think that means the world to me. When I see people that we’ve been trying to grow, grow and go to places.”

Narjis’ story is truly inspiring and motivating. With such great advice, she leaves listeners and readers with a humbling message.

“I have to become the medium of receiving and then giving. That’s my life story. I listen, I hear, I see. I love and I know that I’m only the medium. So, I hope I can pass on whatever I get and model for someone else, somewhere.” – Narjis Ali

 

To hear more, join the GOVCON GIANTS Podcast Community available on  Spotify, Apple Podcast, Stitcher, Google Play and iHeart.

To learn more about government contracting subscribe to the GOVCON GIANTS YouTube Channel.

The SBA 8a Program Transitional Years Explained

Posted on by Eric Coffie
The 8a program is a business development program meant to help people launch, grow and graduate into a successful small business firm. They provide you with the tools and knowledge that you need in order to compete for contracts in the open market.
In short terms, the 8a program will assist you in growing and succeeding as a small-business. They do this by including “transitional years.” Transitional years are the years where you must do work outside of the federal government.
These transitional years serve as steps to slowly push you to find work outside of the 8a sphere. Therefore, by the end of the program, a large chunk of your work must and will derive from elsewhere.
This is good news because when the program ends, you are still in business and can succeed on your own.
Beginning your fifth year, you must start demonstrating a mixture of federal government and non-federal work. The range starts at 15%. By your final year, 55% of your revenue must derive from business outside of the 8a sphere.
If the company fails to comply with these guidelines, they are subject to suspension from the program for up to 1 year. This poses a challenge for budding entrepreneurs who have no private or commercial contracts outside of the federal government.
However, if you follow the guidelines, you will be in a position to continue doing business without the 8a program.
Learn more about 8a certification requirements and how it works via this United States Army Corps of Engineer presentation.
To learn more about government contracting visit the GOVCON GIANTS YouTube Channel.

All About the 8a Business Development Program

Posted on by Eric Coffie

The 8a Business Development Program is a government program which aims to even the playing field for businesses owned by socially and economically disadvantaged individuals. The program offers a myriad of assistance to entities that have 51% control by socially and economically disadvantaged individuals. It is a vehicle that aids such disadvantaged entrepreneurs to gain access to the economic mainstream in American society, mostly when it comes to the aspect of government contracts. Government contracts can be quite elusive and frustrating; hence, such programs exist to give the aspiring entrepreneurs the solid footing they require to navigate the waves of the contract business.

Going by the name, the program aims at providing business development support to upcoming businesses in various fields such as Training, Financial assistance, Mentoring, Surety bonding, Procurement assistance, Business counselling, and provision of other technical and management support. Before we delve into the deep, let’s look into some of the perceived benefits of the program.

Benefits of 8(a) Business Development Program

Taking part in this program comes with some benefits such as:

Receiving sole-sourced contracts for business capped to $4 million for goods and services. For a manufacturing business, the business contracts get capped to $6.5 million. While the program equips businesses in both institutional and competitive know-how, it encourages them to involve themselves in competitive acquisitions.

Businesses registered with the 8a program can team up and bid on government contracts. By combining forces, companies can perform or service huge contracts through overcoming contract bundling- the effects alluded to combining two or more contracts.

It’s also worth noting that contracting officers have their quota to meet for their set-aside bonus. Whether a business opportunity has a declared set-aside or not, your business will still enjoy a competitive advantage since the government is mandated to set aside at least $25 billion towards small and disadvantaged businesses. As such, it gives the contracting officers the chance to work on your entity aimed at hitting their quota.

By business entities registering for the program, they can get exposure from other seasoned business entities when it comes to learning the ropes. The program achieves this through the Mentor Protege Program.

Since the program certification lasts up to nine years, your business has the potential of earning up to $100 million or five times the SBA (Small Business Administration) limit. Most business entities hit this target during that period.

 

Requirements For The 8a Program

The first step is usually associated with potential candidates checking out their Small Business Administration‘s (SBA) size standards. It doesn’t matter the nature of your business, there is always a North American Industry Classification Standard (NAICS) code associated with your business. Your SBA will determine the size of your entity by your workforce or your annual revenues. For instance, if your firm deals in manufacturing machine tools accessories or machine cutting tools, its NAICS code will be 333515. For the entity’s consideration as a small business, it must have less than five hundred employees.

The next requirement centers on the business owner. According to the stipulated rules of the 8a Program, the entity applying for the program has to be 51% owned by people who are socially and economically disadvantaged. Further to this, they have to take part in the daily operation and planning of the business. The question stands. What does it mean to be economically and socially disadvantaged?

Simply put it means;

Individuals who have experienced or been a subject of either ethnic, cultural, or racial prejudice within the American society due to them identifying or subscribing to particular groups without regarding their individual qualities. Further, their social disadvantages must emanate from factors beyond their control.

Such groups of people under this category would include; African Americans, Hispanic Americans, Asia Pacific Americans, Native Americans, Sub-continent Asian Americans, and any other group of individuals classified by the SBA from time to time.

Under the social disadvantage bracket, we have; the physically handicapped, gender affiliations, Being a long term residence in a placed ascribed as being isolated from the mainstream American society, and any quality that makes one a target for discrimination or prejudice that is beyond one’s control.

The second stage highlights the economic disadvantage part which states that;

Socially disadvantaged individuals whose ability to take part in a free enterprise system hasn’t been successful due to lack of credit opportunities or diminished financial capabilities in comparison to others who are in the same line of business or who aren’t disadvantaged socially.

To qualify for the program, one has to meet the government programs socio-economic requirements as mentioned above. Other factors that are taken into account to be eligible for the program has to do with personal income, net worth and one’s value in personal assets as outlined below:

  1. Have a personal net worth of $250,000 or below
  2. Have an adjustable three-year gross income of $250, 000 or less
  3. The owner’s assets should be $4,000,000 or lower.

 

Requirements for Registration

Before registration, each entity or firm needs to take an online assessment evaluation to gauge its suitability for the course. The first segment of the course explains the program in detail, which culminates in a self-assessment eligibility test. The test comprises of simple yes and no answers aimed at evaluating the degree to which one’s entity meets the stipulated requirements of the 8a program. In the eventuality that your firm doesn’t match the stated requirements, you’ll get directed to the SBA resource tasked to aid you at that time.

The application process typically gets done electronically. If, however, you would like to do it on paper, you are required to get in touch with your local SBA District’s office to obtain the necessary application papers.

 

Conclusion

It is imperative for local firms or businesses that view themselves as economically and socially disadvantaged to register for such development programs to take advantage of federal allocations. Despite the registration process being hard, the benefits remain to be quite immense and would boost one’s business to the next level keeping in mind that such allocations will always be forthcoming.

Everything About the Commercial And Government Entity (CAGE) Code

Posted on by Eric Coffie

Learn what is a CAGE code and what are the things you need to consider about this in registering in the SAM database!

WHAT IS A CAGE CODE?

The Commercial And Government Entity (CAGE) code is a five-character ID number assigned by the Department of Defense’s Defense Logistics Agency (DLA).

This code is extensively used within the federal government in order to support a variety of mechanized systems and provide a standardized method of identifying a given legal entity at a specific location.

This code may be used for a facility clearance or a pre-award survey.

DON’T WORRY ABOUT THIS CODE!

One thing that you should consider is that you do not need to have a CAGE code prior to registration. This will be assigned to you for FREE when you register in the System for Award Management (SAM) database.

What happens is once the Entity Registration is submitted for processing, information will be routed to the DLA for CAGE code assignment.

Once the CAGE code has been approved, it will be sent back to SAM and added to the Entity Registration.

If for any reason, there is an issue with your CAGE code, you will receive an email notification. Please follow the instructions in the email to address these issues.

RESOURCES

Having a CAGE code is just one of the steps in the SAM registration process. With other things that you need in registering as a vendor and doing business with the federal government, let GovCon Giants help you. 

Just visit our website and other social media platforms or check the new GovCon Edu where you learn everything about government contracting!

You can also check these resources below to learn more about the topic above and other resources that you might need:

What is a CAGE Code?

https://www.youtube.com/watch?v=wcz-GpTaAp8&list=PL6-jBNNcc98uGELU5VdhxbF4ZWFqa9OLf

Where do I start?

https://www.youtube.com/playlist?list=PL6-jBNNcc98vgItLSmWLW2nZfNv9gOFeJ

SAM.gov

https://www.youtube.com/playlist?list=PL6-jBNNcc98vntvG28s7FkbA5ZHzh5ttR

Small Business Tips

https://www.youtube.com/playlist?list=PL6-jBNNcc98s8Wokfs6Gg03bCuthc8bkk

Where Do I Start? List of GovCon Videos to Watch!

Posted on by Eric Coffie

Working in the federal marketplace can be a journey, so to help you better learn where to start, GovCon Giant made this list of videos to watch for you to follow!

THIS IS OUR STORY

Before we dive into some lessons, find out who is Eric Coffie and what is our mission here at GovCon Giants.

Listen to Eric Coffie’s 2020 Challenge video and learn our story and see why we believe that every small business on the planet should be doing government contracts!

“My name is Eric Coffie and it’s my mission in life to help small businesses achieve overwhelming success in the federal marketplace… I know that by creating an army of excellent contractors that operate ethically, we’ll provide the optimum value and best price for the government, we can curb this deficit spending trend, and start solving some of the life’s real challenges that this country faces you.”

BUSINESS BASICS

1. Learn the basics of government contracting. 

Before you start your company, learn the marketplace first. Remember, the government arena is different from the commercial marketplace.

With this, we give you a little summary of the fundamentals. This video will give you an overview of the basic building blocks to successfully win federal contracts.

2. Form your company.

Before doing business with the government, you need to incorporate your business. Remember the U.S. is a capitalistic society, even if you don’t have a tangible business, get incorporated now.

Still needs more reasons to incorporate? Watch this video: Six (6) Reasons to Form your corporation. 

3. Get your DUNS number. 

A Data Universal Numbering System (DUNS) is a nine-digit identification number assigned to identify your business and to track your company’s credit record.

While the SAM database is extending the transition from using the DUNS number to the New Unique Entity Identifier (UEI) in April 2022, you still need to get your DUNS number before registering to the database. 

Want to know more about how to do it? Check this video on how to apply for a DUNS number. Please note that getting your DUNS number is absolutely FREE and you don’t have to pay someone to get this done.

4. Choose your NAICS code. 

A North American Industry Classification System (NAICS) code is a six-digit long code that helps classify the types of products and services that you supply.

The government actually permits having multiple NAICS codes, if you provide a wide variety of supplies. However, be careful in choosing because choosing the wrong NAICS code can cost you millions.  

5. Register in SAM.

The System for Award Management (SAM) database is a platform to properly represent your business in the federal contracting arena.

Depending on the complexity of your business, your registration might take about an hour and it can also take an average of 7-10 business days to process it in the database. You can check more information about the SAM.gov database here. 

If you want to learn more on how to register, then check these SAM Registration Tips. We also have a registration playlist in both Italian and Spanish language. 

WINNING TIPS AND STRATEGIES

1. Consultant or Contractor?

Now, there are two paths that you can take… be a consultant or a contractor. A consultant is a person who represents a firm and helps you win contracts, meanwhile a contractor is the company that actually does the work with their team. 

If you want to be a consultant, then check this video on how to get started as a consultant or check this playlist on consulting.

2. Where to look for contract opportunities?

After you create your company, you’re probably looking for a few ideas of how to make money using the power of the government. Here are a few places to start: How to make money online – no sales required.

3.  Are you eligible for these?

The federal government allocates 23% of all contracting dollars to small businesses. That’s a whopping $156 billion dollars!

So, if you have a woman-owned small business, a service-disabled veteran-owned small business, a small disadvantaged business, or a Historically Underutilized Business, then check these small business programs!

You can also check our playlist about the 8a program which offers a broad scope of assistance to small firms.

BUSINESS ADVICE

1. Business is like a jungle. 

Once you start learning how to make money, be careful because there will always be people who will try to take you down. Business is like a jungle, as they say. 

“They’re out there and they’re looking to take you down. Again, they’re coming from the bottom, they come up from the top, and if you can get through that jungle and you could make it on the other side, then you’re going to be successful in business. Just keep in mind that they’re all there to stop you from your pursuit of getting out the other side.”

2. Pain is positive. 

Scared to say the wrong things? Afraid to make mistakes? Faced with mental struggles? Our life can be compared to evolution and adaptation. Remember, the strong survive and the weak shall perish. Learn more why I say that pain is positive and helps you ascend to new heights!

3. Fair and failure are cousins. 

If you think that everything is too much for you, understand that fear and failure are cousins. These two are causing the death of many good ideas that never materialized. So, learn how to handle fear in this video.

4. Success does not discriminate. 

Don’t worry about the naysayers, the doubters, and the haters because regardless of your background, they will always say something negative towards you. 

Remember this, all of my rich friends started with no experience. Some of them are former criminals, most have no college degree, and little formal education. But they are all successful. Why? Because success does not discriminate.

GET INSPIRATION FROM US!

Starting is not easy, but it is necessary. Throughout the journey towards success, you will face a lot of setbacks. With this, you can learn from the personal philosophy that I use to develop a mental foundation.

You can also learn from these techniques that I use to become the smartest persons in the room.

Consider that all of those things that you are feeling right now are normal for a business owner, but you should not focus too much on these matters. 

If you want inspiration, you can check the story of how I leveraged the techniques above to land more than $1.5 million in contracts.

You can also check other GovCon Giants who have already gained success in the government arena through our podcast.

“I was born in a very poor community down in Miami, Florida… It was a predominanty black community and I grew up and we saw guns and knives, and we saw prostitution and drugs. And you know what? I chose a different path for myself. I chose a different way… I started a business, I started a company, I jump into real estate, I bought property, I made investments. And so, I’m telling you that I’m living proof of it.”