Tag: Small business administration

SOURCES SOUGHT: Consolidated Application Development & Maintenance and IT Specialty Services

Posted on by Eric Coffie

This is the notification that Headquarters Army Sustainment Command intends to consolidate two information technology requirements that are currently being performed by Small Business Administration 8(a) Program participants into a single unified 8(a) requirement. This single requirement would combine the requirements of the following contracts W52P1J-16-C-4009 ASC Application Development & Maintenance and W52P1J-17-C-0043 Information Technology Specialized Services (non-C4IM). The current performance work statements for both requirements have been attached to provide interested parties with the necessary information to determine if they have the capability to perform this combined requirement. HQ ASC intends to award one (1)
combination Firm-Fixed-Priced (FFP) and Labor-Hour (L/H) type contract consisting of one (1) thirty (30) day transition period, one eleven (11) month base year with four (4) twelve (12) month option years, and one (1) six (6) month option to extend. The Information Technology Specialized Services portion of the contract will be Firm-Fixed- Price, while the Application Development & Maintenance portion of the contract will be Labor-Hour.

  • Original Set Aside: 8(a) Set-Aside (FAR 19.8)
  • Product Service Code: DA01 – IT AND TELECOM – BUSINESS APPLICATION/APPLICATION DEVELOPMENT SUPPORT SERVICES (LABOR)
  • NAICS Code: 541519 – Other Computer Related Services
  • Place of Performance: Rock Island, IL 61299 USA
  • Original Response Date: May 20, 2021 01:00 pm CDT
  • Full details via beta.sam.gov

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

Michelle Burnette: Executive Director of the HUBZone Contractors National Council

Posted on by Eric Coffie

As an advocate of the HUBZone program for almost 10 years, Michelle Burnette shares her viewpoint about the program and other insights to help small businesses understand and survive the federal marketplace.

BACKGROUND

Michelle Burnette is the current appointed executive director of the HUBZone Contractors National Council,  a member-based nonprofit organization established to advocate, educate, and promote the HUBZone program. 

Her knowledge of the program and expertise on government contracting stems from 10 years supporting the said community both as a small business consultant and a contractor.

While also supporting this mission, Burnette is also managing her own company, PEPBURN LLC, which aims to help small businesses in terms of various government programs.

THE HUBZONE CONTRACTORS NATIONAL COUNCIL

The HUBZone Contractors National Council is made up of a group of companies, organizations, and individuals who have a shared viewpoint on the HUBZone program which is a federal contracting program aimed at facilitating job creation and economic growth.

Their organization is made up of different types of groups. They have large businesses that want to meet their small business subcontracting goals. They also have multiple strategic partnerships with the Society of American Military Engineers and an active MLU with the Small Business Administration. Lastly, they are working together with Native Americans.

“It’s a bunch of people coming together, and that’s how all these nonprofit organizations are. We all have different views, we all have different opinions, but we all have a shared mission of seeing this program meet and fulfill its true mission, which is economic development, job creation in these communities that are historically oppressed.”

THE HUBZONE PROGRAM

The HUBZone program is the only small business program that’s location-based. It was initially enacted as a means to provide a competitive advantage for companies and encourage them to relocate into certain areas that were significantly impacted by unemployment.

“The understanding is that when these companies move into these areas, what do they do? They have to hire individuals. When you hire people, those people, when you have money, spend money. You can’t spend money if you don’t have it.”

When companies relocate to these economically-disadvantaged areas, they live and work in the communities. They’re not just creating jobs for the people, they are providing a holistic effect in investing in the community.

“When companies come into these communities and they are successful and they build an infrastructure, they’re investing in the schools, the medical care, the environment. Some are very environmentally friendly and they change these communities, communities that were lost, that had completely just dwindled and might be being overwhelmed by crime… They breathe life back into these communities, and that’s the point.”

ADVICE FOR SMALL BUSINESSES 

The first thing that you should understand as a small business owner is that you cannot be good at everything. And with this, you need to collaborate with other businesses. Don’t just network to your target agencies, network with other businesses as well.

“Trying to reinvent the wheel on your own, by the time that you even get to the point where you develop the wheel, somebody is going to literally have a hybrid car that is so far past you. It’s not about doing it on your own and starting over. Sometimes, it’s about figuring out ways to work with each other in order to improve on the product.”

Remember that the intelligence, creativity, and technology that stem from small businesses that come together and collaborate could beat even the large businesses in the industry.

However, in order to take advantage of the benefits of your network, you should also bring something to the table.

What value can you provide to your client and to other small businesses? 

RESOURCES

If you want to watch the full video of the interview with Michelle Burnette as she shares her viewpoint about the HUBZone program and other insights to help small  understand and survive the federal marketplace, then be sure to click the links below:

008: Michelle Burnett – The Passionate & Driven Executive Director behind the HUBZone Contractors National Council

https://govcongiants1.wpengine.com/podcast/08-2/

https://www.youtube.com/watch?v=GPSi05DwDJE

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

Meet the Basic Requirements for Government Contractors!

Posted on by Eric Coffie

With billions of budget just to cater each government agency’s needs, you may have already been considering working with the government. However, there are basic requirements for government contractors that you must meet.

LIST OF REQUIREMENTS

1. Gather the necessary codes.

Before you bid on any government proposals, you need to have the necessary codes which you will use to identify your business in the federal arena and classify the products and services that you sell for credit reporting.

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.

If you have various locations, then you need to get a different DUNS number for each business location.

In registering for a DUNS number, you can either request via this toll-free telephone number, 1-(866) 705-5711, or through the D&B website. 

Make sure that in your registration process, you already have all of your important business information which includes your legal name, address, trade name, telephone number, contact name and title, and number of employees in that specific location.

If you are also doing a home-based business operation, then you need to highlight this during your registration. 

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.

If you provide a wide variety of supplies, then you can also have a multiple NAICS code.

You can view the NAICS code list from the U.S. Census Bureau or by contacting the bureau through 1-888-756-2427 or on their email address, [email protected].

2. Meet the size standards. 

In order to qualify for contracts that are reserved only for small businesses, you need to meet the size requirement set by the Small Business Administration (SBA). 

This size standard defines the maximum size of your business which also includes your subsidiaries and affiliates.

It is assigned to each NAICS code and you can only qualify as a small business if you have 500 or fewer employees (manufacturing companies) or with an average annual receipts of under $7.5 million (non-manufacturing businesses).

However, the definition of which can be considered as a small business varies by industry. 

You can view the different size standard requirements for each industry through the SBA’s table of small business size standards or using their tool to determine if you qualify as a small business. 

3. Register in SAM. 

Most importantly, you need to register in the System for Award Management (SAM) database to properly represent your business in the federal contracting arena.

In registering, you primarily need to create an account first. You can either choose an individual user account or a system user account. However, it is preferred to create the latter.

After creating an account, you can already register but make sure that you appropriately fill all of the information.

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 in the database. 

Other than that, you should update your SAM profile on an annual basis or when a certain change in your business information is made. The updating or renewal process might take for approximately an hour before it becomes active on your SAM profile. 

RESOURCES

If you want to learn more about the basic requirements for government contractors that you must meet, then be sure to click the links below.

https://www.sba.gov/federal-contracting/contracting-guide/basic-requirements

https://www.census.gov/eos/www/naics/

https://www.sba.gov/document/support–table-size-standards

https://www.sba.gov/sites/default/files/articles/Registering_on_SAM.pdf

https://www.sam.gov/SAM/transcript/Quick_Guide_for_Updating_or_Renewing_CCR-SAM_Registrations.pdf

A Guide to Becoming a Federal Government Contractor

Posted on by Eric Coffie

The United States government is urging small businesses to take on contracting opportunities to fulfill the needs of each government agency. But what does it take to become a federal government contractor and what are the things to prepare? Well, here is a guide to become a federal government contractor.

1. Research about the market. 

You need to know who your market is, what their demands are, and what can you provide. 

Consider it this way, regardless if you have a high-quality product, when there’s still no demand for that product, you will never make a profit out of it.

This is also the same way with pricing, if you offer too high or too low, there’s a huge chance that agencies will choose other contractors apart from yours.

In doing so, you can research about past contracts and learn about pricing your products and services through the Federal Procurement Data System, USA Spending, and the SAM database.

2. Understand the contracting rules.

Because the government is using the taxpayer’s money to fulfill the demand of the government agencies, they have certain rules and regulations all throughout the contracting process that you must follow. 

Although most of these regulations only take place when you start your contract, you still need to research about these matters to prevent you from facing potential legal problems that will most likely terminate your contract in the future. 

3. Create a business plan.

You need to create a business plan as this helps you structure and run your business.

This doesn’t mean that you need to create a complex business plan but to just highlight and include an effective marketing plan, business details, and resources calculations.

This way, you can easily describe and present your business towards the government and investors.

4. Determine your business category.

The federal government provides an opportunity for small businesses to be certified as women-owned small businesses, small disadvantaged businesses, service-disabled veteran-owned small businesses, and HUBZone program participants. 

Each certification has their own purpose and process in helping small businesses but regardless of what category you are in, the Small Business Administration will help you get acquainted with the procurement process and win contracts. 

Apart from that, the organization will also provide assistance in terms of finances, management, training, and other opportunities for small businesses to compete with huge government contractors. 

5. Provide a matched NAICS code.

The North American Industry Classification System (NAICS) code is a six-digit code classifying the types of products that you sell.

If you also provide a wide variety of multiple products and services, then you can certainly have a multiple NAICS code. 

You can view the NAICS code list from the U.S. Census Bureau or by contacting the bureau through 1-888-756-2427 or on their email address, [email protected].

6. Register for a DUNS number. 

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

If your business is in various locations, then you need to get a different DUNS number for each business location.

To obtain a DUNS number, you can either request via this toll-free telephone number, 1-(866) 705-5711, or through the D&B website. 

7. Register in SAM. 

With lots of businesses across the United States, the government uses this platform to store information about any businesses as well as look for a specific business before awarding any contract. 

So, in order for your business to start working with the federal government, you must register in the System for Award Management (SAM) database first. 

Also, if there are certain changes in your business, you must keep your SAM profile updated. 

8. Find contract opportunities. 

There are a handful of certified online government platforms that you can use to search for contract opportunities. These include the SAM database and the U.S. General Services Administration (GSA). 

You can also look for subcontracting opportunities through SubNet, the SBA Subcontracting Assistance Directory, USA Spending, and on the Department of Defense Prime Contractor Directory. 

Lastly, you can also communicate with any small business offices in your area such as the Office of Small and Disadvantaged Business Utilization or the Office of Small Business Programs.

9. Bid or submit an offer. 

Government agencies either award a contract through sealed bidding or negotiation.

The difference between these two is that with sealed bidding, the offers are spoken in public and the one with the lowest responsive bid is awarded with the contract; however, with negotiation, contractors and the agency will have a chance to negotiate about the proposal. 

Regardless of what type of contract award you want to bid or submit an offer, just make sure that you have read all of the clauses and you have filled the necessary information. 

10. Comply with the contracting rules. 

The contracting officer and the government are very particular with their purchases and any factors not being followed will most likely cause termination. 

These rules include the size standards, the sourcing of the materials, legal requirements, subcontracting limits, and documentation.

The government also imposed various unique business practices and ethical responsibilities that you should follow under the Federal Acquisition Regulation. 

However, if you think that you have met all of the rules and standards above but your contract was still terminated, you have the right to appeal by following the Contract Dispute Act.

Resources

If you want to learn more about the specific processes written in this article regarding how to become a federal government contractor, then be sure to click the links below.

https://www.sba.gov/federal-contracting/contracting-guide/governing-rules-responsibilities

https://www.sba.gov/starting-business/write-your-business-plan

https://www.gsa.gov/portal/category/100635

https://www.sba.gov/federal-contracting/contracting-guide/basic-requirements

https://www.usa.gov/become-government-contractor

https://www.sba.gov/business-guide/grow-your-business/become-federal-contractor