Education

The US government awards billions of dollars of business contracts for various projects, and their goal is to try and award 23% of the value to small business. If those projects are in your industry, gaining a contract is a great way to not only grow your business, but to enhance your reputation as well.

It’s important to make the most of the opportunity if it arises.

Register to Tender

The first step is to check that you qualify as a small business for government contracting services. The SBA has a friendly online tool to check your status.

Then register on the System for Award Management (SAM), and review the information on the SBA Federal Contracting page.

Understand, Analyze, and Plan

To successfully compete for government work you need to navigate your way through the multiple resources at your disposal:

• Use the Federal Business Opportunities site to find the latest tenders
• Use the GSA which offers private sector professional services, equipment, supplies, and IT to government organizations and the military
• Understand your customer – in this case it will be a government agency or department, so be aware of how they work, what they’re looking for, and their decision-making process
• Analyse the opportunities – only the ones where your business is an expert. Take a look at the Contracting Opportunity Finder, which allows you to filter and search for contracts that may apply to your business
• Plan each tender – go over the tender documents as soon as you decide that your business will make a bid.  Attend any pre-tender briefing sessions and ask for explanations on any points you’re unsure about. You need to determine if you can complete the tender on time.

There are hundreds of people across the US making buying decisions on behalf of the US Government, so it’s worth investing time to find out about the specific business needs of different agencies. This way you’ll be able to target the most appropriate markets for your type of business.

Partner Up

If the job is taking place in a different state to the one your business is in, it’s sometimes worth forming strategic partnerships with businesses in that state. You’d need to outline in the tender how you intend to fulfil the job and how the partnership will work.

Research the Bidding Process

What you don’t want is to miss out on a contract because you don’t fully understand how the bidding process works. It’s really important to make sure you find out the steps you’ll need to take, and how key decisions are made. So keep in mind:

• The bid deadlines – there may be more than one for different aspects of the bid
• The decision maker(s) – who’s responsible for deciding whether you get the green light?
• The key details – make sure you’re aware of what the job itself entails, so that your bid can outline how you have the experience and ability to fulfil it.

It’s also important to decide who will be responsible for gathering any information on the bid.

Commit to the Process

After you’ve registered and have decided on the right tender to bid for, you’ll need to knuckle down and get the pre-tender work done and commit to the process, which could take some time. Don’t be disappointed if you’re not successful with your first bid. It’s still valuable experience, and you’ll begin to develop a relationship with the right people in government while honing your tendering skills.

Build a Body of Work

Many government agencies think of past performance as a vital indicator of potential success. Aim to get your foot in the door by working on smaller contracts to build your credibility. One option might be to start sub-contracting by offering to provide services for one of the larger government contractors.

Develop Relationships

Strong relationships with the right government workers can be the difference between winning a contract and missing out. It’s important to build positive relationships with the right people in the government department or agency you’re targeting.

Prepare Your Pitch

It’s easy to get lost in the bidding process without being totally prepared for pitching your bid to the best of your ability.

Develop a plan for how you’ll pitch your bid when the time comes. Some of the actions you’ll need to take include:

• Prepare to pitch to the right audience – this is where building a relationship with the government workers will prove invaluable.  Understand your audience and what they expect, and bid accordingly
• Responding to each clause – go through the government contract and document each clause that requires a response. Be careful not to miss any responses or your whole bid might become ineligible.

If you’ve planned out your pitch well, you’ll give your business the best chance to win the contract.

While we hope you find this content useful, it is only intended to serve as a starting point. Nothing in this article, nor in any associated resources, should be construed as financial or legal advice. Furthermore, while we have made good faith efforts to ensure that the information presented was correct as of the date the content was prepared. CSB disclaims any liability arising from the use or misuse of these materials and, by visiting this site, you agree to release CSB from any such liability. Do not rely upon the information provided in this content when making decisions regarding financial or legal matters without first consulting with a qualified, licensed professional.