Government Contracting 101: What All Businesses Need to Know

February 18, 2014

Wyoming Entrepreneur Procurement Technical Assistance CenterBrett Housholder

Andrea LewisAlyssa Lozier

Topics• Part I – Basics to

Consider Before You Jump Into Government Contracting• How is the Govt.

market different?• How much does the

Govt. buy of your good/service?

• What are basic requirements?

• How do you market to the Govt.?

Topics• Part II – What You

Need to Know After You Jump Into Government Contracting• Set Asides• Purchasing Thresholds• Types of Solicitations• Types of Contracts• How to Find

Opportunities

Topics• Part III – How to

Pursue Opportunities• Offer/Acceptance• How Contracts Are

Awarded• Responsive vs.

Responsible• Proposal Review• Payment

PART I: The Basics

Comparing Government Markets to Commercial Markets

How is it Different?

• Utilizes Federal Acquisition Regulations (FAR)• Competition requirements• Strives for achievement of socioeconomic

objectives– Small business, woman-owned, HUBZone, 8a,

veteran-owned– http://www.sba.gov/content/small-business-goaling

• Specific federal requirements– Service Contract ACT/Davis Bacon ACT

The FAR System

What is the FAR?

• Federal Acquisition Regulations (and Agency Supplements)

• Title 48 of the Code of Federal Regulations• Divided into 53 Parts– Parts 1 – 51: Regulations– Part 52: Provisions and Clauses– Part 53: Forms

Where Do I Find the FAR?

• Federal Site:https://www.acquisition.gov/far/

• Air Force Sitehttp://farsite.hill.af.mil/

Who Can I Work With?

Who Can I Work With?

• Here’s where it gets tricky. These different agencies may have different requirements.

Federal

State

Local

How Can it Benefit Me?

• New Revenue Source• Builds Relationships• Reliable Customer• Competition

The Government Market

Am I Missing Opportunities?

• $460.4 Billion spent in FY2013• Because it seems too complicated, businesses

may be hesitant to become involved.

Source: http://usaspending.gov/

What About Wyoming?

• Next highest dollar recipient locations – ID, CO, VA, CA

Source: http://usaspending.gov/

82.69 % of the dollars to

out-of-state firms

$53,921,438 (17.31%) to

WY recipients

$311,435,346 awarded in FY13

in WY

4,641 Federal Contract Actions

Getting Started

What Should I Think About Before I Start?

• Assess your current situation– How long have you been in business?– What are your annual revenues?– How much “past performance” can you show?– Do you accept credit cards?– Can you work online?

• Determine if the government buys what you sell, and how much of it…

Where Do I Look?

• North American Industry Classification System (NAICS)– http://www.census.gov/eos/www/naics/

• Federal Procurement Data System (FPDS)– https://www.fpds.gov – (note: https)

• USASpending– http://www.usaspending.gov– registration/login not required

Requirements

What Do I Have to Do?

Certain registrations are absolutely required– Must obtain a DUNS number– Must register in System for Award Management

(SAM)• Should also fill out an SBA Profile from within SAM, also

know as the Dynamic Small Business Search (DSBS)

D&B iUpdate

Dun & Bradstreet assigns you a DUNS number– http://fedgov.dnb.com/webform– This is free - do NOT pay for ANY service offered

by D&B or anyone else!– Call your PTAC for help or if you have any

questions about this process

System for Award Management (SAM)

Replaces/combines CCR, ORCA, EPL– https://www.sam.gov/ (make SURE this is the site

you use)– Absolutely must be registered here to receive any

government contracts– Designed to be a single resource for multiple

required registrations

Marketing to the Government

What Should I Do to Market My Business?

• To effectively market your company’s product or service:– Identify your customers– Research their requirements– Learn federal procurement regulations

• Present your capabilities directly to the federal agencies and large prime contractors that buy your products and services

• Attend procurement conferences, business expos and business matchmaking events

• Add details to your Dynamic Small Business Search (DSBS) profile (e.g., certifications, commercial customers, federal customers, special capabilities).

• Show contracting officers that your company is a good match for their needs and requirements

Where is the Best Place to Start?

• Dynamic Small Business Search (DSBS)• Not an absolute requirement, but still vital to contracting

success– http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfm– This is your tool to market to contracting officers– Your opportunity to tell agencies what you’re good at, what

products & services you provide, and what past work you’ve done

– Able to be edited through SAM (SBA Profile)

What is a Capabilities Statement?

• Capabilities Statement– One page – As an intro at events– Brochure – As part of response to an RFP– Detailed presentation – for capabilities briefings

• Include relevant data like NAICS, DUNS, past performance, certifications, core competencies, differentiators, etc.

• Tailor it whenever possible