| Getting Started with Federal Government Contracting |
Government Contracting should be considered the gravy for a business and not the meat and potatoes. This is not an immediate process, it can take months of marketing to land an initial contract and longer to land a major contract.
You have to remember that unless you have invented something brand new, the government is already purchasing the product or service from some other company now. You are trying to convince the government instead of purchasing your product or service from their current supplier, but trying to convince them to purchase it from you!
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| Federal Government Contracting |
If you
desire to do Federal Government Contracting, then you have to register
in the Central Contractor Registration (CCR). The following is the
steps that you have to take:
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| Step 1 - Things You Need to Have Before You Start |
- Must have a Data Universal Numbering System (DUNS) Number provided by Dun and Bradstreet (D&B).
- If you have one, make sure the address matches your current physical address.
- Contact number if having problems with D&B online - 1-866-705-5711
- If you do not have one, go to:
http://fedgov.dnb.com/webform/
- Must have a Tax Identification Number (TIN) and Taxpayer Name and Address used in filing with the IRS.
- NOTE: This information needs to match with your DUNS Number and what you are going to enter in CCR.
- The information is verified between IRS - D&B - CCR.
- The Company Name and TIN must match in all three locations.
- To request a TIN, go to:
http://www.irs.gov/businesses/small/article/0,,id=97860,00.html
- Statistical Information on your Company.
- Type of Ownership: Sole Proprietorship, Partnership, Corporation, etc.
- Company Codes, based on what products or services you provide:
- North American Industry Classification System (NAICS) Codes: you can search for your codes at:
http://www.census.gov/eos/www/naics/
- Standard Industrial Classification (SIC) System is no longer used and replaced by NAICS. However, until it is removed from all contracting, you need to know and enter your codes. You can search for your codes at:
http://www.osha.gov/pls/imis/sicsearch.html
- Product Service Codes (PSC) the lettering system provides the product and service codes that will be used in the Federal Procurement Data System:
http://www.outreachsystems.com/resources/tables/pscs/
- Federal Supply Classification (FSC) the numeric system presents the classification structure of the Supplies and Equipment Codes, showing all groups and classes listed:
http://www.outreachsystems.com/resources/tables/pscs/
- Average number of employees, based on the past 12 months.
- Average annual receipts, based on the last three completed fiscal years.
- SBA Size standards determines if you are a small business is based on the number of employees or annual receipts on your designated NAICS codes. You can check this at:
http://www.sba.gov/contractingopportunities/officials/size/index.html
- What qualifications do you qualify for based on your business organization (51% Ownership): Small Business, Woman Owned, Minority Owned, Native American Owned, Veteran Owned, Service Disabled Veteran Owned, etc.
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| Step 2 - Central Contractor Registration (CCR) |
Click on "Start new Registration" and follow the web page prompts. Prior to beginning, visit the CCR Registration Help page:
Helpful Hints:
You will have to create an User Account. Once you have it set up, the password only remains valid for 60 days, so make sure you fill out and remember your six security questions. To keep your CCR Registration Active you will need to renew it once a year. Once you have gone into the update/renew link, it will renew your registration for one year from the last date it was successfully saved. Company Name and Address, must be the same, including any special characters, abbreviations, or periods. You will access your Small Business Profile from the CCR registration.
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| Step 2a - Online Representations and Certifications Application (ORCA) |
The Online Representations and Certifications Application (ORCA) is an e-Government initiative that was designed by the Integrated
Acquisition Environment (IAE) to replace the paper based Representations and
Certifications (Reps and Certs) process. If you are going to compete for a Federal contract, you will have to complete this application. You can find the link from the CCR website along the top or go to:
https://orca.bpn.gov/
This eliminates about 25 pages of contract information, since it is asked for every agreement and contract. In filling out the documents, it pulls the information from your CCR registration and will have some things already filled out. Your responses will either be yes, no, or not at this time.
Contact us when you have questions.
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| Step 3 - Small Business Administration (SBA) Registrations |
In Federal Government Contracting several business classifications are self certifying: Woman Owned, Small Business, Veteran Owned, Service Disabled Veteran, etc. The Small Business Administration (SBA) is responsible for providing several certifications. These are:
8(a) Business Development (BD) Program: The SBA's 8(a) BD Program, named for a section of the Small Business Act, is a
business development program created to help small disadvantaged businesses
compete in the American economy and access the federal procurement market. More information can be found at:
Historically Underutilized Business (HUB) Zone: The HUBZone Program stimulates economic development and creates jobs in urban
and rural communities by providing Federal contracting preferences to small
businesses. These preferences go to small businesses that obtain HUBZone
(Historically Underutilized Business Zone) certification in part by employing
staff who live in a HUBZone. The company must also maintain a "principal office"
in one of these specially designated areas. [A principal office can be
different from a company headquarters, as explained later in this document.]
The program resulted from provisions contained in the Small Business
Reauthorization Act of 1997. Additional information on this program can be found at:
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HUBZone Screen Shots |
HUBZone Screen Shots
This provides a sample application for the HUBZone Program to allow you to review what will be requested while filling this out online.
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HUBZone Supporting Documenation |
HUBZone Program Office Supporting Documentation Request
The documents listed below are used to determine your eligibility along with the information provided via the online application. This document can also be used as a checklist to assist you in gathering supporting documents to submit to the SBA HUBZone Program Office. Please note that depending on your particular circumstances, you may be asked to submit additional documents that are not listed here.
REMEMBER: Please do not submit any documents before requested by the SBA HUBZone Program Office. Any documentation submitted prior to request will be destroyed. Only send copies NOT originals. All document copies must be legible. All supporting documents must be at the time of Electronic Verification of the HUBZone application.
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HUBZone Certification Form |
HUBZone Program Certification for Applicants
This is a supplemental form that will need to be completed and submitted to the SBA HUBZone Program office. This is in addition to the online registration.
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| Federal Contracting Helpful Hints - Hopefully |
- GOALS: The Federal Government has specified goals for government contracting to included prime and subcontracting goals. This to ensure that the Federal Government will achieve not less than 23 percent to small businesses, not less than 5 percent to
woman-owned small businesses, small disadvantaged businesses (SDB and 8(a)), and not less
than 3 percent to service disabled veteran-owned small businesses and certified
HUBZone small businesses. More information can be found at:
http://www.sba.gov/aboutsba/sbaprograms/goals/index.html
- Unlike the State of Texas goals, this should be considered as a quota and not just a goal. Government employees can get fired if they do not meet them.
- Companies need to market these socioeconomic qualifications; but, only after stating "We provide a good quality product or service at a competitive price."
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- SBA Website:
The SBA offers a wide array of programs and "hands-on" assistance to small businesses considering the federal marketplace. From this site you can identify local SBA contracting experts who can be an invaluable resource to you, whether you are
new to government contracting or are currently doing business with the Government and are seeking advice on how to deal with a particular issue. From the "Resources and Opportunities" section on the website, you will find links to additional procurement-related programs and assistance. In addition, this site provides information about other SBA resources including Small Business Development Centers, Service Corps of Retired Executives (SCORE), and Women's Business Development Centers. More information can be found at:
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- GSA Credit Cards:
The More than 250,000 Federal employees are using the GSA Smartpay cards. As a vendor you can maximize your ability to capture government sales by accepting credit cards
(Visa, MasterCard and Voyager). If you already accept these cards, you have no additional work to do. If you do not accept these cards contact a bank to establish a merchant account. More information can be found at:
http://www.gsa.gov/Portal/gsa/ep/contentView.do?contentType=GSA_OVERVIEW&contentId=10141
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- Market, Market, Market:
The three most important words to remember in order to be successful in the Federal
Procurement Arena is market, market, market.
After you have identified your customers, researched their requirements,
and familiarized yourself with the Government's procurement regulations and
strategies, it is time to market your product or service. Present your capabilities directly to those
buying offices that purchase your products or services. Realize that, like you, their time is valuable
and if the match is a good one and you can provide them with a cost-effective,
quality solution to their requirements the contract could be yours. Good luck and remember - you're not alone.
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