Title: U.S. Small Business Administration
1U.S. Small Business Administration
- Selling to The Federal Government
- Winning
- Federal Contracts
- for the
- IRS and NCMA
- Greater New York Vendor Outreach Workshop
- April 16, 2009
2Federal Contracting Facts
- The federal government is one of the largest
single sources of US contracting opportunities
for small businesses - Contracts exist for every item imaginable, from
paper clips to armored tanks - In 2006, small businesses won
- 77 billion in direct prime contracts
- 65 billion in subcontracts
- over 142 billion in total federal contracts
3Why a Small Business Program?
- It is the policy of the United States that small
business (SB) concerns shall have the maximum
practicable opportunity to participate in the
performance of contracts awarded by any Federal
agency. - The United States uses the procurement process to
advance socio-economic policies and objectives. - Government Policy Over Several Decades
- Numerous Statutes, beginning with the Small
Business Act as amended - Various Executive Orders
- Federal Acquisition Regulation (48 CFR, Part 19)
- SBA Regulations (13 CFR)
4Basis for SBA Programs
- Small Business Act
- Implements Congressional Policy to aid, counsel,
assist protect the interests of small business
concerns - Goal of policy is to ensure that a fair
proportion of purchases, contracts subcontracts
be placed with small businesses
5Get to Know SBAs Website
- At www.sba.gov/businessop/index/html, take online
federal procurement training modules to improve
your companys odds to win federal prime and
subcontracts - Topics today include
- Defining the Market
- How the Government Buys
- Contractor Responsibilities
- And many more
6What is a Small Business?
- According to regulation (FAR 19.001)
- Concern Any business entity organized for
profit with a place of business located in the
U.S. - Small business concern means a concern,
including its affiliates, that is independently
owned and operated, not dominant in the field of
operation in which it is bidding on government
contracts, and qualified as a small business
under the criteria and size standards in 13 CFR
Part 121.
7Prime ContractingGovernment-wide Procurement
Goals
- Small Business (SB) - 23
- Small Disadvantaged Business (SDB) - 5
- Women-Owned Small Business (WOSB) - 5
- HUBZone Small Business - 3
- Service-Disabled Veteran-Owned SB (SDVOSB) - 3
8How the Government Buys
- Order of Precedence
- FAR 8.603 FPI and AbilityOne
- GSA or other Federal Supply Schedule
- 8(a) sole source/competitive 8(a)-HUBZone
firms - HUBZone competition, HUBZone sole source
- Service Disabled Veteran Set-aside, Sole Source
(1st priority for the VA (and VOSB 2nd) - Small Business Set-aside
- Full and Open
- SBAs Position Contracting Officers should use
their best judgment as - to which vehicle ( 8(a), HUBZone, or Service
Disabled Veteran Owned) - is most appropriate for their buy. Program Goal
achievement is a factor - in this determination. Controversial
9 How the Government Buys MAS/FSS
- MAS/FSS Contracts GSA establishes long-term
government-wide contracts for the entire
government to provide access to over 11 million
commercial supplies (products) and services - Preferred method and widely used
- The General Services Administration (GSA) manages
- Multiple Award Schedules (MAS) contracts,
- aka Federal Supply Schedule (FSS) contracts
- Contact GSA for more information on how to obtain
a MAS/FSS contract at http//www.gsa.gov and
select link to GSA Contracts and Schedules
10First Thing To Do Get Registered
- Obtain a DUNS Number that will identify your
business to the federal government by visiting
www.dnb.com - In order to win federal contracts, your business
must be registered in the federal governments
Central Contractor Registration (CCR) database at - www.ccr.gov
- Online Representations and Certifications
Application (ORCA) https//orca.bpn.gov/
11Identify Your Product or Service
- 2 different coding systems
- Federal Supply Classification Code (FSC)
- http//www.drms.dla.mil/asset/fsclist.html
- North American Industry Classification System
Code (NAICS) - http//www.census.gov/eos/www/naics/
12 Know the Federal Contract Certifications
- Self-Certifications
- Small Business NAICS Codes/Size Standards
- Women-owned Small Business (WOSB)
- Veteran-owned Small Business (VOSB)
- Service-Disabled Veteran-owned Small Business
- (SDVOSB)
- SBAs Formal Certification Programs 8(a)
Business Development - HUBZone Empowerment Contracting
-
13Find Out If You Qualify for SBA Certifications
- Require formal certification (pre-approval) by
the government - 8(a) - Socially and economically disadvantaged
firms enrolled in a 9-year business development
program eligible to receive competitive and sole
source awards. www.sba.gov/8abd - HUBZone - Small businesses, owned and controlled
by only by US Citizens, community Development
Corps, Indian tribes with its principal office
located in areas identified as historically
underutilized business zones, and with 35 of
employees coming from HUBZones, eligible to
receive competitive and sole source awards. - www.sba.gov/hubzone
14Eligibility for 8(a) SDB Programs
- 8(a) SDB
- A small Business A small business
- US Citizen US Citizen
- 51 owned and controlled Same
controlled by socially - economically disadvantaged
- individuals
- Net worth below 250K Net worth below 750K
- In business at least 2 years
15HUBZone Requirements
- FOUR Requirements
- Must be a small business by SBA standards
- Concern must be owned and controlled only by
US Citizens, Community Development Corporation or
Indian Tribes - The principal office must be located in a
HUBZone - At least 35 of the concerns employees must
reside in a HUBZone
16HUBZone Program
- Applies to purchases over 3000
- Must be certified by SBA - no term limits
- Annual self-certification required after
initial approval - Competitive and sole source set-aside program
benefits - Cant consider actions for HUBZone SA if FSS,
UNICOR, NIB/NISH, or 8(a) - Sole source Up to 5.5 M (mfg) and Up to 3.5M
(non-mfg) - 10 price evaluation preference (on non
set-asides) - Principal office must be in a HUBZone
- 35 of employees must live in a HUBZone
- FAR 19.13
17Service-Disabled Veteran-Owned Small Businesses
- Sole Source
- Buys over 100,000
- Only 1 Source
- Up to 5.5 M (mfg)
- Up to 3.5 M (non-mfg)
- Cant consider if FSS,
- UNICOR, NIB/NISH,
- or 8(a)
- Set-Aside
- - Buys over 3000
- - Rule of Two
- - No upward limit
- - Cant consider if
- FSS, UNICOR,
- NIB/NISH, or 8(a)
18Service-Disabled Veteran-Owned Small Businesses
- Additional Points to Remember
- VA determines Service Disability - SBA
determines size, if protested - No term limits no need to apply or reapply
- Competitive and sole-source program benefits
- Subcontracting and Prime Contracting goals
- FAR 19.14
19Identify Contract Opportunities
- Federal Business Opportunities (FedBizOpps) (FBO)
is the exclusive official source to identify
federal contracts over 25,000 - www.fedbizopps.gov or www.fbo.gov
- Demonstration Videos - Training videos are now
available to familiarize users with the features
and functionality of the new FBO - Sources Sought Notices in the FBO Become
familiar with and Respond to these notices. - Large contract awards and special notices (e.g.,
procurement conferences) are also publicized in
the FBO. - Contains Recovery and Reinvestment Act Actions
20Learn Federal Contracting Procedures
- In order to win federal contracts, you must
become familiar with federal regulations - . Federal Acquisition Regulations (FAR)
- www.acqnet.gov/far
- Subpart 8.4 Federal Supply
- Schedules
- Part 13 Simplified Acquisitions
- Part 14 Sealed Bidding
- Part 15 Contracting by Negotiation
- Part 19 - Small Business Programs
- Defense Federal Acquisition Regulation Supplement
(DFARS) www.acq.osd.mil/dpap/
21Prepare your offer
- 3 Rules for a solicitation
- -Read itRead itRead it!!!
- Request a Procurement History
- Attend Pre-Bid Meetings
- Walk-Throughs
- Get clarification of ambiguities
- Proofread your proposal
- Submit it on time!
22Contract Performance
- Contingency Plans
- Have a back up plan if something goes wrong
- Give yourself enough time to react
- Anticipating Final Inspection
- Make an appointment before shipping date
- On-Time delivery
- Establish a good track record
23Getting Paid
- Know the paperwork process
- Keep good records
- Know your options
- Progress payments
- Prompt Payment Act
- EFT (electronic funds transfer)
- Accept government credit cards
24Market Your Company
- In order to effectively market your companys
product or service, you must - Identify your customers
- Research their requirements
- Learn federal procurement regulations
- Present your capabilities directly to the federal
activities and large prime contractors that buy
your products and services - Attend procurement conferences and business expos
- Attend Business Matchmaking events
- Add details to DSBS your Dynamic Small Business
Search profile (e.g., GSA schedule number,
commercial customers, federal customers, special
capabilities). - Show contracting officers that your company is a
good match for their needs and requirements
25Market Your Company
- TARGET YOUR CUSTOMER Who buys your product or
service? How do they buy? When do they buy? - KNOW THE RULES Federal Acquisition
Regulations, Contract requirements and
specifications - PERFORM AS PROMISED On-time delivery, Good
Quality, at a Fair Price - CHAMPION of EXCELLENCE
- PLEASANTLY PERSISTENT
26Explore Subcontracting Opportunities
- Prime contract winners often require subcontracts
to fulfill their requirements - The SBA/GC Subcontracting Opportunities Directory
lists by state the large business federal prime
contractors with the contact information for each
Small Business Liaison Officer (SBLO). View the
directory at http//www.sba.gov/aboutsba/sbaprogr
ams/gc/contacts/gc_subcontracts_opportunities.html
- SBAs SUB-Net Federal agencies, state and local
governments, non-profit organizations, colleges
and universities, and small businesses can use
SUB-Net to post solicitations and notices.
SUB-Net can be reached through the SBAs Home
Page at http//web.sba.gov/subnet.
27Seek Help From Resource Partners
- PTAC www.dla.mil/db/procurem.htm
- Small Business Development Centers - LIDC
- Women Business Centers
- http//www.sba.gov/aboutsba/sbaprograms/onlinewbc
/index.html - SCORE - Get Advice (online and in-person
mentoring) from Successful Business Advisors
www.score.org
28Seek Help From Resource Partners
- Additional Help
- Commercial Market Representatives
- www.sba.gov/gc/indexcontacts.html
- Small Business Specialists
- www.defenselink.mil/
- Directors of Federal Agency Office of Small and
Disadvantaged Business Utilization - www.osdbu.gov
29Learn About Other SBA Programs
- Find other SBA programs at http//www.sba.gov/inde
x.html - - Financial Assistance
- - Contract Opportunities
- - Online Training - Free Online Courses
- - Counseling Assistance
- - Laws and Regulations
30U.S. Small Business Administration
- Debra B. Libow
- Procurement Center Representative
- at
- debra.libow_at_sba.gov
- 212-264-4395
- U.S. Small Business Administration
- OFFICE OF GOVERNMENT CONTRACTING
- Area I (CT, ME, MA, NH, NJ, NY, RI, VT, PR and
the USVI)