If you are an entrepreneur, whatever region of the world you live in. Some of the best deals (contracts) you would get are definitely from your country’s government. It can be local government, state government or even federal government (central government); The bottom line is that any contract you get from any branch of government is likely to generate huge profits for you compared to what you get from the private sector.
The federal government annually sublets more than $ 500 billion in contracts to private companies, large and small; you can dramatically increase your business’s revenue by securing federal government contracts, as we know that most federal government contracts are supplies that are needed in large quantities.
Although the process of securing the federal government can be long and stressful due to the many protocols; There are a few simpler ways to do it: in a nutshell, this article explains how to get your first contract with the federal government; touching on sub-topics such as things you should suggest for a contract with the federal government, how to bid on a contract, and additional tips to help you secure future contracts with Uncle Sam.
3 things to offer for a contract with the federal government
It is important to note that obtaining a contract with the government is not easy for obvious reasons. If you are applying for a contract with one of the government agencies, there are a lot of other people (companies) that you will have difficulty with as well as the bureaucracy you have to navigate through. Before proceeding with the federal government contract proposal, you must apply the following: style
- Having a business in operation -: The federal government may hesitate to award contracts to businesses or businesses that have not yet been created; they always need the best hands to carry out any contract entrusted to them. So the first thing you need is an established business or business before you talk about seeking a contract with the federal government.
- Solid financial base -. Federal government contracts are awarded to companies that have the financial capacity to perform such contracts because most contracts entered into by the federal government do not involve upfront. Payment. In addition to having a solid financial foundation, you should also update your business to meet government standards before bidding, as extensive investigations are conducted to ensure that businesses that need to secure government contracts federal are up to date. In accordance with the requirements of the required standard, you should define the following: a modern accounting system for audits of civil servants,
- Obtain all required licenses and certificates . Several recordings and licenses must be purchased before you start betting on federal government contracts. Some of these include: the Universal Data Numbering System (DUNS) identification number; this number is free and must be obtained prior to placing your first bid, Taxpayer Identification Number, Federal Delivery Codes, Product Service Code, and North American Industry Classification Codes.
With all of that in mind, I will explain how to bet on federal government contracts.
How to bid successfully in public procurement
a. Registration with the Central Entrepreneur Registration Database : This is the first step to take when applying for a contract with the federal government, especially if it is the first time. You need to go to the Central Registration of Entrepreneurs (CCR) and create a profile for your business. Try to be as thorough as possible when creating your business profile, including the services your business provides and its capabilities. Having a company profile in CCR makes it easier for purchasing staff to access your company if there is a contract available that matches the services your company offers.
b. Search for available opportunities . The next step is to research available contracts and business opportunities that match the services offered by your business; The best place to get this type of information is www.fbo.gov. Federal business opportunities are always listed on the website, including bidding requirements on contracts.
vs. Submit your offer -. Once you’ve found a Federal Business Opportunity that matches the services your company offers, the next step is to submit your offer. Your offer should include the details of your business, the services you offer, how you involve the performance of the contract, whether it will be awarded to your business, and finally your price offer. If you don’t know how to prepare your offer, you can review the offers submitted by companies offering services similar to yours and notice how they have detailed their offers. Finally, don’t forget to follow the binding process diagram in the contract to apply.
Tips to help you secure future government contracts
No doubt it takes more than your expertise to get government contracts. you will need other software skills to successfully bid on your government contracts. If you’ve done your homework and know you have the ability to fulfill any government contract you have, here are 10 tips for successfully bidding on government procurement:
1. Start Small -: Never back down because you think small businesses have nowhere to look for federal government contracts, you can start small even for less than $ 10,000. After completing several contracts or having a better capital base, you can opt for the larger contracts.
2. Study government procurement policy with contractors
Now that you have made up your mind to become a government contractor, you need to sit down and learn everything you can do about government contracting policy with contractors. You will be surprised to find that the reason why most people cannot get government contracts may be due to their ignorance of government policy on awarding contracts to contractors.
3. Register your business
Of course, you should know that all government transactions with the company are registered with the General Affairs Commission. In fact, if your business / business is not registered, you may not even have access to a grant or loan from your country’s government. So if you know that your goal in starting a business is to seek contracts from the government of your country, you need to make sure that you include your business.
4. Obtain all relevant certifications, licenses and approvals in your industry.
It is very important to acquire all the appropriate certifications, licenses and permits that your industry needs before bidding on any government contract. Your certificate, license and permit give you an advantage over your competitors who don’t. if you offer to supply drugs to public hospitals, what they can rely on before you contract is your pharmacy certificate, license to practice, and other permits needed to operate in the area.
5. Pay your taxes on time: . If you don’t have good tax records, you don’t have to worry about bidding on contracts with your country’s government. In fact, tax declaration is part of the process of selecting contractors to bid on public procurement. For this reason, make sure you pay your fee on time before submitting your application, otherwise you will not receive a contract.
6. Be Competent at What You Do – You only need to demonstrate a high level of competence in your field when possible. When submitting bids, take the responsibility to always refer the selection committee to your past work ( i.e. if you have done a brilliant job in the past ), it will always be in your best interest.
7. Build your capital
While you are mobilized when a government contract is awarded to you, in some cases you may need to use your money to do the job before you get paid. In fact, before any contracts can be awarded to a company, the government will make sure to do background checks to make sure the company can complete the project and that part of what you are watching is your years of experience and your capital.
8. Improve your presentation skills
If you don’t know, the lack of good presentation skills robs you of many entrepreneurs of getting juicy government contracts, despite being very competent. No matter what you know and what you can do, if you cannot sell it to people, it will be difficult for you to convince them as a customer. Therefore, be sure to improve your presentation skills before betting on public markets.
9. Never make negative comments about the government in power
In the age of the social media revolution, where many people make negative comments about the government without warning, you just have to be careful about the comments you make. The truth is, it’s not just HR who review people’s online files before using them; A government official does the same before awarding contracts. Therefore, if you know that you are going to bid on government contracts, you should see what you have to say about the government.
Ten try to be the first to apply
After seeing an ad asking people to bid for a government position, make sure you are ready to prepare and submit your application. You can never say that the first group of people to submit their applications might just be people to consider in the next step.
11. Build Synergy -. You can join another company offering services similar to the company to participate in federal contracts. This gives you the power of synergy and increases your chances of getting a contract.
12. Ensure prompt delivery -. Make sure you perform the contract as faithfully as possible if it was awarded to your company at the end of the bidding period. Awarding contracts with minimal risk will reduce your chances of securing other contracts in the future.
13. Network with purchasing managers . – In most cases, these federal government contracts are awarded by procurement officers on behalf of the federal government. You can increase your chances of getting better contracts in the future by developing relationships with purchasing staff; and they’re sure to notify you when a federal business opportunity that matches your service becomes available.
Your interpersonal and networking skills are often thwarted when you apply for a government contract. The truth is, skill alone cannot guarantee you a government contract, but the people you know in government will always work for you. For example; If two people with the same level of skill and competence apply for a job and one of them has a relationship with someone from a government agency they are applying to for a contract with, they are certainly more likely to ‘get a contract.
How to solve the problem of bribes when applying for government contracts
Are you an entrepreneur? Have you encountered the problem of bribing an official every time you get a contract? how to solve the problem of rebates when applying for public contracts.
Depending on the country you live in, it is no longer the case for officials to ask contractors for bribes before these contracts are awarded or when funds are released to fulfill their contract. Although this phenomenon is common in third world countries, it is still practiced in developed countries. In fact, it has become the norm in most countries and there is nothing you can do about it.
So if you are intending to become a government contractor then you must be ready for this challenge but if you are already a government contractor and still haven’t done this task then you need to lend more be careful with this article, as you may trip over. on a key that will help you cope with this task. Now let’s take a look at 5 ways to deal with bribes when applying for government contracts:
I. Be very professional in your approach
A highly professional approach is one of the main ways to resolve the issue of bribes when submitting government contract applications. You should make sure that you show a high level of professionalism when asked for feedback from any official when entering into a contract, never discuss it and be sure to listen to them and ask them to give you the time to respond to their requests. …
II. Explore the region
Part of what you need to do to effectively deal with bribes when applying for a contract with the government is to inspect the area to see what you can get. While it is common practice to give bribes or agree to give bribes before you can get a contract from the government, you just need to play with them. There is a saying that goes “when you are in Rome you have to behave like a Roman”. So, it won’t be out of place if you stick to the tradition of the government agency you’re bidding on.
III. Learn to negotiate
The truth is that as an entrepreneur looking to work for the government, you can hardly avoid the problem of government bribes. If you know that it is inevitable to avoid bribes before you can get a contract from the government or before a project specific fund can be allocated to you to carry out the project you have received, you have to negotiate with them.
It is always advisable not to give in to all demands from government officials asking you for bribes, if you do, the next time you offer them a contract, the likelihood that their demands (bribes) -vin) increase may be high.
For example; If a government official asks for 30% of the amount awarded in the contract (project) before issuing the fund, don’t just give in to the demand, negotiate in your favor – you can offer them 15%. Anything you choose to give as a bribe shouldn’t affect the funds needed to complete the project from start to finish, and you should be able to make a profit.
IV. Never threaten any government official
No matter what region of the world you live in and what you can achieve there, it is very important that you do not threaten any government official every time they ask for a kickback before receiving a contract or before funds come to you. are allocated execution of the project assigned to you.
The truth is that before a government official approached you for bribes, they would have done their homework so that even if you bring them to justice, you will be hard pressed to find evidence for them. nail. … In fact, if you are dealing with an official who has experience with bribes from contractors, they are more likely to contact you when you threaten them. Therefore, even if you are not happy with their requests, make sure you do not expose them to the threat of intimidating them.
V. If you must give bribes, let them know you are doing it voluntarily.
Undoubtedly, you can hardly avoid the problem of withdrawing government officials as a contractor under a government offer. If you are in a state where you can’t avoid bribes, just let them know that you just appreciate their efforts, so that you give them whatever amount you choose to give them. This approach will work best for you if you have been working for the government for a while, but if you are a newbie you should look for better ways to let them know that you don’t value performance, but you just have to.
Finally, it is important to recognize that not all entrepreneurs give in to government officials for bribes; some entrepreneurs would rather lose the contract than give bribes. It’s because they don’t want anything to affect their integrity. But if you do choose to go back, make sure it won’t be used against you in the future, so it’s important that anyone requesting the restore know that you are doing it on purpose, and not because you fear losing. the contract.
Finally, I have listed all the details and all the steps to follow to apply for a contract with the federal government; mention issues such as things that need to be resolved before you start applying, how to find opportunities and apply, and finally tips to help you secure other contracts in the future.
In this article, you can now see that bidding and securing federal government contracts is not as difficult as many people think; You can take the next step now and visit www.fbo.gov to learn more about federal business opportunities that your business can take advantage of.