Are You Ready to Secure More Government Contracts? Follow These Tips
The federal government and state governments award billions in construction contracts to construction businesses every year, providing contractors with the opportunity to take part in projects that are as important as they are lucrative. According to the Federal Procurement Data System (FPDS), the combined value of awarded contracts for the twenty federal agencies that spent the most on construction in 2018 was $27 billion. Contractors that manage to get a piece of this multi-billion dollar pie can grow their businesses, increasing their capacity to take on multiple projects with capital gained from a successful public project.
All of this information raises the question: Are you ready to secure more government contracts? It’s not going to be easy, and your winning percentage isn’t going to increase overnight, but with the knowledge from this article and the assistance of a construction lawyer in Franklin, TN, you can start working on high-value public projects sooner rather than later.
Understand Your Business and Your Competition
Did you know that small contracting firms registered with the United States Small Business Administration (SBA) have been awarded at least 23 percent of federal contract dollars over the last five years? Take a second to reflect on your business. How many employees do you have? What is your average annual revenue? The SBA’s criteria for small business classification is complicated. Some small businesses can have a maximum of 250 employees while others can employ 1,500 employees! Consult a construction attorney in Franklin, TN, to see where your business stands. And realize that if you do qualify as a small business, you will gain preferred consideration for contracts valued at $150,000 or less. The federal government has made it their goal to award contracts to the following types of businesses:
- 5 percent to women-owned small businesses
- 5 percent to small, disadvantaged businesses
- 5 percent to HUBZone small businesses
- 5 percent to service-disabled, veteran-owned small businesses
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Set Your Business Up for Success
Before you can do business with the federal government, you’ll have to tick a few boxes. First and foremost, you need to register with the System for Award Management (SAM), the official website of the General Services Administration (GSA). To complete your registration, you’ll want to have your legal business name, physical address, and Dun & Bradstreet Universal Numbering System (D-U-N-S) number. Additionally, your Tax Identification Number (TIN), taxpayer name, and banking information must be submitted (and accurate) to bid on projects. Furthermore, you must update your profile annually, otherwise it will be rendered inactive.
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Once you have successfully registered with SAM, you can seek out projects on the Federal Business Opportunities (FBO) website. Here, contractors can seek opportunities valued over $25,000. Essentially, this website is a “help wanted” board for lucrative contracting opportunities. Once you’re ready to submit a bid, consult a construction lawyer in Franklin, TN, for assistance navigating the bid process.
If you would like to speak with one a construction law attorney in Franklin, TN, please contact us today.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.