Dont Be Limited By Industry Or Sector
As a contractor, its important not to focus on just one industry. There are several sectors to choose from. Below are some of the top sectors where government agencies are regularly soliciting products and services for to maintain operations:
Here are some of the top contracts listed by the General Services Administration :
- Information technology equipment, software and services
- Professional services
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Get To Know The National Minority Supplier Development Council
When it comes to getting certified, businesses first need to know more about the National Minority Supplier Development Council , the largest and most prominent certification body for minority-owned businesses. The organization says it has an unwavering commitment to advance Asian, Black, Hispanic, and Native American suppliers in a globalized corporate supply chain.
The NMSDC has a network of 12,000 certified minority-owned businesses that can then be connected to more than 1,400 large corporate members. NMSDC certification also holds a lot of weight in government circles, with many states and cities accepting NMSDC certification to help with public-sector contract selection.
Corporate membership of NMSDC includes many of the largest privately owned companies in the world, including Accenture, Apple, Bank of America, Delta Airlines, Facebook, Google, GM, Microsoft, Nike, Raytheon, UnitedHealth Group, Walmart and Walt Disney Company. These member companies use the NMSDC directly of minority-owned businesses to research companies and award contracts.
The NMSDC has a network of 12,000 certified minority-owned businesses that can then be connected to more than 1,400 large corporate members.
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Founder Of Shes Got Goals Llc And The Trillion Dollar Secret To Government Contracts As A 20+ Year Business Vet Who Successfully Built Two Small Businesses She Teaches Small Business Entrepreneurs How To Grow Their Business With Government Contracts So They Can Have Consistent Sustainable Income And Get Paid Top Dollars By The #1 Largest Purchaser Of Services In The Us Without Chasing Customers
Over the past couple years this Government Contracts Strategist has helped over 200+ entrepreneurs generate upwards of 3 million of dollars and growing in revenues.Karwannas been featured on CBS, NBC, FOX, Star Tribune Business, Best Business Digest, SBA SBDC, Ticker News, The LIST TV Show and more and has shared the stage with major leaders including Les Brown, Trent Shelton, Dr. George Frazier, Stacia Pierce and others.
Learn more at karwannadspeaks.com@karwannadspeaks on FB & IG, Youtube.com/karwannad
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Historically Underutilized Business Zone Small Businesses
If your answer is yes to the following questions, you may meet the criteria for a HUBZone set-aside:
- 51% or more of my business is owned, controlled, and primarily managed by U.S. citizens, a Community Development Corporation, an agricultural cooperative, a Native Hawaiian organization, or an Indian tribe
- My HUBZone-certified business is small in its primary industry in accordance with SBA size standards for that industry
For more information on eligibility requirements and certification, visit the SBA page on HUBZone-certified small business programs.
What Is The Difference Between Women Business Enterprise And Women
WOSB certifications are company-level certifications based on SBA standards. The WOSB programs purpose is to ensure equality in federal contracting. WOSB requirements are different from WBEs. See the examples below:
Here are other differences between the two:
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What Is A Wosb Contract
The women-owned small business federal contract program provides opportunities for WOSBs eligible to compete for set-aside contracts with women-owned businesses. The program also provides opportunities for economically disadvantaged WOSBs to compete for contracts set aside for EDWOSBs. This is an effort to reach their 5% goal of federal contracting dollars allotted for women-owned small businesses.
Eligibility requirements for WOSBs
- Must be a small business as stated in the NAICS code
- It should be at least 51% owned and controlled by one or more women that are U.S. residents
- Female owners should prove that they are economically disadvantaged
Local PTAC counselors can help you determine which certification option is right for your business. You can also contact your states PTAC office directly to determine if they offer certification or similar services. The following are some examples of businesses certification options:
Third-party certification process
Businesses can also apply for WOSB and EDWOSB certifications through organizations approved by the SBA or the third-party certifiers. The amount to pay starts at $380. Applicants pay more if they cannot provide the requested information on a specific date. The certification process lasts from 6 to 8 weeks to finish.
Create A Business Plan
Once you have chosen the business industry you want to work with, your next step is to plot all your business logistics in a plan and other written documents.
Writing a business plan is not only a valuable tool for planning your business, but it is also a comprehensive tool as you make your business decisions.
Furthermore, depending on the type of business youre beginning, your business plan will vary. In this way, it is helpful to draft a few different versions of your strategy based on what your business needs to fill in, such as pitching to investors, building your team, applying for a loan, expanding, etc.
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Minority Business Participation In Government Contracts
WHEREAS, many states no longer adhere to minority business goals on state funded public works projects, resulting in a dramatic decrease in the number of African American businesses participating in government contracts and
WHEREAS, the voters in several states have authorized abolition of goals and programs for minority owned business using state tax payer funds on public works projects that were established through legislation and public law and
WHEREAS, the Black Chamber of Commerce, during testimony before Congress in September 2007, noted the failure of the Small Business Administration to provide needed technical assistance to minority owned businesses and
WHEREAS, the Black Chamber of Commerce, during testimony before Congress in September 2007, stated that minority owned businesses have been decimated in recent years because of their inability to secure government contracts and subcontracts and
WHEREAS, in testimony before Congress, in September 2007, the Black Chamber of Commerce stated that there was less than 0.02% participation by African American contractors in FEMA contracts during the Katrina recovery
Get the full, detailed list of 2008 Resolutions.
How To Win A Government Contract
If you are a minority-owned or women-owned business and would like to win government contracts, Price Reporter can help. We have over a decades experience helping small businesses like yours to get on the GSA Schedule and can assist every step of the way from assessing your competition and scoping out the government marketplace, to negotiating your contract terms with the GSA, and ensuring your compliance post-award. Contact us today to learn more.
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How Local Government Can Help You With Your Business
Local government sometimes doesnt have to be the big federal agencies. Local government is also your libraries, your schools. People that organizations are receiving funding from the government typically have these types of goals in place as well.
Then look at where you are right now. Boston has goals for minority- and women-owned businesses, so if you want to pay in those programs that have goals for minorities, then yes, you need to be certified. But there is no requirement in any government agency to be certified in order to bid.
Statistics show that 50% of all small businesses fail within the first five years. Knowing that, its important for people to start thinking about what resources are available to them. The reason that the businesses fail is because of lack of access to capital, which all of these government programs are talking about creating a solution for. They have community-based lending programs, education programs and credit repair programs, so that youre not out there on your own trying to figure this out.
Small Business And Minority
Small businesses are the backbone of our economy. With that in mind, various obligations are imposed by the government on federal contracts. As a result, opportunities are exclusively set aside for small businesses. They may consider the number of employees and annual revenue to determine eligibility. Additionally, vendors who promote affirmative action within their organization and focus on employing veterans and disabled individuals are given priority.
The federal government sets a monetary goal to award contracts to small and minority-owned businesses annually. In 2020 it exceeded its 23 percent goal for small businesses and three and five percent for service-disabled veteran-owned and small, disadvantaged businesses, respectively. Of the billions spent on vendors last year, 26 percent or $145.7 billion in prime contract dollars and $89 billion in subcontracts were awarded to small businesses.
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Government Goals For Women And Minority Businesses Not Met
Still, it’s by no means a perfect system, especially for women-owned small businesses and those located in historically underutilized business zones . The women-owned small businesses federal contracting goal has been met just twice since it was established in 1994 and the HUBZone goal has never been met, Goldman Sachs CEO David Solomon wrote in a recent op-ed for CNBC in which he voiced the bank’s support for the first reauthorization by Congress of the SBA in over two decades to provide it with more ability to support small business.
In 2021, women-owned small businesses received $26.2 billion in federal contracts, representing 4.63% of the fiscal year 2021 total eligible dollars, the SBA said. The goal was 5%.
HUBZone small businesses, meanwhile, received a historic $14.3 billion in federal contract awards, translating into 2.53% of the fiscal year 2021 total eligible dollars. It’s the highest level in about 10 years, Guzman said, but still falls short of the government’s 3% statutory goal.
While the agency didn’t meet these goals, Guzman said “they are still on the horizon.”
For women-owned businesses, SBA has increased the number of certified firms to nearly 6,000 from about 1,000. It has also expanded the NAICS codes, the classification system used by the government for business categories, for which women-owned businesses can receive set-aside awards. More than 92% of federal spending is covered by NAICS codes eligible for WOSB set-aside awards, according to the SBA.
Transparency In Government Contracting
The thing about government contracting that I absolutely love is that its designed to be fully transparent. As a regular citizen in Boston or New York or anywhere, you could go onto your local website and you could figure out when projects are coming up, whom products have been awarded to, andthrough accessing resources like the SBA, the Procurement Technical Assistance Centers , and agencies like the Womens Business Development Centers you could develop a strategy to identify what projects are going be a good fit for you and strategically go after them.
I think a lot of people get frustrated with the process because they think that its rigged or the project is just awarded to someone. The bottom line is that successful government contractors spend time and resources in marketing their services to specific agencies. Theres a relationship factor thats a part of it as well. Government people are regular folks, so they like to do business with people they know, like and trust. So in doing business with the government, theres a marketing aspect to be considered.
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Verify Your Employee Identification Number
Other small business owners prefer to operate their establishment using their social security number however, the government requires contractors to have an Employee Identification Number .
If you need assistance acquiring an Employee Identification Number , you can contact the Internal Revenue Service .
You are now ready to look into federal contracting after youve completed this list of prerequisites.
Choose Your Business Idea
Everyone can start a business, but you still need to brainstorm and develop big ideas. The following questions can help you in searching for your business idea.
- Where do you have experience?
- What resources do you have access to?
- What interests you?
- What problem can you solve?
These questions are helpful enough for you to come up with the right business idea. However, answering the given questions is not always a quick and easy process.
You may also look into your local neighborhood to see if you can start a minority-owned business that will help the community.
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How Do You Get Awarded Government Contracts
You can begin bidding for and winning minority contracts when youve accomplished all of the preceding processes.
Once the federal government gives the solicitation information for government contractors, they always indicate in their posting if it is open for large contractors, minority-owned enterprises, women, and or small businesses.
Indeed, government contracting as well as get certified is tricky at first glance. But once you get along with it, you will surely master it and instantly get contracts in the future.
There are available resources that you can use as you take the path of the organizations ownership. Any that remains is for you to get a complete awareness and dig deeper into how federal contracts work and all the similar line of information.
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Why Gao Did This Study
DOD obligates billions of dollars for contracts yearly to buy products and servicesnearly $300 billion in fiscal year 2016from various types of businesses. A business generally must self-identify as a minority-owned business or a women-owned business, as applicable, in the federal government’s contractor registry.
Section 890 of the National Defense Authorization Act for Fiscal Year 2017 contained a provision for GAO to report on the number and types of contracts for the procurement of products or services that the DOD awarded to minority-owned and women-owned businesses.
This report uses Federal Procurement Data System-Next Generation data to identify trends in DODs procurement of products and services from minority- and women-owned businesses for fiscal years 2010-2016.
Although the Act contained a provision for us to review only fiscal years 2010 through 2015, GAO added fiscal year 2016 because it was the most recent year for which complete data were available. All obligations data are presented in constant fiscal year 2016 dollars, adjusted for inflation using the fiscal year gross domestic price index. GAO used this data to analyze which contract types were used the percentage of obligations used to purchase products or services the top products and services procured and the number of contracts awarded from fiscal years 2010-2016.
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Us Department Of Transportation Announces $10 Million To Help Minority
Contact: Tel.: 366-0660
WASHINGTON The U.S. Department of Transportations Federal Highway Administration today announced $10 million in funding from the Fiscal Year 2021 Disadvantaged Business Enterprise/Supportive Services program to help eligible small businesses compete for federal highway contracts in 45 states, as well as Washington, D.C., Puerto Rico and the U.S. Virgin Islands.
With these funds, state transportation departments will help minority- and women-owned businesses across the country create jobs and better compete for resources for transportation projects nationwide, said Deputy Federal Highway Administrator Stephanie Pollack.
President Bidens Bipartisan Infrastructure Law continues funding for the DBE/SS program for Fiscal Years 2022 through 2026. The funding is provided to State DOTs, the District of Columbia, Puerto Rico and the U.S. Territories for the purpose of administering programs that provide training and assistance to DBEs to improve their ability to compete on federally assisted contracts.
A DBE is a for-profit, small business owned and controlled by minorities, women or other socially and economically disadvantaged individuals or, in the case of a corporation, one in which 51 percent of the stock is owned by one or more such individuals. More information about DBE eligibility can be found at .
Funding amounts for Fiscal Year 2021 are as follows:
How Minorities Can Get Lucrative Government Contracts
There were certain groups that have experienced discrimination in the past that were not related to their individual qualifications. This discrimination kept them from participating in the free market because they did not have access to capital.
In response, the Federal government tries to award contracts to businesses that are at least fifty one percent owned by those from disadvantaged groups.
Small Businesses Are Given Special Consideration When It Comes To Government Contracts
In many markets, small businesses are often outcompeted by larger organizations that often have access to almost unlimited resources. This set aside actually might increase a small businesss chances of winning a lucrative bid.
The federal government is required to set aside at least 23 percent of its total spending specifically for small businesses. Several small businesses have made a fortune just on federal government contract awards.
How Do I Know That Being A Government Contractor Is Right For My Company?
There is very little certainty in business. Having a powerful client that is known for paying its bills on time, like our Federal Government, is a great asset.
Also, many of your competitors might be dismissing the idea of being a government contractor as being too much trouble. This means that there could be surprisingly little competition in some spaces. Their shortsightedness can be your companys advantage.
What Qualifies As A Small Business?
What Is The SAM Directory?
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