How To Build Your Business On Government Contracts
Tim Jacquet Apple Capital Group
Agenda Tonight
I. Meet and Greet with Meal II. Recap of Government Contacting - III. The Power of Certifications (Grant)
a: 8(A) & SDB Certification (SBA) b. Hubzone (SBA) c. Department of Transportation (SBA) d. Women Certification (SBA) e. North Central Texas Regional Certification Agency (State) f. Dallas/Fort Worth Minority Supplier Development Council (National/State) g. HUB Certification Process (State)
h. Find Opportunities IV. Credit Profiling and Financing Options V. Questions and Answers
Federal Contacting Facts
The Government is the largest buyer in the US.
The Government buys over $1 trillion in products and services annually
The Government buys all types of supplies and services, including construction
The Government is reliable, continuous source of business
How To Sell To The Federal Government
Small-business Size Standards
www.census/gov/naics Based on your primary NAICS code Specified by revenue averages or number of
employees Services firm size is based on a three- year
revenue average Product firm size is based on number of
employees
Small-business Size Standards
What is NAICS?
NAICS Stands for North American Industrial Classification Systems
Replaces Standard Industrial Codes (SIC) in 1997 Developed jointly by the United States, Canada, and
Mexico to provide new comparability in statistics.
QUESTIONS?
Why NACIS Is Important
Identifies opportunities suitable for you Establishes if you are a small business Let’s you speak the same language as future “customer” Customers seek sources based on NAICS codes
Reading NAICSex. 561710
First 2 digits indicate industry sector 3rd digit is subsectors 4th digit is industry group 5th digit is NAICS industry 6th digit is nationals
NACIS Example
Industrial Code 56 Waste Management and
Remediation Services Subsector 1 administrative and Support
Services 561110 – Office Administrative Services 561210 – Facility Support Services 561310 – Employment Placement
The Importance of Specificity
www.census/gov/naics NAICS searches can provide many different
and diverse categories A search on “computer” can result in
everything from cabling to furniture Choose your primary code based on your core
competencies
Small-business Classifications
Woman-owned small business Small Disadvantaged Business (SDB) 8(a) small business HUBZone Small Business Veteran-owned small business Service-disabled, veteran-owned small
business
Certifications
Grants from the government
8(a) Small Business
Must meet small business size standard At least 51% owned and controlled by U.S.
citizens who are socially and economically disadvantaged
Must demonstrate potential for success Owner’s personal net worth must be less that
$500,000
Benefits of SDB Certification
Eligible for a price adjustment of up to 10% when bidding on federal contracts
Federal agencies have 6% goal of contract dollars to SDB firms
Large government contractors have 5% goal of subcontract dollars to SDB firms
Benefits 8(a) Small Business
9 year program/non-renewable Eligible for sole source federal contracts up to
$3 million (good and services or %5 million (manufacturing)
Eligible for Small Business Administration (SBA) assistance and training.
Small Disadvantaged Business (SDB)
51% owned and controlled by socially and economically disadvantaged person(s)
All persons must have a net worth of less than $750,000, with some exclusions
Must meet applicable size standard Require formal application
SBA 8(a) and SDB
Website: https://www.sba.gov/category/navigation-structure/8a-business-development-program
To Apply: https://eweb.sba.gov/gls/dsp_sbabanner.cfm?CFID=14486785&CFTOKEN=ed106a30d53fed5b-2AB4BC2E-0C77-C373-C7ABC4CA083DDF2F&jsessionid=9a303bd4d8bca77dfad086343694f7402c54
HubZone
HUBZone Small Business
Must meet small business size standard Principal office must be locate in a HUBzone Owned and controlled by U.S. citizen(s) At least 35% of employee must live in a
HUBzone Requires formal application
Benefits of HUBZone Certification
Eligible for set asides and sole source May receive 10% prices preference on
contracts awarded through Full & Open Competition
Large government contractors have goal of awarding 2% of subcontract dollars.
Hubzone
Hubzone https://www.sba.gov/cate
gory/navigation-structure/contracting/contracting-support-small-businesses/small-business-cert-0
Hubzone Maphttp://map.sba.gov/
hubzone/maps/
Applyhttp://map.sba.gov/
hubzone/maps/
Business Resources For Veterans
Veteran owned Small Business
51% owned by armed services veteran Day-o-day operations managed by veteran Self certification, no paperwork necessary
Services disabled Veteran owned Small Business
51% owned by service disabled veteran Disability certified by Department of Veterans
Affairs Day-to-day operations managed by services
disabled veteran Self certification, no paperwork No expiration or revenue restriction No limit on number of businesses
Services disabled Veteran owned Small Business
51% owned by service disabled veteran Disability certified by Department of Veterans
Affairs Day-to-day operations managed by services
disabled veteran Self certification, no paperwork No expiration or revenue restriction No limit on number of businesses
Resources for Women Entrepreneurs
WOSB Contracting Program
CERTIFICATIONS Self Certification
With documentation SBA developing WOSB Program Repository
3rd Party Certifiers 8A Women Owned Program Participants DOT Women Owned DBE Certification Others entities that SBA approve (future)
WOSB Contracting Program
Set-Asides WOSB
In Underrepresented NAICS Codes
EDWOSB In Substantially Underrepresented NAICS Codes However, Final Rule—SBA Administrator Waived
EDWOSB Set-Asides (SBA will keep track of EDWOSBs for future assessment of NAICS
codes) All 83 NAICS codes available for Set-Asides
WOSB Contracting Program
Contracting Officer’s Responsibilities
Reasonable Expectation of 2 or More Offers by WOSBs
Anticipated Award Price must not exceed: $5M – Manufacturing $3M – All other (May be increased for inflation)
WOSB Contracting Program
Final Rule WOSB
Woman/Women Directly Own, Control & Manage Daily Operations
Woman/Women must be U.S. Citizens
Economically Disadvantaged WOSB Plus
Net Worth $750,000 Income not exceeding $350,000 Assets not exceeding $6m
WOSB Contracting Program
Final Rule
Establishes 83 Industries 4-digit NAICS Codes
(373 6-Digit NAICS Codes)
216 Underrepresented
157 Substantially Underrepresented
373 6 digit NAICS codes
List at www.sba.gov/wosb
Women Owned Small Business (WOSB) Contracting
Program Final Rule Published October 7, 2010 (75 FR 62258) Implements PL 85-536 as amended Helps ensure a level playing field so WOSBs can compete for
Contracting Opportunities Sets forth Contract Requirements
Applies to Prime Contract, not Subcontract
Allows Eligibility Exams Explains Protest Procedures
WOSB Contracting Program
Final Rule
Effective Date: February 4, 2011
FAR Implementation
IAE Changes
WOSB Contracting Program
Contracting Officer’s Responsibility
Must check that WOSBs must have proper certification in ORCA
Must Certify he/she checked the WOSB repository that all required documents are in the system (including certifications by 3rd Party certifiers) WOSBs will give Contracting Officers 30 days
authorization to review repository documents
WOSB Contracting Program
www.sba.gov/wosb The Final Rule & History FAQs Fact Sheet NAICS codes for the program Compliance Guide for Small Entities Contact Information
1-800-U-ASK-SBA (1-800-827-5722)
WOSB Contracting Program
More to Come at www.sba.gov/wosb
Link to the Repository
Listing of Required Documents
Instructions for accessing the Repository
Women-owned Small Business
51% women Owned Day-today operations managed by a woman
or women. Self certification, no paperwork necessary
WOSB
Apply: http://map.sba.gov/hubzone/maps/
http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfmDynamic Small Business Search
State Certifications
North Central Texas Regional Certification Agency
Purpose to get your certificated and maximum practical opportunities to participate in contracting and purchasing activities. DBE – Disadvantage Business Enterprise MBE – Minority Business Enterprise WBE – Woman-owned Business Enterprises Free application
Website: http://www.nctrca.org/
North Central Texas Regional Certification Agency
Purpose to get your certificated and
maximum practical opportunities to participate in contracting and purchasing activities. DBE – Disadvantage Business Enterprise MBE – Minority Business Enterprise WBE – Woman-owned Business Enterprises Website: http://www.nctrca.org/
North Central Texas Regional Certification Agency
Purpose to get your certificated and
maximum practical opportunities to participate in contracting and purchasing activities. DBE – Disadvantage Business Enterprise MBE – Minority Business Enterprise WBE – Woman-owned Business Enterprises
Webiste: http://www.nctrca.org/
North Central Texas Regional Certification Agency
Requirements MBE/WOBE – Minority Business Enterprise and
Women-owned Business Enterprise Firm must be at least 51% owned and controlled by a minority or
women individual (s) The minority or women owner(s) must be a United State or
lawfully permanent resident of the United States Firm must be organized as a for-profit business.
All ethnic female owned firms are classified as MBEs. Only firms owned by Caucasian females are classified as WBEs.
NCTRCA
NCTRCA624 Six Flags Drive, #100Arlington, TX 76011(817) 640-0606 (Office), (817) 640-6315
(Fax)Email: [email protected]
North Central Texas Regional Certification Agency
Requirements DBE – Disadvantaged Business Enterprise and
Airport Concessionaire Disadvantaged Business Enterprises
Firm must be at least 51% owned and controlled by a socially and economically disadvantaged individual(s)
The disadvantaged owners must be an United States Citizen or lawfully admitted permanent resident of the United States
Firm must be a small business that meets the Small Business Administration’s size standard and does not exceed $22.51 million in gross receipts for DBEs and $56.42 million in gross received for ACDBEs
Personal Net Worth for all owners claiming disadvantaged status for the DBE and/or ACDBE program must not exceed $1.32 million.
Firm must be organized as a for-profit business
Texas Department of Transportation
Texas Unified Certification Program The Texas Unified Certification
Program is a certification process for the Federal Disadvantaged Business Enterprise (DBE) Programs in Texas. A business' DBE certification is valid at any Texas entity that receives U.S. Department of Transportation (DOT) funds and has a DBE Program. (See TUCP Participating Entities below.)
NCTCA included Small businesses desiring DBE
certification must submit an application and personal net worth statement to one of six certifying agencies within the state. The business' location determines which agency to contact.
Firms certified by each of the six agencies are included in one consolidated and centralized DBE Directory. The TUCP is required by the U.S. Department of Transportation
Dallas- Fort Worth Minority Supplier Development Council, Inc.
The Dallas/Fort Worth Minority Supplier Development Council
(D/FW MSDC) is a 501 (C) (3) privately funded, nonprofit, business organization, formed in 1973 by major corporations committed to fostering a business environment which promotes access and opportunity for minority-owned businesses.
D/FW MSDC is one of 24 regional affiliates of the National Minority Supplier Development Council (NMSDC), the certification body of choice by corporate America and the recognized business link for over 3,500 buying organizations
and 14,000 certified minority-owned businesses nationally. Application $250
Website: http://www.dfwmsdc.com/
Dallas- Fort Worth Minority Supplier Development Council, Inc.
The Dallas/Fort Worth Minority Supplier Development Council (D/FW
MSDC) is a 501 (C) (3) privately funded, nonprofit, business organization, formed in 1973 by major corporations committed to fostering a business environment which promotes access and opportunity for minority-owned businesses.
D/FW MSDC is one of 24 regional affiliates of the National Minority Supplier Development Council (NMSDC), the certification body of choice by corporate America and the recognized business link for over 3,500 buying organizations and 14,000 certified minority-owned
businesses nationally. D/FW MSDC buying entity partners report over $5.20 billion dollars in spending
annually with minority-owned businesses. D/FW MSDC certified suppliers report over $23 million annually in spending with minority-owned businesses (MBE-to-MBE transactions
Website: http://www.dfwmsdc.com/
Finding Opportunities
HTTPS://MYCPA.CPA.STATE.TX.US/TPASSCMBLSEARCH/INDEX.JSP
FedBizOpps Advanced Functions (cont.)
5757
Add firm to Add firm to Interested Interested
Vendors ListVendors List
Add Add Opportunity to Opportunity to
WatchlistWatchlist
FedBizOpps Advanced Functions
Search Agents. Save and schedule Search Agents (daily, weekly, etc.). Filter by NAICS Code, area , agency, etc.
Interested Vendors List. Let primes, subs, suppliers know that you are interested in a project.
Watch lists. Enables you to receive updates when an announcement or solicitation is amended.
Things to Do
Explore Subcontracting Opportunities as a first choice pursuit vs. "a settling for" strategy.
Learn to Use FedBizOpps as a Management and Decision-making Tool.
Visit DoD and ARMY Small Business Websites. Info on Small Business Programs, Resources, Events.
Know the rules. Federal Acquisition Regulation (FAR). For USACE, additional supplements also apply
(DFARS, AFARS, EFARS).
Useful Links
SAM – System For Award Management https://www.sam.gov/portal/SAM/#1
DUNS – Data Universal Numbering System http://fedgov.dnb.com/webform
Fedbizopps – Federal Business Opportunities https://www.fbo.gov/
NAICS Search - North American Industry Classification System http://www.census.gov/eos/www/naics/
Find RFP – Find RFP, Bids and Contracts https://findrfp.com Fedbid: http://www.fedbid.com/
Small Business Size Standard http://www.sba.gov/contractingopportunities/officials/size/index.html
Commercial Software (Paid)
www.EZGovOpps.com -$79 and up
www.FIND RFP.com - $39 Flat
www.bidspeed.com -$195.00
www.Smartprocure.uswww.governmentbids.com
$97 and up ESBC http://esbd.cpa.state.tx.us/
Free Search
www.fedbidopps.gov www.fedbid.com (auction site) DOD
Army https://contracting.tacom.army.mil/cfdata/sol/sol01.cfm Coast Guard: http://www.seaport.navy.mil/default.aspx Navy: http://www.secnav.navy.mil/smallbusiness/pages/doing-
business.aspx
Contacts: Oscbu office: http://www.osdbu.gov/ Agency websites
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