Feral Jundi

Friday, October 5, 2012

DIY: Starting Up A Business–10 Things To Ask Before Pursuing A US Government Contract

Over the years, folks that have small companies or wanted to start companies, have asked how you get government contracts. Specifically overseas government contracts in the war zones.

Well, to be honest, I am not at all an expert on this side of the business. I do not own a security company, nor have I ever pursued government contracts. I am a security contractor that has been hired either as an employee or as an independent contractor, by companies that have already won government contracts overseas in the war zones. But I have never contracted with the government directly.

With that said, I am always willing to share what little knowledge I have on the subject of government contracting. So when I find cool articles like this, I like to share them because they are educational to me–but also to the community as a whole. Especially to those interested in getting into the game. Plus folks can add to it in the comments, to make this more tailored to overseas stuff.

The deal I would like to add to this post is that in order to get started, you can get all sorts of great information for free by scheduling an appointment at your local Small Business Administration office. Call them up, tell them you want to get into government contracting, and they will connect you with a government contracting mentor/specialist. Someone that is already established and is willing to mentor you on what you need to do.

You can also do this on your own by just contacting a contracting specialist with a company, and asking them what they know. Become a student of government contracting, and seek out as many sources of current information as you can about the process. Talk it up with those that are in the game and have actually won contracts for companies, and copy what they do.

Another idea is to just pay for the services of a firm or firms that specializes in getting you started. The article below mentioned writing proposals and how important that is to getting a contract, or using the services of a Insurance Broker to find the right insurance for your company. If you do a search on Google for ‘government contracts’, you will see companies in the paid for ads highlighted in yellow at the top of the search page, whom specialize in getting you started. Like with anything in life, there are some things you can do yourself, and there are other things that are just smarter and more cost effective to pay someone else to do.

I cannot comment on who is the best at this, and it will require you to do some shopping around as to whom to go with. But you can pay someone to get you started, and especially with all of the paper work required. Also, if you live in a state that is not exactly close to the contracting world back east, then these firms might be the ticket to get you in the game.

As for my international readers, obviously this post is directed at my US readers. But for those companies that have US offices and are able to use local US surrogates to get into this game, then I am sure there are a few more layers of bureaucracy and regulation to go through. If anyone has information on that process, I am all ears. I also imagine a good contracting specific lawyer would be handy for that.

Anyways, check it out below and for you experts/contracting officers or CEOs that know the process intimately, definitely speak up if you have some tips. The WBJ will be doing future posts on how to choose a public relations officer and commercial insurance, and a big hat tip to them for putting this out there. –Matt

 

10 things to ask before Pursuing a government contract
Washington Business Journal
Friday, October 5, 2012
We asked several experts what new entrepreneurs should think about when pursuing a government contract. Next up in our biweekly manual of sorts for startup businesses: how to choose a public relations firm and commercial insurance broker.
1. What types of contracts are there? Types of government contracts include fixed-price contracts, which generally provide a firm price for the work, and cost-reimbursement contracts, which provide payment for allowable incurred costs. Other types are incentive contracts, time-and-materials contracts and sealed bidding contracts. Research them to see what effect each would have on your company’s finances.
2. Will you look at my past performance? You must be an expert in the area related to the contract you are pursuing. If you want to be a government technology contractor, for instance, you should be able to show proof that you excel in your technology through previous contracts and work. In recent years, governments have been putting more emphasis on a company’s past contract performance when selecting contractors.
3. What are the contract requirements? Read the solicitation thoroughly and make sure you can fulfill the requirements. For example, you might be required to sustain your business financially until the contract expires, maintain Applicant Flow Logs, which record various details about your job applicants and hires, and send annual letters to recruitment sources.

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Tuesday, March 30, 2010

Industry Talk: Can The Government Force Contractors To Unionize?

   It’s a basic question, and I have not a clue about how this would pertain to government contracts in the war.  I am sure there is some clause for overseas contingency operations that do not allow labor unions with wartime contracts.  I could be wrong, and this is an area that is way out of my lane. (any legal eagles want to step in, or maybe even the folks at IPOA)

   Plus, with how globalized contracting has become with DoD and DoS contracts, I just don’t see how you could force some Sri Lankan working at the DEFAC for KBR to pay the dues for some union.  There are just so many pieces to this, and I really have never explored this area.

   Now I have heard of numerous discussions amongst contractors while working out there, revolving around organizing. Most of the times, it was all talk born from poor labor practices of companies.  There have even been some attempts at creating unions for this industry, but nothing with any teeth or longevity. I could be wrong, and there might be some solid stuff out there that I am not aware of.  I know for CONUS, there are security related unions.  But for OCONUS, I have yet to see it.

   For fun though, what would happen if we were forced to be unionize?  Would that be a good thing, or a bad thing? –Matt

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Can the Government Force Contractors to Unionize?

By Jim Garrettson

March 29, 2010

Executive order 13502 [1]from February 2009 garnered relatively little attention when it was issued.   It reads, “in order to promote the efficient administration and completion of Federal construction projects,” executive agencies are allowed to require contractors working on federal construction projects to implement “Project Labor Agreements.”

This order applies to any construction, renovation or rehabilitation project that costs over $25 million, and encompasses all agencies but the GAO.  The order also rescinded Bush’s Executive Order 13202 [2]from February, 2001, which prohibits the government from requiring contractors to abide by these agreements, or discriminating against contractors for “refusing to become or remain signatories or otherwise to adhere to agreements with one or more labor organizations, on the same or other related construction project(s).”

Project Labor Agreements (PLAs) [3] require all employees working on a specific project to abide by the same collective bargaining agreement.  This enables the hiring of non-unionized contractors, but typically requires them to pay into multi-employer union pension plans, putting non-union contractors at a financial disadvantage because they must pay for the union plan and for their existing company plan, according to the Associated Builders and Contractors [4].  Another problem for contractors is that many union pension funds are underwater, according to this recent article in the Washington Times [5].  Employers bound to collectively bargained agreements are forced to cover costs for underfunded union pensions when other contractors drop out.

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