Transcript Document
U.S. Small Business
Administration
Veterans Business Development
“Helping Veterans Succeed”
Mission Statement
To foster enhanced entrepreneurship among
eligible veterans by providing increased
opportunities.
To vigorously promote the legitimate interests
of small business concerns owned and
controlled by eligible veterans.
To ensure that those concerns receive fair
consideration in purchases made by the Federal
government.
Starting
and/or
Growing a Small
Businesses
What we do for veterans…
•Start and/or Grow Small Businesses
•Access Capital
•Business Counseling
•Government Contracts
www.sba.gov/vets
Starting/Expanding Businesses…
1.
Special considerations are given to veterans under SBA’s
management and technical assistance programs and guaranty
loan programs. These special considerations include:
Liaison personnel in each field office;
2.
In-depth management counseling and training assistance;
and
3.
Prompt and priority processing of any loan application or
financial process.
(Section 401 of PL 106-50)
Starting/Expanding Businesses…
SBA provides a wide range of business
development information and tools through
the Internet. The main Web Pages are:
www.sba.gov
www.sba.gov/training
www.sba.gov/vets
www.onlinewbc.gov/militaryspouses.html
Starting/Expanding Businesses…
SBA provides a wide range of business
development information and tools through the
Internet. The main Web Pages are:
www.sba.gov
www.sba.gov/espanol
www.sba.gov/training
www.sba.gov/vets
www.onlinewbc.gov/militaryspouses.html
Other resources for you…
Center for Veterans Enterprise
www.vetbiz.gov/default2.htm
Department of Veterans Affairs
www.va.gov
Center for Women Veterans
www1.va.gov/womenvet
Disability Information Center
www.disabilityinfo.gov
Internal Revenue Service
www.irs.gov/businesses/small/index.html
Office of Small & Disadvantage Business Utilization
www.va.gov/osdbu
Small Business help for the
Military Spouse
WOMEN BUSINESS INSTITUE- provides assistance and/or
training in finance, management, marketing and the Internet, and
addresses specialized topics such as home-based businesses and
welfare-to-work. Provides individual business counseling and tailors
its programs to the needs of its constituency.
www.onlinewbc.gov/militaryspouses.html
WOMEN BUSINSS CENTER - provides a full businesstraining curriculum for every level of business, from start-up
to going public. It also offers worldwide networking, chats,
bulletin boards, resources and links, mentoring, and even
individual counseling.
www.onlinewbc.gov/militaryspouses.html
Help with Business Counseling
In-depth business and management
counseling and training assistance for you
or your employees.
Through the following programs:
Small Business Development Centers
Service Corps of Retire Executive
Cyber counseling
Online Workshops
ACCESSING
CAPITAL
Major SBA Loan Programs
Regular 7(a) Business Loans.
SBA Express
Community Express
Patriot Express
504
SBA’s Patriot Express Loan
Maximum Loan Amount
$500,000.00
Maximum Guaranty
Percentage
75 percent to 85 percent
depending on the amount of the
loan
The SBA guaranty on a Patriot
Express loan may not exceed 85
percent for loans of $150,000 or
less
Or, may not exceed 75 percent
for loans over $150,000
SBA’s Patriot Express Loan
• Eligibility Criteria
– Must meet standard SBA eligibility
– Must be 51 percent owned/controlled by:
• Veteran (other than dishonorably discharged)
• Service-disabled veteran
• Active Duty Military potential retiree within 24
months of separation and discharging Active
Duty member within 12 months of discharge
(TAP eligible)
• Reservist and National Guard (limited to current
members and their spouses)
• Current spouse of above or spouse of service
member or veteran who died of a serviceconnected disability
SBA’s Patriot Express Loan
• Patriot Express Loan Uses:
– The Patriot Express Loan may be
used for the following purposes:
•
•
•
•
•
•
Business startup
Business expansion
Equipment purchases
Working capital
Inventory
Business-occupied real-estate
purchases
SBA’s Patriot Express Loan
• Collateral Requirements
– Lenders are not required to take
collateral for loans up to $25,000
– Lenders may use their existing
collateral policy for loans over
$25,000 up to $350,000
– Lenders must take available
collateral for loans greater than
$350,000
SBA’s Patriot Express Loan
• Revolving Lines of Credit
– Revolving loans are allowed up
to 7 years with maturity
extensions permitted at the
outset
– In offering revolving lines of credit
and their enhancements, SBA
must ensure that borrowers,
particularly those accessing SBA
guaranteed loans through credit
cards, under stand that these
funds must be used for businessrelated purposes
SBA’s Patriot Express Loan
• Interest Rates
– For Patriot Express Loans, the
standard 7(a) interest rate
restrictions apply:
• A lender may charge up to 2.25
percent over the Prime rate for
maturities under seven years
• A lender may charge up to 2.75
percent over the Prime rate for
maturities over seven years
• The rates can be 2 percent higher
for loans of $25,000 or less
• Or, 1 percent higher for loans
between $25,000 or $50,000.
Military Reservist Economic Injury Disaster Loan
program (MREIDL)
• Special Assistance to Reservists Ordered
to Active Duty During Military Conflict:
Loan terms - Up to 30 years
Loan Amount Limit - $2,000,000
Maximum Interest Rate – 4.000%
Direct Loan – SBA
Filing Period: One year after discharge or release from
Active Duty
.
(Section 402 of PL 106-50)
Selling to the Federal
Government
First Thing To Do
Obtain a Data Universal
Number System (DUNS)
Number
www.dnb.com/us
DUNS Number can be
obtained free-of-charge at
time of CCR registration
(see next slide)
Register Your Business
Central Contractor Registration
Database (CCR)
Keep Current (Update yearly at
minimum)
www.ccr.gov
Online Representations and
Certifications Application (ORCA)
https://orca.bpn.gov/
Veteran’s Program
Service Disabled Veteran
Owned Small Business
Applies to purchases over $3,000
Self Certified on CCR
VA determines Service Disability
No term limits
Competitive and sole-source program benefits
Subcontracting and Prime Contracting goals
FAR 19.14
Know the Rules
Federal Acquisition Regulations (FAR)
www.arnet.gov/far
Subpart 8.4 – Federal Supply
Schedules
Part 13 – Simplified Acquisitions
Part 14 – Sealed Bidding
Part 15 – Contracting by Negotiation
Part 19 – Small Business Programs
Finding Prime
Contract Opportunities
Research Past Purchases
‒ GSA Federal Procurement Data Center
https://www.FPDS.gov
Identify Current Procurement Opportunities
‒ Federal Business Opportunities (FBO)
www.fbo.gov
Finding Subcontracting
Opportunities
Subcontracting Opportunities
Directory of Large Prime Contractors
www.sba.gov/gc/sbsd.html
SUB-Net
http://web.sba.gov/subnet
Joint Ventures & Teams
Investigate Joint Venture/Teaming
Arrangements
‒ Excluded from affiliation – 13 CFR
121.103(f)(3)
‒ “bundled” requirement
‒ other than a “bundled” requirement
Market Your Firm
Present your capabilities directly to the
federal activities and large prime contractors
that buy your products and services
Attend procurement conferences and
business expos
Attend Business Matchmaking events
View Solicitations
Request or download a bid package
Obtain copies of relevant specifications
& drawings
Understand relevant purchasing regulations
Federal Acquisition Regulations:
Micro-purchases (under $3,000)
Simplified Acquisitions (under $100,000)
Bids & Proposals (over $100,000)
Contract clauses
Prepare Your Offer
3 Rules for a solicitation:
-Read it…Read it…Read it!!!
Request a Procurement History
Attend Pre-Bid Meetings
& Walk-Throughs
Get clarification of ambiguities
Proofread your proposal
Submit it on time!
Contract Award
Are you Responsive?
Are you Responsible?
‒ Pre-Award Survey: Technical capability
‒
‒
‒
‒
‒
& production capability
Quality Assurance (QA)
Financial: accounts receivable, net worth,
cash flow
Accounting System
System for Qualifying Suppliers
Packaging, Marking, Shipping
Contract Performance
Contingency Plans
Have a back up plan if something goes
wrong
Give yourself enough time to react
Anticipating Final Inspection
Make an appointment before shipping date
On-Time delivery
Establish a good track record
Getting Paid
Know the paperwork process
Keep good records
Know your options
‒ Progress payments
‒ Prompt Payment Act
EFT (electronic funds transfer)
Accept government credit cards
Seek Additional Assistance
Procurement Technical Assistance Center
(PTACs) www.dla.mil/db/procurem.htm
Small Business Specialists
www.acq.osd.mil/sadbu
Local District Offices and Resource Partners
www.sba.gov
Local Small Business Development Centers
SCORE www.score.org
Women’s Business Development Centers
http://www.onlinewbc.gov/
Helpful Web Sites
DOD Small & Disadvantaged Business
Utilization Office
www.acq.osd.mil/sadbu/
Procurement and Technical Assistance
Centers
www.sellingtothegovernment.net
Small Business Development Centers
www.sba.gov/sdbc/
More Helpful Web Sites
SBA’s Home Page: www.sba.gov
Government Contracting:
www.sba.gov/GC
Site includes links to all major government
contracting programs discussed here plus
much, much more.
Things To Remember
TARGET YOUR CUSTOMER: Who buys your
product or service? How do they buy?
When do they buy?
KNOW THE RULES:
Federal Acquisition Regulations
Contract requirements and specifications
How to obtain Contract history
PERFORM AS PROMISED: On-time delivery,
Good Quality, at a Fair Price
Service-Disabled Veteran-Owned
Small Business Concern
Program
U.S. Small Business Administration
Office of Federal Contract Assistance for
Veteran Business Owners
PROGRAM HISTORY
The VETERANS ENTREPRENEURSHIP and SMALL
BUSINESS DEVELOPMENT ACT of 1999 (PL106-50)
established an annual Government-wide goal of not
less than 3 percent of the total value of all prime
contract and subcontract awards for participation by
small business concerns owned and controlled by
service-disabled veterans.
The VETERANS BENEFITS ACT (VBA) of 2003
(PL108-183) added, in addition to other provisions, a
contracting mechanism to enable agencies to reach the
3% prime contracting goal established in1999.
PROGRAM HISTORY
On May 5, 2004, the SBA issued the Interim Final Rule
to implement Section 308 of the VBA of 2003 established
a sole source and set-aside procurement program for
service-disabled veteran-owned small business concerns
(SDVO SBC). Federal Register Vol 69, No. 87, p. 25262
On October 20, 2004, President Bush issued Executive
Order 13360 to strengthen opportunities in Federal
contracting for Service-Disabled Veteran-Owned Small
Business Concerns. Federal Register Vol 69, No. 206, p. 62549
PROGRAM ELIGIBILITY
REQUIREMENTS
Adjudication
Size
Ownership & Control
Highest Position Held
ELIGIBILITY REQUIREMENTS
The SDV must have a service-connected disability that
has been determined by the Dept of Veterans Affairs
or DOD
The SDVO SBC must be small under the NAICS code
assigned to the procurement
The SDV must unconditionally own 51% of the SDVO
SBC
The SDV must control the management and daily
operations of the SDVO SBC
The SDV must hold the highest officer position in the
SDVO SBC
13 CFR § § 125.8 – 125.10/FAR Part 19.1403(a) - (b)
TYPES OF CONTRACTS
SET-ASIDE EXEMPTIONS
SET-ASIDES
SOLE SOURCE
SIMPLIFIED ACQUISITIONS
SET-ASIDE EXEMPTIONS
A contracting activity may not make a requirement available
for a SDVO contract if:
1.
The requirement would be fulfilled through award to Federal Prison
Industries, Inc. or to Javits-Wagner-O’Day Act participating nonprofit agencies for the blind and severely disabled.
2.
The requirement is currently being performed by an 8(a) participant
or SBA has accepted that requirement for performance under the
authority of the Section 8(a) Program.
13 CFR § 125.18/FAR Part 19.1404
SET-ASIDE REQUIREMENTS
A Contracting Officer (CO) may set-aside requirements if:
1.
The requirement is not exempted from SDVO contracting.
2.
The contracting officer considers setting aside the requirement for
8(a), HUBZone, or SDVO SBC participation before considering
setting aside the requirement as a small business set-aside.
4.
There is a reasonable expectation that at least two responsible
SDVO SBCs will submit offers; and
5.
The award can be made at a fair market price.
13 CFR § 125.19/FAR Part 19.1405(a) – (b)
SOLE SOURCE CONTRACTS
A CO may award a sole source contract if:
1.
The requirement is not exempted from SDVO contracting and
cannot be set-aside.
2.
The CO does not have a reasonable expectation that at least two
responsible SDVO SBCs will submit offers.
3.
The anticipated award price of the contract, including options, will
not exceed:
–
–
4.
$5.0M for manufacturing requirements
$3.0M for all other requirements
Award can be made at a fair market price.
13 CFR § 125.20/FAR Part 19.1406
SIMPLIFIED ACQUISITION THRESHOLD
If the requirement is at or below the simplified acquisition
threshold, the CO may set-aside the requirement for
consideration among SDVO SBCs using simplified
acquisition procedures or may award a sole source
contract to an SDVO SBC.
13 CFR § 125.21
ADDITIONAL CONTRACT
REQUIREMENTS
LIMITATIONS ON
SUBCONTRACTING
JOINT VENTURES
NON-MANUFACTURERS
ADDITIONAL CONTRACT REQUIREMENTS
LIMITATIONS ON SUBCONTRACTING
–
SDVO SBC Prime or Sub-contractor can subcontract for:
SERVICES CONTRACTS (EXCEPT CONSTRUCTION):
–
SUPPLY CONTRACTS:
–
50% of the cost of manufacturing the supplies
GENERAL CONSTRUCTION:
–
50% of the contract performance incurred for SDVO SBC personnel
15% of the contract performance incurred for SDVO SBC personnel
CONSTRUCTION BY SPECIAL TRADE:
–
25% of the contract performance incurred for SDVO SBC personnel
13 CFR §125.6(b)
ADDITIONAL CONTRACT REQUIREMENTS
Joint Ventures
1 or more other small business concern (SBC)
Each SBC is small under the contract’s North
American Industry Classification System code
SDVO SBC must manage the venture
JV must perform applicable percentage of work
13 CFR § 125.15(b)/FAR Part 19.1403(c)
ADDITIONAL CONTRACT REQUIREMENTS
Non-manufacturers
–
–
–
–
The SDVO SBC does not exceed 500 employees
Is primarily engaged in the wholesale or retail trade
Sells to the general public and
Supplies the end item of a small business (unless
requirement is waived by the SBA Administrator)
13 CFR § 125.15(c)/FAR Part 19.1403(d)
PROTEST PROCEDURES
WHAT?
WHO?
WHEN?
WHERE?
HOW?
PROTEST PROCEDURES
WHAT IS A PROTEST?
A challenge to either:
–
SIZE STATUS, in accordance with 13 CFR § 121
–
ELIGIBILITY STATUS, in accordance with 13 CFR § 125
Proof of Adjudication
Ownership
Control
13 CFR §125.26
PROTEST PROCEDURES
WHO MAY SUBMIT A PROTEST?
Sole Source Procurements:
Small Business Administration
Contracting Officer
Competitive Set-Asides:
Any interested party
13 CFR § 125.24
PROTEST PROCEDURES
WHEN ARE PROTESTS SUBMITTED?
–
Negotiated Procurements:
By Close of Business on the 5th Business Day after Notification
of the Apparent Successful Offeror, no later than 5 p.m. est
Sealed Bid Acquisitions:
By Close of Business on the 5th Business Day after Bid
Opening, no later than 5 p.m. est
•
Any Protest Submitted After the Time Limits is untimely, unless submitted by
the CO or SBA.
•
Any Protest Submitted Prior to Bid Opening or Notification is Premature.
13 CFR § 125.25 (d)
PROTEST PROCEDURES
WHERE ARE PROTESTS SUBMITTED?
–
CO or SBA submits protest to SBA Associate Administrator for
Government Contracting
–
Any Concern that submits an offer submits protest to the
Contracting Officer
13 CFR § 125.25(d)
PROTEST PROCEDURES
HOW ARE PROTEST SUBMITTED?
–
FORMAT:
In writing
Be specific
Include information to determine timeliness and standing
State contract type, e.g., set-aside or sole source
Whether the protested concern was the apparent successful offeror
Date protested concern submitted its offer
State whether sealed bid or negotiated procurement
Due date of offers
Date protest was submitted to the CO
Notice of intent to award date
Date of contract award, if applicable
Any additional information SBA may need to assist in making determination
13 CFR §§125.25(b) and (e)
PROTEST PROCEDURES
HOW ARE PROTEST SUBMITTED?
–
FILING:
BY FAX:
– (202) 205-6390
EXPRESS DELIVERY SERVICE or
U.S. MAIL (POSTMARKED WITHIN THE APPLICABLE TIME PERIOD)
– The Associate Administrator for Government Contracting
U.S. Small Business Administration
409 Third Street, SW
Washington DC 20416
Attn: Service-Disabled Veteran Status Protest
13 CFR § 125.25(e)
ADDITIONAL TRAINING
The Defense Acquisition
University (DAU) has
developed a similar course,
CLC 009, that is available online to the general public at the
DAU Virtual Campus
(http://www.dau.mil/).
It is worth one continuous
learning point for contracting
personnel.
U.S. Small Business Administration
VETERANS BUSINESS
DEVELOPMENT OFFICER
Kentucky District Office
Tommie L. Causey
600 Dr. Martin Luther King Jr. Place
Suite 188
Louisville KY 40202
Phone: (502) 582-5588
Fax: (202) 481-5893
E-mail: [email protected]
Thank You