Transcript U.S. Small Business Administration Government Contracting Assistance WWW.SBA.GOV/GC Doing Business with the Government  The U.S.

U.S. Small Business
Administration
Government Contracting
Assistance
WWW.SBA.GOV/GC
Doing Business with the Government
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The U.S. Federal Government is the largest buyer of
products and services in the world. The Federal
Government:
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Makes more than 20 million sales transactions annually.
Spends more than $200 billion each year on goods and
services.
The Federal Government has special goals to
purchase goods and services from small businesses.
These goals flow down to large prime contractors
providing subcontracting opportunities for small
business contractors.
SBA’s Goal is to:
 Increase
small business
participation
 Level
the playing field
What is a small business?
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Organized for profit, with a place of business in the United States, and
which operates primarily within the United States or makes a significant
contribution to the U.S. economy through payment of taxes or use of
American products, materials or labor. Further, the concern cannot be
dominant in its field, on a national basis. Finally, the concern must meet
the numerical small business size standard for its industry. SBA has
established a size standard for most industries in the U.S. economy. The
most common size standards are as follow:
 500 employees for most manufacturing and mining industries
 100 employees for all wholesale trade industries
 $6 million for most retail and service industries
 $28.5 million for most general & heavy construction industries
 $12 million for all special trade contractors
 $0.75 million for most agricultural industries
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Visit www.sba.gov/size/indextableofsize.html to research your business
size standard
Preparing to Enter Government Contracting
Know your customer – Research and market federal
agencies and prime contractors and demonstrate
how your product or service can help THEM be
successful
 Know your competition – Research the strengths
and weaknesses of your competitors and how your
company compares.
 Be patient – Building relationships takes time. Be
prepared for a lot of work with little results in the
first few years. Also, the federal procurement
process takes time and it will take some time before
you hear the results of an award. Be careful to plan
accordingly when expending resources to respond to
solicitations.
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Preparing to Enter Government Contracting
(continued)
Educate yourself – Learn the rules and regulations
of federal contracting ahead of time and know what
is expected of you if you are the successful bidder
 Get your business ready
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Have an established commercial customer base
Be adequately capitalized
Have established quality control measures
Demonstrate through past experiences that your company
can deliver a quality product/service on time and at a fair
price
Internet access and capability is a MUST
Prime Contract Program
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SBA procurement center representatives (PCRs)
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Review contracting actions for possible set-asides
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Review subcontracting plans
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Recommend small business contractors
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Counsel small businesses
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For a list of PCRs nationwide visit:
www.Sba.Gov/gc/pcr.Html
Subcontracting Assistance Program
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SBA commercial market representatives (CMRs)
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Identify opportunities for small business
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Conduct program reviews
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Counsel small businesses
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For a list of CMRs nationwide visit:
www.Sba.Gov/gc/indexcontacts-cmrs.Html
Certificate of Competency (COC) Program
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Appeal process for small business on a specific
contract
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SBA conducts independent review (technical and
financial)
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Contracting Officer must accept decision
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Contact: Janette Fasano, Area Director
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Phone: (617) 565-5662
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Email: [email protected]
Size Determination Program
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Set-asides and programs rely on honor system
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Program provides a check & balance system
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SBA conducts independent review when questioned:
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Protest must be timely
SBA Decision is Final
Contact: Janette Fasano, Area Director
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Phone: (617) 565-5662
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Email: [email protected]
HUBZone Empowerment
Contracting Program
A community-based economic
development program to stimulate:
Job creation
Capital Investment
-- in distressed localities
Purpose of the HUBZone Program
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Provide Federal contracting assistance to qualified small
business concerns located in distressed areas or HUBZones to:
•Increase employment opportunities
•Stimulate capital investment in those areas
•Empower communities through economic
leveraging and the “multiplier effect.”
Qualified Areas
Three categories -- Urban, Rural, Native American
 Urban = Metropolitan Area Census Tracts (HUD) 7,000
 Rural = Non-metropolitan Counties - 900
 Median household income is less than 80% of the
non-metropolitan state level (Census)
 Unemployment rate that is greater than 140% of
the state-wide average (BLS)
 Native American = All federally recognized Indian
reservations as defined by external boundary
How do you qualify?
 Meet
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these four requirements:
Must be a small business
Primary business location must be located in an
identified census tract or county
35% of employees must reside in an identified
HUBZone area
Business must be owned at least 51% by US
Citizens, Community Development Corp., or
Indian Tribe
The Certification Process
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Visit www.sba.gov/hubzone to apply for a
Userid and Password for SBA’s General
Login System (GLS)
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You must have:
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An active up-to-date Dun and Bradstreet profile
and DUNS number
An active CCR profile that establishes a primary
NAICS Code
Logon to HUBZone online application
with GLS userid and password
Processing time - 30 days maximum
Types of Contract Assistance for
HUBZone Firms
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Set-aside awards
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Sole source awards
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Awards through full and open competition after
application of a price preference in favor of the
HUBZone SBC
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Subcontracting Opportunities
HUBZone Set-Aside Procedures
 HUBZone
set-asides to be considered before
HUBZone sole-source awards or small
business set-asides
 Contract officer may set-aside acquisitions
exceeding the Micro Purchase and below the
Simplified Acquisition Threshold
 If contract officer declines set aside for
HUBZone above $100K, then SBA
procurement staff can launch appeal process
HUBZone Sole Source
Contract Awards
 Anticipated
award price, including options
will not exceed:
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$5 million - manufacturing
$3 million - all other NAICS Codes
 Two
or more qualified HUBZone firms are
not likely to submit offers
 A HUBZone firm is a responsible contractor
to perform the proposed contract
Full and Open Competition
Price Evaluation Preference
 A HUBZone
firm can displace the apparent
low offeror (other than another small
buisness) if its price is not more than 10%
higher than the otherwise lowest, responsive
and responsible offeror
Subcontracting
Requirements
 There
is no specified HUBZone goal for
subcontracting, however...
 For most large contracts (over $500,000 or $1
million construction), large business
contractors must create a subcontracting plan
reflecting HUBZone firm participation
 Factors into the firm’s ‘Past Performance’
analysis on future contracting actions
Other SBA Certifications
 8(a)
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Program
SBA Certification program for small businesses
owned by “socially and economically
disadvantaged” business owners
Contract benefits: Set-Aside or Sole Source
Contracting
For more information, visit www.sba.gov/8abd
For access to the on-line application and guide,
visit https://sba8a.symplicity.com/applicants/guide
What are the 8(a) Participant
Requirements?
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Must be a small business concern that demonstrated potential for success
(minimum of 2 years of operation)
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Must be 51% unconditionally owned and controlled by one or more
socially and economically disadvantaged individuals who are of good
character and citizens of the U.S.
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Social disadv.- refers to individuals who (beyond their control) have been
subjected to racial or ethnic prejudice or cultural bias because of their group
membership identity
Economically disadv. – refers to socially disadvantaged individuals with an
impaired ability to compete in the free enterprise system because of
diminished capital and credit opportunities. Personal net worth must be less
than $250,000 excluding equity in personal residence and business
Firms that have not been in business for 2 years do not meet potential for
success, but may seek a waiver of the requirement by meeting certain
conditions.
Term of 8(a) Participation
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Companies can participate in the program for a maximum of
9 years, in two stages:
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DEVELOPMENTAL STAGE
-the first 4 years
-assist 8(a) certified firms overcome their economic disadvantage by
providing business
development assistance;
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TRANSITIONAL STAGE
-the next 5 years
-designed to prepare participant firms for the
marketplace.
competitive
Why the 8(a) Program?
Benefits of 8(a) Program Participation
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Support for Government
Contractors
Access to capital
Management and technical
assistance
Access to Surplus Property
One-on-one counseling
assistance
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Marketing and Outreach
assistance
Procurement assistance
Participation in the
Mentor/Protégé Program
Resources
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CCR “Dynamic Small Business Search”
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Internet-based vendor database with over 200,000
companies
Integrated with SBA’s Pro-Net System
Registration is required if you want to do business w/govt
Contains company profile (goods, services provided and
contact info), EFT information, and past performance.
Marketing tool for small business
Resource for contracting officers
To register your business on CCR visit: www.ccr.gov
SUB-Net
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Listing of subcontracting opportunities
Identifies concrete opportunities for small businesses to
pursue
To view the current list visit: http://web.sba.gov/subnet/
SBA Partner
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NH-Procurement Technical Assistance Program (NH-PTAP)
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Partnership between State of NH and Dept of Defense
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Training & Counseling
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Bid Matching
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http://www.nheconomy.com/nheconomy/ptac
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Contact:
• Chris Way, Program Manager [email protected]
• Martha Keene – Business Counselor [email protected]
• Holly Wheatley – Training Coordinator [email protected]
• (603) 271-7581
Questions?
 Rachael
Roderick, SBA NH District Office
(603) 225-1603
[email protected]
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