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Get in the Game

B2G Market for Small Business

Presented byDr. Randall M. Mauldin

USMC (ret), CPSM®, PMP®

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Agenda

• B2G FY2010 Report• Provide information about the B2G market• Tell you how to register your business for B2G

market• Discuss options for your business to learn

about and become successful in the B2G market

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Presidential Memorandum April 26, 2010

Interagency Task Force on Federal Contracting Opportunities for Small Businesses

• Tasked to …– Develop Innovative Strategies– Remove Barriers– Expand Outreach– Establish policy… to help small business get in the game

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Federal Government Purchases

• Over $500 billion worth of goods and services each year, from office supplies to aircraft carriers

• Government agencies fill at least 23% of all purchased with small businesses

• Over 30% are small business set-aside contracts– only small businesses are allowed to compete.

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Federal Market

• Government spends every year– Good times and bad

• Government pays its bills within 30 days• Government purchasing process is transparent• Federal opportunities are available to all

businesses in the United States– Business can sell to federal agencies in any state

• Prime Contractors have small business goals

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Spending in the US

$429.7 B in Contracts $536.5B in Grants

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Top Spenders

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Top Vendors

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Florida

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Congressional Districts

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District 24

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District 15

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Small Business Contracting Goals

• Small business contracting goals established by law for Federal executive agencies: – 23 % of prime contracts for small businesses; – 5 % of prime and subcontracts for women-owned

small businesses; – 3 % of prime contracts for HUB Zone small

businesses; – 3 % of prime and subcontracts for service-disabled

veteran-owned small businesses.

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Why Small Business Should Sell to the Federal Market

Need for small business$3,000 to $100,000 must be

reserved for certified small businesses

(Small Business MUST RESPOND)

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Where is the opportunity in the Federal Market?

Procurement Methods

• Micro-purchases - < $3000• Simplified Acquisition Process

– $3000 to $100,000– By law should be set aside for

small business, if small business responds

• Sealed Bidding – compete on price

• Contract Negotiations – > $100,000

• Consolidated Purchasing – GSA Schedule

Small Business Strategy

1. Educate small business community about B2G market

2. Ensure all businesses are registered in Central Contractor Registry

3. Provide strategic guidance about how small business can leverage the rules to participate in the B2G Market

4. Encourage large businesses to support small business with mentorship, supply chain access, financial support

5. Develop network for teaming arrangements

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When does the government spend?

Information from Federal Procurement Data System

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How Do I Get Involved?

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Develop/Update Business for Government Opportunities

• Evaluate your business– Products and services– Marketing and operational plans– Competition– SWOT Analysis

• B2G goals• Available resources

– Financing– Materials

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Get a D-U-N-S Number

• Required• Business identification number• FREE

– Contact Dun & Bradstreet at 866-705-5711– http://fedgov.dnb.com/webform.

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Classify your product or service

• North American Industry Classification System(NAICS)

– Used to categorize products and services. – Find your NAICS code:

http://www.census.gov/eos/www/naics/

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Identify National Stock Numbers (NSNs) for all items you sell

• Make sure all your products and services are identified with an NSN designation

• Contact the Defense Logistics Information Service at 877-352-2255 to obtain NSNs.

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Register in the Centralized Contractor Registration (CCR) system

• Primary source for government agencies to learn about prospective vendors

• Search based on each vendor’s abilities, size, ownership and other parameters

• Must be registered in CCR to compete for a contract from any federal civilian or military agency

• THE source of information

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Information needed for CCR Registration

1. Taxpayer Identification Number2. D-U-N-S Number3. NAICS Code4. Bank account5. Capability narrative (Elevator Pitch)6. Key words that apply to your goods and services (250-word

limit)7. Past performance summary

– Individual experience can be used as past performance– Unknown Confidence vs. No Confidence

8. Web site URL - Have a simple website for government marketing

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Obtain a CAGE Code

• Identifies companies wishing to do business with the federal government

• CAGE Code automatically assigned once you complete the CCR process

• To request a Commercial and Government Entity (CAGE) Code, download the form at http://www.forms.gov/bgfPortal/docDetails.do?dId=11327.

Online Representations and Certifications Application(ORCA)

• ORCA is a FAR mandated web-based system • Government by collecting vendor representations and

certifications of business information that is required by law for contract award.

• Streamlines the process• Provides the Contracting Officer with Section K of the

Proposal…• ORCA use by vendors is mandated by FAR 52.204-8

– “The offeror has completed the annual representations and certifications electronically via the …

Online Representations and Certifications Application (ORCA) website at https://orca.bpn.gov”

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Determine if your business qualifies for Small Business Certification

• The federal government sometimes gives preference to certain businesses: – Socially and economically disadvantaged– Businesses located in a HUB Zone or those with at least

35 percent of employees in a historically underutilized business zone.

– Must apply with SBA for 8a category and HUB zone designation (sole-source and 10% price advantage)

• Visit http://www.sba.gov/gcbd• Opportunity, not entitlement

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HUB Zones

Sole-Source Set Asides and 10% price advantage on competitive bids

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Familiarize Legal Procedures

• Federal Acquisition Regulations (FAR) at http://www.arnet.gov/far/.

• Primary regulation that all federal agencies follow when purchasing goods and services.

• Must read part 19 (about small businesses programs)

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Check out the procurement forecasts

• Annual Procurement Forecast• Maintained by its Office of Small and

Disadvantaged Business Utilization (OSDBU) • Agencies required to post actualized forecasts

on their web site by October 1. • Contact each agency OSDBU at

http://www.firstgov.gov

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Explore subcontracting opportunities

• Market to prime contractors as a subcontractor• The Small Business Administration’s site SUB-

Net (http://web.sba.gov/subnet/search/)• Prime contractors and government, commercial

and educational entities post solicitations or notices there.

• Find Department of Defense subcontracting opportunities and prime contractor contacts at http://www.acq.osd.mil/sadbu/.

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Market your firm to the right contacts

• Select Prospective government customers• Research their requirements • Solve unique challenges• Identify the agency personnel• Provide “leave-behind” materials• Attend small business fairs and networking• Register in prospect’s databases

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Find Opportunities

• Fed Biz Ops (www.fbo.gov)• Register as a vendor• Search using key words for your business• Search using North American Industry

Classification System (NAICS) Codeshttp://www.census.gov/eos/www/naics/

• Set up email alerts for “Sources Sought” or “Presolicitation” RESPOND!!!

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What do I do now???

• At a minimum Register– Free and sets up your business for opportunities

• Research the B2G Market– www.fbo.gov– Set up Alerts based on your NAICS codes

• Use our team to pursue the B2G Market

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ResourcesBusiness.gov http://www.business.gov/ The official business link to the U.S. Government.

Central Contractor Registration (CCR)http://www.ccr.govThe primary registrant database for the U.S. Government, CCR collects, validates and

disseminates data in support of acquisition missions.

Department of Defense Office of Small Business Programs http://www.acq.osd.mil/sadbu/This organization is committed to maximizing the Department of Defense (DoD) purchases

through small businesses. The site includes the basics of doing business with and marketing to the DoD, as well as details about various small business programs.

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ResourcesD&B D-U-N-S Numberhttp://www.dnb.com/US/duns_update/AD&B® D-U-N-S® Number is a unique nine-digit sequence used to identify and keep track of more than

100 million businesses worldwide. You must have a D-U-N-S Number to do business with the government.

Federal Agency Procurementhttp://acquisition.gov/comp/procurement_forecasts/index.htmlA list of forecasts for agency procurement.

North American Industry Classification System (NAICS)http://www.census.gov/eos/www/naics/NAICS is the standard used by federal statistical agencies in classifying business establishments for the

purpose of collecting, analyzing and publishing statistical data related to the U.S. business economy.

Procurement Technical Assistance Centershttp://www.dla.mil/db/procurem.htmFree assistance for vendors planning to do business in the federal civilian and/or DoD marketplace.

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ResourcesOffice of Federal Procurement Policyhttp://www.whitehouse.gov/omb/procurement_default/This office plays a central role in shaping the policies and practices federal agencies use to acquire the goods

and services they need to carry out their missions.

OPEN Forumhttp://www.OPENForum.com This site offers a wealth of business resources including videos, articles and expert blogs on growing your

business; success stories and advice from business owners; and networking opportunities to publicize your business.

Small Business Administration Office of Government Contracting and Business Developmenthttp://www.sba.gov/aboutsba/sbaprograms/gcbd/index.htmlSBA contracting experts can be an invaluable resource, whether you’re new to government contracting or are

currently doing business with the government and need advice on a particular issue.

Women Impacting Public Policyhttp://www.wipp.org/A bipartisan public policy group that

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Conclusion

• Beware of Businesses that try to offer easy solutions– Highly competitive market with fantastic rewards

• Opportunity, not entitlement• Work for and earn government business

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Visit www.b2gsolutions.us

for more information and registration