Ways to Win Government Contracts

When it comes to federal government contracting, as well as state-level government contracting, it boils down to a need. They need something, perhaps a person to do the task. As long as you can provide the product or service and meet their criteria, winning a contract is possible.

Understanding the Bidding Process

Bidding involves submitting a detailed proposal in response to a government solicitation. You must determine your pricing strategy based on several factors, including the cost, potential profit, and what it takes to win. A bonus strategy is to research past contracts on government websites like SAM.gov and FPDS.gov for pricing.

While considering a bid, assess whether you can and want to do the work required. This involves understanding the evaluation criteria, performance work statement, and whether you can deliver by the deadline. Deciding to bid also means being honest with yourself about what you want and what's viable for your business.

Financing Your Contract

When it comes to government contracts, especially for products, a common question arises like “How do you fund upfront costs?” Selling products like eggs, cheese, or in more substantial cases, 50,000 pounds of butter, requires upfront capital. Where does this money come from? This is an important aspect of handling large, product-based government contracts.

It also highlights the importance of financial planning in government contracting. If you stumble upon an opportunity to supply a large quantity of a product - like 50,000 pounds of butter, assess your financial capacity to fulfill the order. If you lack the immediate funds, explore all available options to secure the necessary capital. Returning a contract due to financial incapacity is a big mistake that should be avoided at all costs.

Now is an opportune time to bid on government contracts. The government is prepared to do some big spending especially with the fiscal year being an election year. The message is clear: Bid, bid, bid. Take advantage of this period to secure contracts and expand your business.