GSA: Service Disabled Veteran Owned Small Businesses

Everyone repeat after me: "Service-Disabled Veteran-Owned Small Business." Okay, so its not something you would be able to repeat five times real fast. But to those who own businesses that qualify for the SDVOSB set asides the term can be a lucrative one.

GSA Schedules and Your SDVOSB
Did you know that federal agencies are required to set aside certain funds to be spent specifically on projects performed by Service-Disabled Veteran-Owned Small Businesses? You may also know that in years past federal agencies were often forced to scramble around looking for SDVOSB's to satisfy the set aside requirements. Often times agencies were unable to meet the set aside requirements and were penalized. The GSA Multiple Award Schedule is designed to make it easier on federal agencies to find and contract with SDVOSB's and, thereby, avoid being penalized.

How Does A GSA Schedule Help SDVOSB's?
With the growing popularity of the GSA Schedule, a large number of SDVOSB set asides are now awarded through the GSA Schedule process. This means that those SDVOSB's that have a Schedule Contract are able to take advantage of the monetary set asides while those business that do not have a Schedule are left out.

When a federal agency places an order under a GSA Schedule, the order is credited toward the ordering agency’s small business goals (including service-disabled veteran-owned small business goals).

Other GSA Schedule Set Asides
Federal agencies may receive credit under GSA Schedules when they contract with veteran-owned small businesses, HUBZone small businesses, women-owned small businesses, and small disadvantaged business schedule contractors.

For more information on obtaining a GSA Schedule for your Service-Disabled Veteran-Owned Small Business, contact one of our sponsoring attorneys below or at the top of this page.

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GSA: Contracts Online

One of GSA's goals is to provide its customers (i.e. governmental agencies) immediate online access to specific contract terms and conditions for each contractor and schedule. In a phrase, "Let's get it out there for all to see." No longer are contactors able to ignore contract provisions feeling comfortable that most of the agencies can be kept ignorant to the terms of the contract.

Contracts Online
GSA calls its new online contractor/schedule search website, appropriately enough, "Contracts Online." Contracts Online was developed to provide governmental agencies on hand schedule contract information when performing market research and placing orders. The website makes comparing one contractor/schedule to another fast and simple.

The information contained in Contracts Online can ensure governmental agencies are in compliance with the terms and conditions of the schedule contracts. Contracts Online is the result of a collaborative effort between GSA and the Department of Defense (DOD). Together GSA and DOD have teamed up to ensure proper use of GSA contracting methods in an effort to help agencies “get it right” when purchasing products and services.

For more information on using Contracts Online, contact one of our sponsoring attorneys below or at the top of this page.

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GSA: Contractors May Accept Payment Via Credit Cards

In the olden days getting paid on a government contract was slow and full of red tape. First you submit a bid, then you wait to see if you are the lowest responsible bidder, then you start work, then you submit your pay request, then the agency has you submit your lien release, then if all of your paperwork is correct you receive a check for your work (now nearly a month past the time the work was initially performed). If the paperwork is not correct, good luck getting paid anytime soon.

Governmentwide Commercial Purchase Card
But to those Contractors with GSA Schedules the payment procedures have been pushed into the fast lane. No longer do they have to deal with their subcontractors fussing about slow payment. No longer do they have to submit and resubmit pay requests. Instead, through the use of the new Governmentwide Commercial Purchase Card, payment is made almost as soon as the goods or services are delivered.

A Governmentwide Commercial Purchase Card is a credit card issued to individual government employees or agencies. The credit card can be used by these individuals or agencies to make numerous official government purchases. Credit card purchases are not limited to smaller amounts but may be used for almost any amount of purchase the agency and contractor agree to.

Goods or Services Delivered First
As with almost every government contract, the contractor must first deliver the purchased goods or services prior to processing a transaction for payment through the credit card clearinghouse. Also, unless the cardholder requests correction or replacement of a defective or faulty item in accordance with other contract requirements, the contractor shall immediately credit a cardholder's account for items returned as defective or faulty.

To take advantage of being paid via credit card, contact one of our sponsoring attorneys now. The attorneys are located below and at the top of this page.

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GSA: Hurricane Relief

My brother-in-law and sister-in-law own a home in Navarre, Florida. For those of you not from the Florida Panhandle, Navarre is located on the western end of North Florida where two years ago Hurricanes Frances and Ivan paid a visit. Now almost two years later reconstruction continues. If I had to guess, I would say it will be at least another year or so before the Florida Panhandle coastline is back to normal.

I also spent a few weeks last year in Mississippi and Louisiana after Hurricane Katrina barreled through. There is no telling how long it will take to get the mess cleaned up in those states.

GSA Small Business Hurricane Relief Opportunities
Why do I mention the hurricanes? Because the GSA has chosen July and August to spotlight the numerous opportunities for small and local businesses along the Gulf Coast to obtain work from the federal government. These opportunities include work both during and after natural disasters. We have been told that this year could be as bad (if not worse) for hurricanes as the last two years. If your business provides goods or services that can be used for hurricane relief you need to have a GSA Schedule today.

With the GSA’s focus on contracting with small businesses for hurricane relief work it is imperative that your business obtain a GSA Schedule now. There was a Disaster Outreach Conference held in New Orleans on July 18. That Conference focused on the continuing recovery efforts and on who will provide future goods or services for those efforts. Are you missing out? If so, contact one of our sponsoring attorneys today to get started on your GSA Schedule. Our sponsoring attorneys are located below and at the top of this page.

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GSA: What is A Small Business Set Aside?

Do you own a Small Business? Although your business may not seem small to you, it may be entitled to “Small Business” set asides from the Federal Small Business Administration (SBA). Consider the following:

A Brief History
In 1985, Congress enacted the “Small Business Act” to aid small businesses in obtaining contracts with the federal government. One of the major concerns sought to be remedied under the Act was the lack of competition created by large businesses squeezing smaller businesses out of government contracts. Congress was concerned that squeezing out small businesses has a negative overall effect on the U.S. economy. As a result, the Act mandated that a large amount of government contacts and funds be set aside for "Small Businesses." The SBA was assigned to regulate the Act.

Definition of Small Business
As with most federal and state statutes, you might be surprised at how the Act defines certain words or phrases. For instance, according to the Act, a small business concern is "one that is independently owned and operated and which is not dominant in its field of operation." The definition can be broad and may include businesses you and I would not normally consider “small businesses.”

In determining what constitutes a “Small Business,” the definition varies from industry to industry. The reason for the variance is because some industries are larger than others. For instance, suppose my business has 300 employees, grosses $10 million per year and corners the market in harvesting and selling Florida Lobster. My business may be excluded from the designation of “Small Business” given it is the largest in its industry.

However, if my business had the same number of employees and gross earnings but instead competed in the automobile industry it would probably fall under the category of “Small Business.” The SBA has established a table of size standards, matched to the North American Industry Classification System (NAICS) industries. These tables can be used to determine whether your business qualifies as a “Small Business.”

Federal Agencies Must Comply With The SBA
All federal agencies must use SBA's size standards to determine whether a business qualifies as a “Small Business” for Federal Government contracting purposes. Agencies must also use SBA's size standards for their other programs and regulations, unless they are authorized by Federal statute to use something else.

To determine whether your business qualifies as a “Small Business” and federal government set asides contact one of our sponsoring attorneys below or at the top of this page.

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GSA: $260 Million Spent On Outdoor Maintenance Equipment In 2006

So far in 2006, GSA has reported that the federal government has spent more than $260 million on outdoor maintenance equipment and related accessories. The figures are reported by the GSA under Schedule Number 51 V which contains a variety of subcategories.

Subcategories of Equipment Purchased Through GSA
Some of the subcategories for which the $260 million has been spent include purchasing (1) appliances such as refrigerators, microwave ovens, washing machines, etc.; (2) flooring, fencing, hardware and building materials; (3) lawn and garden equipment such as lawn mowers, tractors, chainsaws, etc.; and (4) power tools (drills, grinders and routers) and non-power tools (hammers, screw drivers, etc.).

Small Business Set Asides
If you own a small hardware store or are interested in growing your mid-sized business, a GSA contract (Schedule 51 V) can help. The federal government mandated that a substantial portion of the $260 million be set aside for small and disadvantaged businesses. Those small and disadvantaged business that have already obtained a GSA contract were able to take advantage of the set aside and grow their businesses.

In the upcoming weeks I will go into more detail about how your business can qualify for a federal government contract as a small business. In the meantime, contact one of our sponsoring attorneys above to find out how you can get the process started.

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What is the GSA?

In layman's terms, the General Services Administration (or GSA for short) is the federal government's newly created centralized purchasing department. The GSA was created to (1) save the federal government money by setting up a one stop shop for government agencies to purchase your company's goods and services; and (2) speed up the contracting process between the government and your company.

A Little Background
As you may know, for most of our nation's history the federal government's different agencies have been responsible for their own purchasing policies and programs. This meant that each agency had to track down the product it wanted to purchase, negotiate terms for each purchase and pay for the purchase through a complex system of individual vendor background checks and approvals. The process was time consuming and difficult. When a vendor was finally approved, the vendor ended up with a monopoly (for that agency anyway) because purchasing agents didn't want to go back through the approval process again with a different vendor.

In addition, the process also meant that different agencies paid different prices for the same products. Some agencies purchased in larger volumes and were offered lower prices per unit while other agencies purchased smaller volumes and paid much more per unit. You may recall the public outcry back in the early 90s when it was discovered the military paid several hundred dollars for a hammer it could have bought at Lowe's for $10.99. The GSA is intended to remedy that type of spending and open up the purchasing process to more vendors.

GSA Has Simplified The Purchasing Process
Today, almost all government agencies use the GSA to purchase goods and services. The GSA has created a centralized website for government agencies to shop for the products and services you sell. The website is easy for agencies to use and contains almost every product on the market today, including the products your company sells. With that in mind, why is your company not on the website? Why are other companies that sell your same products and services getting all of the government's business?

The questions are only partially rhetorical. The real answer to the above questions is that the difficulty for selling to the government has been shifted to your company and away from government agencies. Now your company is responsible for registering your products to be included in the catalog. This process is full of legal traps and difficulties. To ensure that your products are registered as quickly as possible contact one of our sponsoring attorneys above. They can help you get a government contract and show up on the government catalog.

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GSA: Over $200 Billion Awarded Annually For Goods and Services

Did you know that the Executive Branch of the Federal Government spends more than $200 billion on goods and services each year? And that is just the executive branch. If that is not enough to get you thinking about obtaining a GSA Contract, consider the following:

In 2005, the Federal Government paid businesses just like yours the following amounts:

(1) for building and related materials - $530,000,000;

(2) for furniture supplies - $1,500,000,000 (that's 1.5 billion);

(3) for technology software and services - $16,500,000,000 (that's 16 billion);

(4) for recreation and apparel - $400,000,000.

These figures are provided by the Federal Government here. And this is just the tip of the iceberg. There are hundreds of other categories for your business to choose from.

Did you also know that a great deal of these funds are set aside for small businesses just like yours? That's right. The Federal Government requires that a substantial amount of these funds be spent in contracts with Small Businesses, Minority Owned Businesses, Women Owned Businesses and Veteran Owned Businesses.

This Blog is dedicated to helping you obtain and understand your GSA Contract. Visit one of our sponsoring attorneys above to get started on your contract today.

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