Are you looking for new customers? Why not try Uncle Sam? Pallets and other wood products are needed by many government agencies for various projects and shipping purposes across the country. And due to a statutory goal of awarding 23% of prime contracts to small businesses, the federal government has a lot of money ear-marked for small companies.
Applying for federal contracts may seem intimidating to many small business owners. However, though it does take some time, getting started is not that complicated, and there are many free and low-cost resources available to help with the process.
A good way to get a taste of what it is like to work on a federal contract with little extra effort is by subcontracting for a larger company – also called a prime contractor – that has a federal contract. Just like the government, prime contractors are required to subcontract a certain percentage of many projects to smaller companies. You can find a directory of government contractors who are looking for subcontractors at http://gsa.gov/portal/content/101195. The directory includes details of the contracts that need to be subcontracted and how to contact the prime contractors directly.
If you are interested in becoming a prime contractor, begin by familiarizing yourself with the process of how federal contracts are awarded. The government uses a number of websites in this process. The first step is to register your business with the System of Award Management (SAM, www.sam.gov), which is the primary database of vendors doing business with the federal government. You must do this in order to apply for any government contracts. When you do, make sure you accept the option of filling out your small business profile that is included and become certified for any additional designations your company may qualify for. This includes being a small business, veteran owned, a disadvantaged business, minority-owned or woman-owned small business. SAM is also a marketing tool, so government agencies and contractors use it to search for companies based on these designations as well as capabilities, location, experience and other qualifications.
Once you are registered, you are ready to begin searching for contracts. The federal government lists available opportunities on several websites but the main one is called FedBizOpps (http://www.fbo.gov). This lists all available contracts valued over $25,000 from all federal agencies. You can search for opportunities by location, keyword and other criteria.
For help with registration and other aspects of getting involved in federal contracting, the U.S. Small Business Administration (SBA) is a great resource. It has staff who work directly with small businesses on identifying contracting opportunities, marketing to prime contractors and counseling on how to get subcontracts. It also offers free online courses to small businesses on how to access government contracts and subcontracts. They can be accessed at https://www.sba.gov/gcclassroom. For more information on how the SBA can assist your company, visit http://www.sba.gov/content/procurement-center-representatives or contact your local SBA office.
Another good resource is the Offices of Small and Disadvantaged Businesses Utilization (OSDBUs). These exist in every federal agency and are intended to ensure that small businesses are treated fairly and have the opportunity to compete for a fair amount of contracts and subcontracts. If you have a specific contract in mind, contacting the OSDBU for the related agency can be helpful. For contact information for the OSDBU in each federal agency, visit http://www.osdbu.gov/members.html.