Business owners are constantly looking for ways to expand. However, the U.S. government and its major buying power are often overlooked as a potential client.
The U.S. government is the #1 buyer of goods and services in the country. The government buys every type of product and service on the planet. They buy everything from ink pens to toilet paper, to fleet vehicles and consulting services, and pretty much everything else you can imagine.
And they have to buy those goods and services from someone. So why not let that someone be you?
The federal government spends billions and billions of dollars every year buying goods and services from vendors who are registered to provide their goods and services to the U.S. government.
This is outside the scope of today’s article, but before your business can respond to any federal contracting opportunities, your business must be registered as a U.S. government vendor.
To get step-by-step instructions on how to become a registered vendor with the U.S. government, click here.
But once you are registered as a U.S. government vendor, there are 3 different ways you can work with the federal government to sell your goods and services.
So, let’s look at those three strategies in more detail now.
Strategy 1: Sell To The U.S. Government Through FedBid
The fastest way you can sell to the U.S. government is using a reverse auction called FedBid.
FedBid is a lot like eBay. The federal government posts details about the goods and services (primarily goods) they are looking for, and you can post a bid on what you are willing to provide that good or service to the government for.
Most of the things that show up on FedBid are typically under $25,000. The winning bidder is then notified once the contract has been awarded, and you work with the procurement officer to fulfill the order.
So, FedBid is a great place to start working with the U.S. federal government because it is not as complicated as the other two methods. But again, before you can begin to respond to a bid that is posted on FedBid, you first will need to be registered as a vendor to the US government. See the Check It Out Section for more details.
Strategy 2: Sell To The U.S. Government Through FedBizOpps
For contract opportunities that are typically more than $25,000, the #1 federal resource is a web-based application known as FedBizOpps. This web site is the central database of procurement and contract opportunities from all of the 26 federal government agencies.
In essence, FedBizOpps is the US government’s one-stop virtual marketplace for large contracts. Through this single-point of entry web site, vendors and government buyers post, search, monitor and retrieve opportunities solicited by government agencies.
There are a number of ways you can search the database for opportunities without being registered as a vendor with FedBizOpps. However, it is a whole lot easier to track opportunities if your business is already registered.
For example, you can perform a general key word search, search by a specific government agency, by the place of performance. Or, you can search by a set aside criteria, which is a certain type of entity that the government prefers to have respond to an opportunity and be awarded a contract.
Strategy 3: Negotiate Directly With The Government Based Upon The Procurement Forecast
A third strategy you can use to grow and expand your business with the U.S. government is to negotiate directly with the government based upon the “procurement forecast”.
In 1988, the federal government passed a law requiring all agencies to compile and make available projections of contracting opportunities that small businesses may be able to perform. These projections are compiled on an annual basis and released as a “procurement forecast” document.
The forecast contains information about anticipated contract opportunities that the agency will make for the next fiscal year. This is a great way to find out exactly what goods and services the government agencies plan to buy from small businesses.
You can then use this information to reach out to the government procurement officer directly and try to get them to buy those goods or services from you. There are certain types of projects that the procurement officer can award directly to businesses without having to post them on FedBizOpps or FedBid first.
So the procurement forecast is a great way to find out where to start in pitching your business directly to government procurement officers.
So there you have it. You now know about the three strategies you can start using today to gain the U.S. government as your first billionaire client who always pays on time.
If your business is not currently pursuing the U.S. government as a client, then check out the step-by-step report that shows you how to start selling to the US government within just a few days.
*Originally published as Issue # 119 – August 31, 2012