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The SBTDC is a business advisory service of The North Carolina University System       operated in partnership with the U....
Small Business and Technology   Development Center (SBTDC)Procurement Technical Assistance Center (PTAC) Doing Business wi...
Agenda              Please turn all cell phones to vibrate                Please feel free to ask questions•   SBTDC and P...
About the Small Business and   Technology Development Center (SBTDC)• Established in 1984:   – initiated by the US Small B...
SBTDC Services• Confidential one-one-one counseling:   –   General Business Services   –   Technology Development and Comm...
About the Procurement Technical             Assistance Center (PTAC)• National program established in 1985:   – Authorized...
PTAC Services• Assistance selling to federal, state and local government  entities   –   Completing mandatory and benefici...
SBTDC and PTAC Statewide OfficesAsheville, Boone, Chapel Hill, Charlotte, Cullowhee, Durham, ElizabethCity, Fayetteville, ...
Diving In…
Before Selling to the Government•   Internet access and computer knowledge•   Potential to sell to the government•   Deter...
Is the Government Market for You?• What a government contract can do for your business   – Diversify your customer base   ...
Federal Government Contracting Overview
Potential Federal Customers•   Military Bases•   General Services Administration (GSA)•   Department of Veteran’s Affairs ...
Steps in Federal Contracting• Registration   • Small Business Programs      • Marketing Tools and Strategies         • Loc...
Federal Registration Acronyms•   NAICS – North American Industry Classification System•   FSC – Federal Supply Classificat...
Federal Registration Preparation• Identify your NAICS codes –  http://www.census.gov/eos/www/naics• Identify your FSC and ...
Central Contractor Registration• Required to do business with the federal government• Marketing Partner ID Number (MPIN) c...
CCR Inputs• General Information            • Points of Contact   – DUNS, TIN, addresses,          – CCR, Electronic, and  ...
SBA Firm Profile             Dynamic Small Business Search•   Access through CCR once registration is complete•   DSBS num...
Online Representations            and Certifications Application• Replaces paper Reps and Certs process• Required to bid o...
Wide Area Workflow• Web-based system for electronic invoicing, receipt,  acceptance, and inspection• Required to be paid a...
Steps in Federal Contracting• Registration   • Small Business Programs      • Marketing Tools and Strategies         • Loc...
Federal Small Business Size Standards• Based on industry (NAICS code)• Determined by average number of employees or averag...
Federal Small Business             Programs and Certifications•   Small Business Certification•   Small Disadvantaged Busi...
Small Business Certification and  Small Disadvantaged Business Certification• Small Business Certification   – Firms may S...
8(a) Business Development Program• Business assistance program administered by the SBA for  small disadvantaged businesses...
HUBZone Empowerment                   Contracting Program• Program administered by the SBA to encourage development  in hi...
Women Owned Small Business Program• Program to ensure federal contracting opportunities for  women owned small businesses•...
Veteran and Service-Disabled Veteran Owned          Small Business Programs• Programs to ensure federal contracting opport...
Federal Small Business Contracting Goals• Government wide statutory goals:   –   23% of prime contracts to small businesse...
2009 Federal Small Business                Procurement Scorecards•   Agency for International Dev: F      •   Dept of Tran...
Steps in Federal Contracting• Registration   • Small Business Programs      • Research and Marketing Tools and Strategies ...
Federal Rules and Regulations Research• Federal Acquisition Regulation (FAR)  www.acquisition.gov/Far/   – Codification of...
Federal Spending Research• USASpending.gov  www.usaspending.gov   – Searchable website with basic information on all feder...
Federal Marketing Strategy• Complete all registrations• Identify and target key agencies   – Know the agency’s mission and...
Federal Points of Contacts• Small Business Liaison Officer (SBLO)   – Prime Contractor Employee (Public Law 95-507)   – Mo...
Federal Points of Contact• Contracting Officer (CO)   – Only person that can obligate the government   – Enters into, admi...
Steps in Federal Contracting• Registration   • Small Business Programs      • Research and Marketing Tools and Strategies ...
Finding Federal Opportunities• Federal Business Opportunities “FedBizOpps”  www.fbo.gov   – Federal government procurement...
Types of Federal Opportunities•   Presolicitation•   Sources Sought•   Special Notices•   Request for Information•   Solic...
Federal Subcontracting Opportunities• SBA Subnet  http://web.sba.gov/subnet/• SBA Subcontracting Directory  http://www.sba...
Steps in Federal Contracting• Registration   • Small Business Programs      • Research and Marketing Tools and Strategies ...
Evaluating Federal Opportunities• Obtain entire solicitation including attachments and  amendments• Read solicitation comp...
Federal Contracting Methods• Micro Purchases   – FAR Part 13• Simplified Acquisitions   – FAR Part 13• Sealed Bidding   – ...
Micro Purchases•   Micro-purchase threshold    – Supply purchases less than $3,000    – Services purchases less than $2,50...
Simplified Acquisitions• Purchases over micro purchase threshold and up to  $150,000• Solicitation in form of Request for ...
Sealed Bids• One of two methods used for procurements over $150,000• Solicitation in form of Invitation for Bid (IFB)• For...
Negotiated Procurements• One of two methods used for procurements over $150,000• Formal advertisement in FBO required• Sol...
Federal Contract Types• FFP – Firm Fixed Price   – Most commonly used, reduces risk to government• CPFF – Cost Plus Fixed ...
Bidding On Federal Contracts• Follow all of the instructions and sequence given in the  solicitation• Focus on customer’s ...
Performing on Federal Contracts• Remember the CO is the only one who can obligate  government funds• Know your customer an...
State of North CarolinaContracting Overview
Potential State Customers•   State Agencies•   Universities•   Community Colleges•   Public Schools•   Institutions•   Loc...
Steps in State Government Contracting• Registration   • Small Business Programs      • Marketing Tools and Strategies     ...
Registration• Identify your NIGP/Commodity Codes  http://www.doa.state.nc.us/PandC/ispalpha.htm• Review the P&C website  h...
NC E-Procurement• Internet based purchasing system   – Streamlines procedures and reduces overall costs• Statewide vendor ...
NC Vendor Link• Part of the NC Interactive Purchasing System• Allows vendors to enter information about their company• Ser...
Local Government Registration•   Concentrate on immediate area first•   Identify city and county websites•   Complete indi...
Steps in State Government Contracting• Registration   • Small Business Programs      • Marketing Tools and Strategies     ...
North Carolina HUB Program• Program for historically underutilized businesses including  minority, women, and disabled own...
NC DOT Small Business Programs• Disadvantaged Business Enterprise (DBE)   – Socially and economically disadvantaged busine...
Steps in State Government Contracting• Registration   • Small Business Programs      • Marketing Tools and Strategies     ...
State Government Regulation              and Spending Research• Regulations   – NC Purchase and Contract Administrative Co...
State and Local Government                  Marketing Strategy• Complete all registrations• Identify and target key agenci...
State Government Points of Contact• State Division Employees   – Purchasing groups managing statewide contracts• Agency Pu...
Steps in State Government Contracting• Registration   • Small Business Programs      • Marketing Tools and Strategies     ...
Finding State Government Opportunities• Interactive Purchasing System (IPS)  http://www.ips.state.nc.us/ips/pubmain.asp   ...
Steps in State Government Contracting• Registration   • Small Business Programs      • Marketing Tools and Strategies     ...
Evaluating State Government Opportunities• Obtain a complete copy of the solicitation and watch for  amendments• Read enti...
State Government Purchasing Procedures• Informal Procedures   – Purchase and Contract Administrative Code Subchapter 5B• F...
Bidding with Informal Procedures• Purchases up to $10,000• Advertisement of bid opportunity is not required• May be conduc...
Bidding with Formal Procedures• Purchases over $10,000• Advertisement of bid opportunity is required• Posted to NC IPS• So...
Bidding on Term Contracts• Commonly purchased commodities, printing, or contractual  services• Used by all agencies, conve...
Bidding on Construction Contracts• State Construction Office  http://www.nc-sco.com   – Informal: $30,000 to $300,000   – ...
Bidding On State Government Contracts• Follow all of the instructions and sequence given in the  solicitation• Focus on cu...
Performing on State Government Contracts• Know your customer and their procedures• Document everything• Alert the customer...
Teaming to Pursue Government Contracts
Teaming Defined• Two or more companies form a partnership or joint venture  to act as a potential prime contractor        ...
Teaming Arrangements• Advantages of Teaming Arrangements   – Maximizes complementary skills, resources, and capabilities t...
Teaming Agreements• A Teaming Agreement is an agreement between the team  members to work together to pursue a prime contr...
Partnerships• A partnership is a business enterprise consisting of two or  more individuals or concerns who come together ...
Joint Ventures• A joint venture is an association of two or more individuals or  concerns formed to undertake a particular...
Bidding on Contracts as a Team• Proposal preparation and contract performance  responsibilities should be clearly defined ...
Wrapping Up…
Final Thoughts• Do not be late• Keep track of required registrations and passwords• Be proactive and persistent when looki...
Utilize Small Business Resources!• Work with the SBTDC to develop and maintain a good overall  business strategy• Work wit...
Marketplace 2011               Sheraton Imperial Hotel             Research Triangle Park, NC                     June, 1 ...
North Carolina PTAC Counselors•   Clark Fields – Asheville: 828.251.6025 or cfields@sbtdc.org•   Wanda Robinson – Hickory:...
QUESTIONS?
Doing Business with the Government
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Doing Business with the Government
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Transcript of "Doing Business with the Government"

  1. 1. The SBTDC is a business advisory service of The North Carolina University System operated in partnership with the U.S. Small Business Administration. sbtdc.org | info@sbtdc.org
  2. 2. Small Business and Technology Development Center (SBTDC)Procurement Technical Assistance Center (PTAC) Doing Business with the Federal, State & Local Government and Military LaNell Grissom 910-672-1727 lgrissom@sbtdc.org
  3. 3. Agenda Please turn all cell phones to vibrate Please feel free to ask questions• SBTDC and PTAC Services• Federal Government Contracting• State Government Contracting• Teaming on Government Contracts• Final Thoughts
  4. 4. About the Small Business and Technology Development Center (SBTDC)• Established in 1984: – initiated by the US Small Business Act – funding through US Small Business Administration (SBA) and matching funds from the University of North Carolina System• SBTDC Mission: – Support the growth and development of North Carolina’s economy by: • encouraging entrepreneurship • assisting in the creation and expansion of small to medium-sized enterprises • facilitating technology development and commercialization • supporting economic development organizations
  5. 5. SBTDC Services• Confidential one-one-one counseling: – General Business Services – Technology Development and Commercialization – Export Financing Assistance – Boating Industry Services – Market & Research Services – Strategy and Organization Development Services – Government Procurement Assistance • Procurement Technical Assistance Center www.sbtdc.org
  6. 6. About the Procurement Technical Assistance Center (PTAC)• National program established in 1985: – Authorized by Congress – Funded by the Department of Defense and administered through the Defense Logistics Agency (DLA) – Provides matching funds through cooperative agreements with state and local governments and non-profit organizations• PTAC Program: – Provides a wide range of services including classes and seminars, individual counseling, and easy access to information necessary to successfully compete for government contracts
  7. 7. PTAC Services• Assistance selling to federal, state and local government entities – Completing mandatory and beneficial registrations – Identifying preference eligibility and applicable certifications – Researching contract award history – Locating specifications and standards – Identifying contracting opportunities – Understanding solicitations requirements and terminology – Reviewing bids and proposals www.sbtdc.org/ptac
  8. 8. SBTDC and PTAC Statewide OfficesAsheville, Boone, Chapel Hill, Charlotte, Cullowhee, Durham, ElizabethCity, Fayetteville, Greensboro, Greenville, Hickory, Pembroke, Raleigh, Wilmington, and Winston-Salem
  9. 9. Diving In…
  10. 10. Before Selling to the Government• Internet access and computer knowledge• Potential to sell to the government• Determination to sell to the government• Knowledge of competition and how they succeed• Perseverance Contact a PTAC Counselor!
  11. 11. Is the Government Market for You?• What a government contract can do for your business – Diversify your customer base – Cover overhead costs – Even out cash Flow• What a government contract cannot do for your business – Jump-start your business – Save your business – Be the sole customer of your business
  12. 12. Federal Government Contracting Overview
  13. 13. Potential Federal Customers• Military Bases• General Services Administration (GSA)• Department of Veteran’s Affairs (VA)• Defense Logistics Agency (DLA)• Department of Homeland Security (DHS)• United States Department of Agriculture (USDA)
  14. 14. Steps in Federal Contracting• Registration • Small Business Programs • Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  15. 15. Federal Registration Acronyms• NAICS – North American Industry Classification System• FSC – Federal Supply Classification• PSC – Product Service Code• TIN – Tax Identification Number• DUNS – Data Universal Numbering System• CCR – Central Contractor Registration• DSBS – Dynamic Small Business Search• ORCA – Online Representations and Certifications• WAWF – Wide Area Workflow
  16. 16. Federal Registration Preparation• Identify your NAICS codes – http://www.census.gov/eos/www/naics• Identify your FSC and PSC codes – http://www.outreachsystems.com/resources/tables/pscs• Obtain Tax ID Number (TIN) – 1-800-829-1040 or www.irs.gov/businesses – Even if Sole Proprietor• Obtain DUNS Number – 1-866-705-5711 or http://fedgov.dnb.com/webform – Required for Central Contractor Registration (CCR)
  17. 17. Central Contractor Registration• Required to do business with the federal government• Marketing Partner ID Number (MPIN) created during registration• Commercial and Government Entity Code (CAGE code) assigned when registration complete• Includes SBA Firm Profile (Dynamic Small Business Search) www.ccr.gov
  18. 18. CCR Inputs• General Information • Points of Contact – DUNS, TIN, addresses, – CCR, Electronic, and size information Government contacts• Corporate Information • Proceedings – Business type and factors – Series of Yes/No questions• Goods and Services • Compensation – NAICS, PSC, FSC – Series of Yes/No questions• Financial Information • IRS Consent – Account number, financial – Electronic signature using institution contacts MPIN
  19. 19. SBA Firm Profile Dynamic Small Business Search• Access through CCR once registration is complete• DSBS number (SBA customer number) assigned• Includes company information from CCR• Allows firms to include supplemental information – Non-government certifications – Capabilities narrative and keywords – Quality assurance standards – Export profile – Performance history
  20. 20. Online Representations and Certifications Application• Replaces paper Reps and Certs process• Required to bid on most federal contracts• May be completed only after CCR is active• Vendors login using DUNS and MPIN and complete questionnaire based on the FAR required reps and certs• Annual recertification required https://orca.bpn.gov/
  21. 21. Wide Area Workflow• Web-based system for electronic invoicing, receipt, acceptance, and inspection• Required to be paid as a contractor on Department of Defense contracts• Also supports shipment of Government Furnished Property (GFP)• Vendor training available online and in classrooms https://wawf.eb.mil
  22. 22. Steps in Federal Contracting• Registration • Small Business Programs • Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  23. 23. Federal Small Business Size Standards• Based on industry (NAICS code)• Determined by average number of employees or average annual receipts• Examples: – Commercial Construction (236220) – $33.5 million – Warehousing and Storage (493110) – $25.5 million – Engineering Services (541330) – $4.5 million – Office Furniture Manufacturing (337211) – 500 employees – Auto Parts Wholesalers (423120) – 100 employees www.sba.gov/sites/default/files/Size_Standards_Table.pdf
  24. 24. Federal Small Business Programs and Certifications• Small Business Certification• Small Disadvantaged Business Certification• 8(a) Business Development Program• HUBZone Empowerment Contracting Program• Women Owned Small Business Program• Veteran Owned Small Business Program www.sba.gov/contracting
  25. 25. Small Business Certification and Small Disadvantaged Business Certification• Small Business Certification – Firms may Self certify through CCR and ORCA – Must meet small business size standard for NAICS code – May be small in some NAICS codes, and not others• Small Disadvantaged Business Certification – Firms may Self Certify through CCR and ORCA – Must be small in primary industry and be owned and controlled by socially and economically disadvantaged individual(s) – Formal SBA certification program discontinued October 2008
  26. 26. 8(a) Business Development Program• Business assistance program administered by the SBA for small disadvantaged businesses• The applicant firm must: – Be 51% owned and controlled by one or more socially and economically disadvantaged individuals – Be a small business in primary industry – Demonstrate good character and reasonable potential for success – Have been in business at least two years• Nine year program with development and transition stages• Set-aside and sole source opportunities for participants
  27. 27. HUBZone Empowerment Contracting Program• Program administered by the SBA to encourage development in historically underutilized business zones• The applicant firm must – Be 51% owned and controlled by US Citizens – Be a small business in primary industry – Have a principal office located in a HUBZone – Have at least 35% of employees that reside in a HUBZone• HUBZones determined by US Census data• Set-aside and sole-source opportunities• Price evaluation preference in full and open competitions
  28. 28. Women Owned Small Business Program• Program to ensure federal contracting opportunities for women owned small businesses• Eligible firms must: – Be 51% owned and controlled by one or more women – Be a small business in primary industry – Be primarily managed by one or more women• New rule effective February 4, 2011 allows for: – WOSBs to self certify or to be third party certified – The SBA to perform evaluations to confirm WOSB eligibility – Contracting officers to set-aside opportunities within 83 industries where WOSBs are underrepresented
  29. 29. Veteran and Service-Disabled Veteran Owned Small Business Programs• Programs to ensure federal contracting opportunities for veteran and service-disabled veteran owned small businesses• Eligible firms must: – Be 51% owned and controlled by one or more Veterans or SDVs – Be a small business in primary industry – Be primarily managed by one or more or Veterans or SDVs• Firms may self certify or seek verification through the VA• Government wide set-aside opportunities for SDVOSBs• The VA has authority to give preference to and set-aside opportunities for both SDVOSBs and VOSBs
  30. 30. Federal Small Business Contracting Goals• Government wide statutory goals: – 23% of prime contracts to small businesses – 5% of prime and subcontracts to SDBs – 5% of prime and subcontracts to WOSBs – 3% of prime and subcontracts to SDVOSBs – 3% of prime and subcontracts to HUBZone businesses• Agency goals negotiated and monitored by the SBA• Small Business Procurement Scorecards published annually www.sba.gov/content/about-goaling-and-program-information
  31. 31. 2009 Federal Small Business Procurement Scorecards• Agency for International Dev: F • Dept of Transportation: A• Dept of Agriculture: A • Dept of the Treasury: B• Dept of Commerce: C • Dept of Veteran Affairs: A• Dept of Defense: B • Environmental Protection Agency: A• Dept of Education: A • General Services Administration: C• Dept of Energy: A • Nat’l Aeronautics & Space Admin: C• Dept of Health & Human Services: C • Nat’l Science Foundation: F• Dept of Homeland Security: A • Nuclear Regulatory Commission: B• Dept of Housing and Urban Dev.: C • Office of Personnel Mgmt F• Dept of the Interior: A • Small Business Admin: A• Dept of Justice: D • Social Security Admin: B• Dept of Labor: A• Dept of State: B • Government Wide: B
  32. 32. Steps in Federal Contracting• Registration • Small Business Programs • Research and Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  33. 33. Federal Rules and Regulations Research• Federal Acquisition Regulation (FAR) www.acquisition.gov/Far/ – Codification of uniform policies for acquisition of supplies and services by the executive agencies• Code of Federal Regulations (CFR) http://www.gpoaccess.gov/cfr/ – Codification of the general and permanent rules published in the Federal Register by the executive departments and agencies• United States Code (USC) http://www.gpoaccess.gov/uscode/ – Codification by subject matter of the general and permanent laws of the United States
  34. 34. Federal Spending Research• USASpending.gov www.usaspending.gov – Searchable website with basic information on all federal awards• Federal Procurement Data System (FPDS) https://www.fpds.gov/fpdsng_cms/ – Searchable website with detailed information on all federal awards – Users can run simple searches through ezSearch tool or create an account to build custom Adhoc reports• Federal Procurement Forecasts www.acquisition.gov/comp/procurement_forecasts/index.html – Federal Agency “wish lists”
  35. 35. Federal Marketing Strategy• Complete all registrations• Identify and target key agencies – Know the agency’s mission and their needs• Prepare a Capability Statement – One page business resume – Highlight who you are, what you do, and why you are the best – Communicate what value you can bring to the process• Visit target agency points of contact• Remember that small business programs are opportunities; they are not entitlements
  36. 36. Federal Points of Contacts• Small Business Liaison Officer (SBLO) – Prime Contractor Employee (Public Law 95-507) – Monitors prime contractor subcontracting goals• Small and Disadvantaged Business Utilization Specialist (SADBU) and Small Business Specialist (SBS) – Acts as liaison between you and buyers• Procurement Contract Representative (PCR) and Commercial Marketing Representative (CMR) – SBA Resources for small businesses
  37. 37. Federal Points of Contact• Contracting Officer (CO) – Only person that can obligate the government – Enters into, administers, and terminates federal contracts• Contract Administrator – Assistant to contracting officer• Contracting Officers Technical Representative (COTR) – Designated technical expert that monitors contract performance• End User – Person that knows requirement the best
  38. 38. Steps in Federal Contracting• Registration • Small Business Programs • Research and Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  39. 39. Finding Federal Opportunities• Federal Business Opportunities “FedBizOpps” www.fbo.gov – Federal government procurement opportunities over $25,000 – May register as a vendor once CCR is active• FedBid www.fedbid.com – Reverse auction system used by some agencies for informal or simplified acquisitions• PROBID www.sbtdc.org/services/probid.asp – Electronic bid matching system (fees apply)
  40. 40. Types of Federal Opportunities• Presolicitation• Sources Sought• Special Notices• Request for Information• Solicitation – Request for Quote – Request for Proposal• Modifications• Award Notice
  41. 41. Federal Subcontracting Opportunities• SBA Subnet http://web.sba.gov/subnet/• SBA Subcontracting Directory http://www.sba.gov/aboutsba/sbaprograms/gc/contacts/gc_su bcontracts_opportunities.html• DoD Subcontracting Directory http://www.acq.osd.mil/osbp/doing_business/Subcontracting_ Directory_0908.pdf
  42. 42. Steps in Federal Contracting• Registration • Small Business Programs • Research and Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  43. 43. Evaluating Federal Opportunities• Obtain entire solicitation including attachments and amendments• Read solicitation completely and thoroughly• Determine contracting method and contract type• Attend pre-bid conference if applicable• Determine potential to bid• Contact PTAC for assistance!
  44. 44. Federal Contracting Methods• Micro Purchases – FAR Part 13• Simplified Acquisitions – FAR Part 13• Sealed Bidding – FAR Part 14• Negotiated Procurements – FAR Part 15
  45. 45. Micro Purchases• Micro-purchase threshold – Supply purchases less than $3,000 – Services purchases less than $2,500 – Construction purchases less than $2,000• May be credit card transactions or purchase orders – Approximately 700,000 government credit cards issued• Advertisement and competition are not required• Open to large and small business• Account for $18 billion in annual sales• Award is usually based on lowest price
  46. 46. Simplified Acquisitions• Purchases over micro purchase threshold and up to $150,000• Solicitation in form of Request for Quote (RFQ)• Informal advertisement required for purchases over $10,000 and up to $25,000• Formal advertisement in FBO required for purchases over $25,000• Automatically set aside for small business, may be set aside for 8(a), HUBZone, SDVOSB or WOSB* firms• Award is usually based on lowest price
  47. 47. Sealed Bids• One of two methods used for procurements over $150,000• Solicitation in form of Invitation for Bid (IFB)• Formal Advertisement in FBO required• May be set-aside for small business, 8(a), HUBZone, SDVOSB or WOSB* firms• Bids are publically opened and read aloud by an authorized person at the time set for bid opening• Award is made to lowest cost responsive and responsible bidder
  48. 48. Negotiated Procurements• One of two methods used for procurements over $150,000• Formal advertisement in FBO required• Solicitation in form of Request for Proposal (RFP) or• May be set-aside for small business, 8(a), HUBZone, SDVOSB, or WOSB* firms• All proposals are evaluated, and the evaluations committee holds discussions with “Short List” bidders• Award is made to best value responsive and responsible bidder
  49. 49. Federal Contract Types• FFP – Firm Fixed Price – Most commonly used, reduces risk to government• CPFF – Cost Plus Fixed Fee – Used when project uncertainties prevent accurate cost estimation• T&M – Time and Material – Used when the extent of work can’t be accurately estimated• IDIQ – Indefinite Delivery/Indefinite Quantity – Used when the quantity required over time is unknown
  50. 50. Bidding On Federal Contracts• Follow all of the instructions and sequence given in the solicitation• Focus on customer’s mission and goals, being mindful of evaluation factors• Check and recheck all cost and pricing data, provide supporting documentation• Provide all the required information in enough detail to give the customer confidence that you understand thoroughly.• Sign all documents and submit on time in the prescribed manner
  51. 51. Performing on Federal Contracts• Remember the CO is the only one who can obligate government funds• Know your customer and their procedures• Document everything• Alert the customer promptly when a change in cost, time, or method occurs• Resolve anything that is not accordance with the contract and execute modifications• Perform as promised
  52. 52. State of North CarolinaContracting Overview
  53. 53. Potential State Customers• State Agencies• Universities• Community Colleges• Public Schools• Institutions• Local governments
  54. 54. Steps in State Government Contracting• Registration • Small Business Programs • Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  55. 55. Registration• Identify your NIGP/Commodity Codes http://www.doa.state.nc.us/PandC/ispalpha.htm• Review the P&C website http://www.doa.state.nc.us/PandC/• Register in E-Procurement http://eprocurement.nc.gov/• Register in VendorLink www.doa.state.nc.us/PandC/VendorLink-Registration.htm
  56. 56. NC E-Procurement• Internet based purchasing system – Streamlines procedures and reduces overall costs• Statewide vendor registration process – Required for all vendors – 1.75% funding fee (required only if awarded a contract) – Includes eQuote informal buying system – 240 different government entities are using E-Procurement • All state agencies, institutions and hospitals, public schools, community colleges, and some local governments http://eprocurement.nc.gov
  57. 57. NC Vendor Link• Part of the NC Interactive Purchasing System• Allows vendors to enter information about their company• Serves as a vendor directory for state agencies, universities, community colleges, and public schools.• Allows vendors to receive e-mail notification of procurement opportunities• Registration is mandatory for NC HUB registration and certification www.ncpandc.gov/VendorLinkNC.htm
  58. 58. Local Government Registration• Concentrate on immediate area first• Identify city and county websites• Complete individual registrations, usually paper• Register for Minority and Women Business Enterprise (M/WBE) programs Note: Many cities and counties use the state Procurement system http://ncinfo.iog.unc.edu/library/cities.html
  59. 59. Steps in State Government Contracting• Registration • Small Business Programs • Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  60. 60. North Carolina HUB Program• Program for historically underutilized businesses including minority, women, and disabled owned businesses• Statewide Uniform Certification (SWUC)• 10% participation goal• Must be registered in VendorLink• HUB Office Programs – Sponsors seminars and workshops – Maintains database of HUB vendors for use by state purchases, general contractors, and other www.doa.state.nc.us/hub/
  61. 61. NC DOT Small Business Programs• Disadvantaged Business Enterprise (DBE) – Socially and economically disadvantaged businesses• Small Professional Services Firm (SPSF) – Small sub-consulting businesses• Minority/Women Business Enterprise (MBE/WBE) – Minority and/or women owned businesses• Small Business Enterprise (SBE) – Small businesses (under $1.5 million gross annual income) http://www.ncdot.org/business/ocs/
  62. 62. Steps in State Government Contracting• Registration • Small Business Programs • Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  63. 63. State Government Regulation and Spending Research• Regulations – NC Purchase and Contract Administrative Code http://www.doa.state.nc.us/PandC/admcode.htm – NC Agency Purchasing Manual http://www.doa.state.nc.us/PandC/agpurman.htm – State Construction Manual http://nc-sco.com/Manual/manual.htm• Award History – NC Openbook www.ncopenbook.gov
  64. 64. State and Local Government Marketing Strategy• Complete all registrations• Identify and target key agencies, focusing on one or two• Prepare promotional material – Capability statement• Visit agency purchasing representatives• Take advantage of HUB/MBE/WBE status• Become a chamber member
  65. 65. State Government Points of Contact• State Division Employees – Purchasing groups managing statewide contracts• Agency Purchasing Officers – Manage agency contracts• HUB Coordinators – Do not buy anything – Act as an advocate for small HUB businesses• End Users – Person that knows requirements best
  66. 66. Steps in State Government Contracting• Registration • Small Business Programs • Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  67. 67. Finding State Government Opportunities• Interactive Purchasing System (IPS) http://www.ips.state.nc.us/ips/pubmain.asp – Portal for State of North Carolina Opportunities• VendorLink http://doa.state.nc.us/PandC/VendorLinkNC.htm – Allows electronic notification of solicitation notices posted to IPS• eQuote – Register through E-Procurement – Allows vendors to receive and respond to RFQs electronically• PROBID
  68. 68. Steps in State Government Contracting• Registration • Small Business Programs • Marketing Tools and Strategies • Locating Opportunities • Responding to Opportunities
  69. 69. Evaluating State Government Opportunities• Obtain a complete copy of the solicitation and watch for amendments• Read entire synopsis and other documents carefully• Determine purchasing procedure• Attend pre-bid conference or walk-through• Determine bid potential• Contact PTAC for assistance!
  70. 70. State Government Purchasing Procedures• Informal Procedures – Purchase and Contract Administrative Code Subchapter 5B• Formal Procedures – Purchase and Contract Administrative Code Subchapter 5B• Term Contract Procedures – Purchase and Contract Administrative Code Subchapter 5B• Construction Project Procedures – State Construction Office Manual
  71. 71. Bidding with Informal Procedures• Purchases up to $10,000• Advertisement of bid opportunity is not required• May be conducted via eQuote system• Solicitation in form of Request for Quote (RFQ) or Invitation for Bid (IFB)• Written quotes or bids required for contracts over $5,000• Contracts awarded to lowest responsible bidder
  72. 72. Bidding with Formal Procedures• Purchases over $10,000• Advertisement of bid opportunity is required• Posted to NC IPS• Solicitation in form of Request for Proposal (RFP) or Invitation for Bid (IFB)• Sealed competitive bids must be obtained• Contracts awarded to lowest responsible bidder
  73. 73. Bidding on Term Contracts• Commonly purchased commodities, printing, or contractual services• Used by all agencies, convenience contracts for universities and community colleges• Multi-year contracts with minimum and maximum ordering quantities• Also know as Requirements or Indefinite Delivery contracts• May be awarded to multiple vendors
  74. 74. Bidding on Construction Contracts• State Construction Office http://www.nc-sco.com – Informal: $30,000 to $300,000 – Formal: Over $300,000• University Construction Projects http://www.northcarolina.edu/info/vendors/opportunities.htm – University construction solicitations – Additional information about doing business with universities
  75. 75. Bidding On State Government Contracts• Follow all of the instructions and sequence given in the solicitation• Focus on customer’s mission and goals, being mindful of evaluation factors• Check and recheck all cost and pricing data, provide supporting documentation• Provide all the required information in enough detail to give the customer confidence that you understand thoroughly.• Sign all documents and submit on time in the prescribed manner
  76. 76. Performing on State Government Contracts• Know your customer and their procedures• Document everything• Alert the customer promptly when a change in cost, time, or method occurs• Resolve anything that is not accordance with the contract and execute modifications• Perform as promised• Remember government customers tend to be loyal customers
  77. 77. Teaming to Pursue Government Contracts
  78. 78. Teaming Defined• Two or more companies form a partnership or joint venture to act as a potential prime contractor OR• A potential prime contractor agrees with one or more other companies to have them act as its subcontractors under a specified contract
  79. 79. Teaming Arrangements• Advantages of Teaming Arrangements – Maximizes complementary skills, resources, and capabilities to increase competitiveness – Eliminates barriers to market entry and fills past performance gaps – Allows all team members to develop a direct relationship with government agency• Types of Teaming Arrangements – Teaming Agreements – Partnerships – Joint Ventures
  80. 80. Teaming Agreements• A Teaming Agreement is an agreement between the team members to work together to pursue a prime contract with the promise to negotiate subcontracts within the team if it is successful.• A teaming agreement should clearly define the responsibilities of team members during proposal preparation and contract performance• One business acts as the prime contractor, and the other team members act as subcontractors if the team is awarded a contract.
  81. 81. Partnerships• A partnership is a business enterprise consisting of two or more individuals or concerns who come together to co-own a trade or business for profit• A partnership may be one of two types: general partnership or limited liability partnership• A partnership is a distinct legal entity, though partners may be individually responsible for liabilities of the partnership• A partnership acts as a prime contractor to the government
  82. 82. Joint Ventures• A joint venture is an association of two or more individuals or concerns formed to undertake a particular business transaction or project, rather than one intended to continue indefinitely• A joint venture is a distinct legal entity that may be owned by two or more businesses• A joint venture cannot submit more than 3 proposals over a two year period• A joint venture acts as a prime contractor to the government
  83. 83. Bidding on Contracts as a Team• Proposal preparation and contract performance responsibilities should be clearly defined regardless of type of arrangement• Statement of work tasks should be divided in such a way that the team complies with subcontracting restrictions, if applicable• The teaming arrangement documentation should be included in the proposal submitted to the government• All team members must be responsible for their portion of the contract to ensure overall contract performance
  84. 84. Wrapping Up…
  85. 85. Final Thoughts• Do not be late• Keep track of required registrations and passwords• Be proactive and persistent when looking for opportunities• Make sure opportunities are consistent with your business plan• Make connections and manage relationships• Utilize small business resources• Call PTAC with questions
  86. 86. Utilize Small Business Resources!• Work with the SBTDC to develop and maintain a good overall business strategy• Work with PTAC to prepare for and identify government sales opportunities• Contact the SBTDC or PTAC for assistance, we are here to help!
  87. 87. Marketplace 2011 Sheraton Imperial Hotel Research Triangle Park, NC June, 1 2011Marketplace is a biennial reverse trade show that gives business owners the opportunity to directly market their goods and services to large prime contractors and government agencies
  88. 88. North Carolina PTAC Counselors• Clark Fields – Asheville: 828.251.6025 or cfields@sbtdc.org• Wanda Robinson – Hickory: 828.345.1049 or wrobinson@sbtdc.org• George Griffin – Greensboro: 336.779.7339 or ggriffin@sbtdc.org• Rebecca Barbour – Raleigh: 919-715-7373 or rbarbour@sbtdc.org• LaNell Grissom – Fayetteville: 910-672-1727 or lgrissom@sbtdc.org• Cindy Baldwin – Greenville: 252-737-1369 or cbaldwin@sbtdc.org• Mark Mills – Program Director: 828-345-1115 or mmills@sbtdc.org
  89. 89. QUESTIONS?
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