How To Build Your Business On Government Contracts Tim Jacquet Apple Capital Group.

How To Build Your Business On Government Contracts

Tim Jacquet Apple Capital Group

Agenda Tonight

I. Meet and Greet with Meal II. Recap of Government Contacting - III. The Power of Certifications (Grant)

a: 8(A) & SDB Certification (SBA) b. Hubzone (SBA) c. Department of Transportation (SBA) d. Women Certification (SBA) e. North Central Texas Regional Certification Agency (State) f. Dallas/Fort Worth Minority Supplier Development Council (National/State) g. HUB Certification Process (State)

h. Find Opportunities IV. Credit Profiling and Financing Options V. Questions and Answers

Federal Contacting Facts

The Government is the largest buyer in the US.

The Government buys over $1 trillion in products and services annually

The Government buys all types of supplies and services, including construction

The Government is reliable, continuous source of business

How To Sell To The Federal Government

Small-business Size Standards

www.census/gov/naics Based on your primary NAICS code Specified by revenue averages or number of

employees Services firm size is based on a three- year

revenue average Product firm size is based on number of

employees

Small-business Size Standards

What is NAICS?

NAICS Stands for North American Industrial Classification Systems

Replaces Standard Industrial Codes (SIC) in 1997 Developed jointly by the United States, Canada, and

Mexico to provide new comparability in statistics.

QUESTIONS?

Why NACIS Is Important

Identifies opportunities suitable for you Establishes if you are a small business Let’s you speak the same language as future “customer” Customers seek sources based on NAICS codes

Reading NAICSex. 561710

First 2 digits indicate industry sector 3rd digit is subsectors 4th digit is industry group 5th digit is NAICS industry 6th digit is nationals

NACIS Example

Industrial Code 56 Waste Management and

Remediation Services Subsector 1 administrative and Support

Services 561110 – Office Administrative Services 561210 – Facility Support Services 561310 – Employment Placement

The Importance of Specificity

www.census/gov/naics NAICS searches can provide many different

and diverse categories A search on “computer” can result in

everything from cabling to furniture Choose your primary code based on your core

competencies

Small-business Classifications

Woman-owned small business Small Disadvantaged Business (SDB) 8(a) small business HUBZone Small Business Veteran-owned small business Service-disabled, veteran-owned small

business

Certifications

Grants from the government

8(a) Small Business

Must meet small business size standard At least 51% owned and controlled by U.S.

citizens who are socially and economically disadvantaged

Must demonstrate potential for success Owner’s personal net worth must be less that

$500,000

Benefits of SDB Certification

Eligible for a price adjustment of up to 10% when bidding on federal contracts

Federal agencies have 6% goal of contract dollars to SDB firms

Large government contractors have 5% goal of subcontract dollars to SDB firms

Benefits 8(a) Small Business

9 year program/non-renewable Eligible for sole source federal contracts up to

$3 million (good and services or %5 million (manufacturing)

Eligible for Small Business Administration (SBA) assistance and training.

Small Disadvantaged Business (SDB)

51% owned and controlled by socially and economically disadvantaged person(s)

All persons must have a net worth of less than $750,000, with some exclusions

Must meet applicable size standard Require formal application

SBA 8(a) and SDB

Website: https://www.sba.gov/category/navigation-structure/8a-business-development-program

To Apply: https://eweb.sba.gov/gls/dsp_sbabanner.cfm?CFID=14486785&CFTOKEN=ed106a30d53fed5b-2AB4BC2E-0C77-C373-C7ABC4CA083DDF2F&jsessionid=9a303bd4d8bca77dfad086343694f7402c54

HubZone

HUBZone Small Business

Must meet small business size standard Principal office must be locate in a HUBzone Owned and controlled by U.S. citizen(s) At least 35% of employee must live in a

HUBzone Requires formal application

Benefits of HUBZone Certification

Eligible for set asides and sole source May receive 10% prices preference on

contracts awarded through Full & Open Competition

Large government contractors have goal of awarding 2% of subcontract dollars.

Hubzone

Hubzone https://www.sba.gov/cate

gory/navigation-structure/contracting/contracting-support-small-businesses/small-business-cert-0

Hubzone Maphttp://map.sba.gov/

hubzone/maps/

Applyhttp://map.sba.gov/

hubzone/maps/

Business Resources For Veterans

Veteran owned Small Business

51% owned by armed services veteran Day-o-day operations managed by veteran Self certification, no paperwork necessary

Services disabled Veteran owned Small Business

51% owned by service disabled veteran Disability certified by Department of Veterans

Affairs Day-to-day operations managed by services

disabled veteran Self certification, no paperwork No expiration or revenue restriction No limit on number of businesses

Services disabled Veteran owned Small Business

51% owned by service disabled veteran Disability certified by Department of Veterans

Affairs Day-to-day operations managed by services

disabled veteran Self certification, no paperwork No expiration or revenue restriction No limit on number of businesses

Resources for Women Entrepreneurs

WOSB Contracting Program

CERTIFICATIONS Self Certification

With documentation SBA developing WOSB Program Repository

3rd Party Certifiers 8A Women Owned Program Participants DOT Women Owned DBE Certification Others entities that SBA approve (future)

WOSB Contracting Program

Set-Asides WOSB

In Underrepresented NAICS Codes

EDWOSB In Substantially Underrepresented NAICS Codes However, Final Rule—SBA Administrator Waived

EDWOSB Set-Asides (SBA will keep track of EDWOSBs for future assessment of NAICS

codes) All 83 NAICS codes available for Set-Asides

WOSB Contracting Program

Contracting Officer’s Responsibilities

Reasonable Expectation of 2 or More Offers by WOSBs

Anticipated Award Price must not exceed: $5M – Manufacturing $3M – All other (May be increased for inflation)

WOSB Contracting Program

Final Rule WOSB

Woman/Women Directly Own, Control & Manage Daily Operations

Woman/Women must be U.S. Citizens

Economically Disadvantaged WOSB Plus

Net Worth $750,000 Income not exceeding $350,000 Assets not exceeding $6m

WOSB Contracting Program

Final Rule

Establishes 83 Industries 4-digit NAICS Codes

(373 6-Digit NAICS Codes)

216 Underrepresented

157 Substantially Underrepresented

373 6 digit NAICS codes

List at www.sba.gov/wosb

Women Owned Small Business (WOSB) Contracting

Program Final Rule Published October 7, 2010 (75 FR 62258) Implements PL 85-536 as amended Helps ensure a level playing field so WOSBs can compete for

Contracting Opportunities Sets forth Contract Requirements

Applies to Prime Contract, not Subcontract

Allows Eligibility Exams Explains Protest Procedures

WOSB Contracting Program

Final Rule

Effective Date: February 4, 2011

FAR Implementation

IAE Changes

WOSB Contracting Program

Contracting Officer’s Responsibility

Must check that WOSBs must have proper certification in ORCA

Must Certify he/she checked the WOSB repository that all required documents are in the system (including certifications by 3rd Party certifiers) WOSBs will give Contracting Officers 30 days

authorization to review repository documents

WOSB Contracting Program

www.sba.gov/wosb The Final Rule & History FAQs Fact Sheet NAICS codes for the program Compliance Guide for Small Entities Contact Information

1-800-U-ASK-SBA (1-800-827-5722)

WOSB Contracting Program

More to Come at www.sba.gov/wosb

Link to the Repository

Listing of Required Documents

Instructions for accessing the Repository

Women-owned Small Business

51% women Owned Day-today operations managed by a woman

or women. Self certification, no paperwork necessary

WOSB

Apply: http://map.sba.gov/hubzone/maps/

http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfmDynamic Small Business Search

State Certifications

North Central Texas Regional Certification Agency

Purpose to get your certificated and maximum practical opportunities to participate in contracting and purchasing activities. DBE – Disadvantage Business Enterprise MBE – Minority Business Enterprise WBE – Woman-owned Business Enterprises Free application

Website: http://www.nctrca.org/

North Central Texas Regional Certification Agency

Purpose to get your certificated and

maximum practical opportunities to participate in contracting and purchasing activities. DBE – Disadvantage Business Enterprise MBE – Minority Business Enterprise WBE – Woman-owned Business Enterprises Website: http://www.nctrca.org/

North Central Texas Regional Certification Agency

Purpose to get your certificated and

maximum practical opportunities to participate in contracting and purchasing activities. DBE – Disadvantage Business Enterprise MBE – Minority Business Enterprise WBE – Woman-owned Business Enterprises

Webiste: http://www.nctrca.org/

North Central Texas Regional Certification Agency

Requirements MBE/WOBE – Minority Business Enterprise and

Women-owned Business Enterprise Firm must be at least 51% owned and controlled by a minority or

women individual (s) The minority or women owner(s) must be a United State or

lawfully permanent resident of the United States Firm must be organized as a for-profit business.

All ethnic female owned firms are classified as MBEs. Only firms owned by Caucasian females are classified as WBEs.

NCTRCA

NCTRCA624 Six Flags Drive, #100Arlington, TX 76011(817) 640-0606 (Office), (817) 640-6315

(Fax)Email: [email protected]

North Central Texas Regional Certification Agency

Requirements DBE – Disadvantaged Business Enterprise and

Airport Concessionaire Disadvantaged Business Enterprises

Firm must be at least 51% owned and controlled by a socially and economically disadvantaged individual(s)

The disadvantaged owners must be an United States Citizen or lawfully admitted permanent resident of the United States

Firm must be a small business that meets the Small Business Administration’s size standard and does not exceed $22.51 million in gross receipts for DBEs and $56.42 million in gross received for ACDBEs

Personal Net Worth for all owners claiming disadvantaged status for the DBE and/or ACDBE program must not exceed $1.32 million.

Firm must be organized as a for-profit business

Texas Department of Transportation

Texas Unified Certification Program The Texas Unified Certification

Program is a certification process for the Federal Disadvantaged Business Enterprise (DBE) Programs in Texas. A business' DBE certification is valid at any Texas entity that receives U.S. Department of Transportation (DOT) funds and has a DBE Program. (See TUCP Participating Entities below.)

NCTCA included Small businesses desiring DBE

certification must submit an application and personal net worth statement to one of six certifying agencies within the state. The business' location determines which agency to contact.

Firms certified by each of the six agencies are included in one consolidated and centralized DBE Directory. The TUCP is required by the U.S. Department of Transportation

Dallas- Fort Worth Minority Supplier Development Council, Inc.

The Dallas/Fort Worth Minority Supplier Development Council

(D/FW MSDC) is a 501 (C) (3) privately funded, nonprofit, business organization, formed in 1973 by major corporations committed to fostering a business environment which promotes access and opportunity for minority-owned businesses.

D/FW MSDC is one of 24 regional affiliates of the National Minority Supplier Development Council (NMSDC), the certification body of choice by corporate America and the recognized business link for over 3,500 buying organizations

and 14,000 certified minority-owned businesses nationally. Application $250 

Website: http://www.dfwmsdc.com/

Dallas- Fort Worth Minority Supplier Development Council, Inc.

The Dallas/Fort Worth Minority Supplier Development Council (D/FW

MSDC) is a 501 (C) (3) privately funded, nonprofit, business organization, formed in 1973 by major corporations committed to fostering a business environment which promotes access and opportunity for minority-owned businesses.

D/FW MSDC is one of 24 regional affiliates of the National Minority Supplier Development Council (NMSDC), the certification body of choice by corporate America and the recognized business link for over 3,500 buying organizations and 14,000 certified minority-owned

businesses nationally.  D/FW MSDC buying entity partners report over $5.20 billion dollars in spending

annually with minority-owned businesses.  D/FW MSDC certified suppliers report over $23 million annually in spending with minority-owned businesses (MBE-to-MBE transactions

Website: http://www.dfwmsdc.com/

Finding Opportunities

HTTPS://MYCPA.CPA.STATE.TX.US/TPASSCMBLSEARCH/INDEX.JSP

FedBizOpps Advanced Functions (cont.)

5757

Add firm to Add firm to Interested Interested

Vendors ListVendors List

Add Add Opportunity to Opportunity to

WatchlistWatchlist

FedBizOpps Advanced Functions

Search Agents. Save and schedule Search Agents (daily, weekly, etc.). Filter by NAICS Code, area , agency, etc.

Interested Vendors List. Let primes, subs, suppliers know that you are interested in a project.

Watch lists. Enables you to receive updates when an announcement or solicitation is amended.

Things to Do

Explore Subcontracting Opportunities as a first choice pursuit vs. "a settling for" strategy.

Learn to Use FedBizOpps as a Management and Decision-making Tool.

Visit DoD and ARMY Small Business Websites. Info on Small Business Programs, Resources, Events.

Know the rules. Federal Acquisition Regulation (FAR). For USACE, additional supplements also apply

(DFARS, AFARS, EFARS).

Useful Links

SAM – System For Award Management https://www.sam.gov/portal/SAM/#1

DUNS – Data Universal Numbering System http://fedgov.dnb.com/webform

Fedbizopps – Federal Business Opportunities https://www.fbo.gov/

NAICS Search - North American Industry Classification System http://www.census.gov/eos/www/naics/

Find RFP – Find RFP, Bids and Contracts https://findrfp.com Fedbid: http://www.fedbid.com/

Small Business Size Standard http://www.sba.gov/contractingopportunities/officials/size/index.html

Commercial Software (Paid)

www.EZGovOpps.com -$79 and up

www.FIND RFP.com - $39 Flat

www.bidspeed.com -$195.00

www.Smartprocure.uswww.governmentbids.com

$97 and up ESBC http://esbd.cpa.state.tx.us/

Free Search

www.fedbidopps.gov www.fedbid.com (auction site) DOD

Army https://contracting.tacom.army.mil/cfdata/sol/sol01.cfm Coast Guard: http://www.seaport.navy.mil/default.aspx Navy: http://www.secnav.navy.mil/smallbusiness/pages/doing-

business.aspx

Contacts: Oscbu office: http://www.osdbu.gov/ Agency websites