Becoming a Government Contractor
Do you fancy providing your services to the government? Then maybe being a Government Contractor is right for you. With this article, we will show you the basics in becoming a successful Government Contractor.
When the economy goes in a recession, the prospect of becoming a Government Contractor becomes even more promising. After all, unlike private companies, the government will not go bankrupt and pull the rug out from under you.
However, if you are just a beginner in this trade, figuring out how things work overall would seem difficult and even intimidating. But what most entrepreneurs do not know is that even the insiders, who already have experience working under contracts, feel the same way too.
Another stumbling block that most entrepreneurs think they face as a government contractor is the numerous rules and regulations that they have to follow. True enough, there are a lot more stringent rules working for the government than under a private company. In fact, these rules can be found in a document called the Federal Aguisition Regulation, which is over a thousand pages long and divided into 53 parts. However, most of these rules would probably not apply to a standard government contractor and, depending on the type of business you are in, may only involve one or two rules which you must follow.
Another seemingly difficult part about being a contractor is that you will have to do your accounting differently. Government Contractors follow a special accounting system, one which provides pricing in government-sanctioned formats and with enough justification for government contracts. In addition, the government also has to comply with an assortment of laws and regulations. These laws are meant to combat any possible form of scandal corruption, but it also means that processing necessary documents and payments is a bit longer than you would expect from a private institution. However, this does not mean that you will not get your hard-earned compensation as a government contractor; you will just have to be patient.
Despite these complexities, doing a contract for the government can be quite simple. First, you will have to get a contract from the government. For purchases above 25,000, the government shows to the public, usually in the form of print, what they want to purchase with the money. Almost anybody can bid on the purchase, but the reality is that quite often the bid boils down to specific requirements based on the needs of the government and the purchase itself.
But before you can bid, you have to register your business for government contracting. Luckily, the registration is centralized and can be processed through www.ccr.gov. You will also need a DUNS number, which you can get at www.dnb.com.
Once you have registered, you are basically given a king’s ransom of contracting opportunities. In fact, you will be open to many opportunities that will be hard to find the contract right for you. And when you do find the right opportunity, you may not be able to respond on time, it may be hard at first, but you have to start somewhere. If you persevere and finish the contract adequately, it may be followed by another contract. Tenacity and quality is the key to success, and if done right may provide you with a lucrative and rewarding source of income.