Working with the government as an individual contractor is always beneficial, and one might often think about how he can get the contract with the government. Working with the government is highly desirable as the federal government is the largest contractor in the world. Government sets millions of dollars aside for small businesses, minorities, and women-owned businesses, etc. Most of the independent workers desire to work with the government on different contracts to expand their business.
Four Steps to Get Government Contracts
If you want to know about government contracts, you can read the following four steps to enlighten yourself about the process, requirements, and resources.
- Get the D-U-N-S Contact Number
If you want to be eligible to win or get a government contract, you must have a D-U-N-S number. A D-U-N-S Number is a unique number with 9-digits for the physical location of your business. You can apply for the D-U-N-S number and get it from Dun and Bradstreet (D&b) within one or two business days at no cost.
- Verify the NAICS Code
NAICS stands for North American Industry Classification System, which classifies the businesses. This classification is to collect data from various companies that contribute to the economic growth of the country.
You must get a NAICS code to register your business and apply for specific federal government contracts. If you do not have much idea about NAICS code, you can search it online. Moreover, people who want to take government contracts learn online government contracting courses to apply.
- Get Registered for Award Management
The next step you need is registering your business in the system to get the award of contracts. The award management system is an official website that collects the data of companies interested in government contracts; you will have to make an account and complete your portfolio so that the people can search for you.
- Look for the Opportunities Available
After following all the procedures mentioned above, you can explore the active contact opportunities available. You can search for the options by following the steps below.
- You can register yourself with FedBizOpps (Federal Business Opportunities) so that you can search and bid on the opportunities available.
- It would help if you searched for a GSA (Government Service Administration) program. These programs are scheduled and spend approximately $50 billion per year in federal purchasing.
- You can check out SUBNet, which provides opportunities for subcontracting.
Keep in mind that government contracting is challenging to handle and a tricky area to navigate alone. The contracting criteria can be challenging to take as you might not even hold your security clearances.
Requirements of Government Contracts
Following are the requirements that you must fulfill to get the contacts by the government.
- Resources and Time
As an independent contractor, you might not know the number of hours and resources you must spend to manage the government contracts. For Example, while applying for federal contracts, the individual contractor must have a complete representation and certification.
Moreover, some obligations ask you to represent and certify various statements that range from environmental rules to individual measures. The representations and certifications ensure that you agree with the laws and regulations and know all about the detailed process.
After completion of paperwork, there are some legal requirements as well that you need to fulfill. Moreover, It is advisable to take a legal review if you are going through the process for the first time.
- Insurance of the Liability
There can be some additional requirements other than time, resources, and credentials to obtain government contracts. Government contracts that are like large commercial contracts might require additional liability insurance.
- Invoicing and Terms of Payment
The terms of payment and invoice might be different from standard business contracts. The government contacts usually are net-60, which means that the individual contractor may not receive the price for the first 90 days. Moreover, it is essential to note that any mistake can lead you to a delay of several months of payment.
Moreover, special invoicing can also be necessary for government contracts. Similarly, the government asks you to keep track of your funding and notify them when you reach 75% of it. If you fail to inform the government at the right time in the financing, you might carry a penalty. Therefore, it is essential to make sure that you have read the contract carefully and understand your responsibilities as a contractor.
- Government Contracting Courses Certification
The individual contractor must get a certificate of related contract course to be eligible for government contracts. You can search for different types of online government contracting courses to become eligible. These certifications can be beneficial for you in getting government contracts quickly.
The last thing that you might need is the relationships that can help you stand out among many vendors. It would help if you continued to make new relations and expand your business to get more opportunities for your business.