How to Submit a Government Bid
The United States government is the largest purchaser of goods and services in the world. Uncle Sam creates millions of contracts and makes millions of purchases, spending more than $400 billion a year on supplies and services. The government does business with some of the nation's largest corporations, but also sets aside a large portion of its contract and procurement dollars for small businesses.
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Instructions
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Determine your NAICS code. Each company doing business with the government needs to know its North American Industry Classification System code. NAICS is a numerical system that describes the nature of your business. A chemical manufacturer has a different NAICS classification than an office supply shop. Diverse businesses generally have more than one NAICS code, so be sure to identify all codes relevant to your business. Use the link to the Census Bureau in the References section of this article to find the NAICS code for your business.
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Know your size. The government goes out of its way to solicit bids from small businesses, but the actual definition of what is or isn't a small business is different in different NAICS codes. Find out where you stand by consulting the Table of Small Business Size Standards from the Small Business Administration.
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Look for opportunities. Head to the official website for Federal Business Opportunities listed in the Reference section of this article. Use the keyword search to look for the types of goods and services that your business is able to provide. The listings here are constantly updated, so it pays to check back frequently.
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Map out the process. At this point, things get a bit more complex. The government has various vehicles for making purchases and different processes for, say, buying pens and printer ink than they do for contracting for software development services. As a potential business partner with the government, you'll have to identify the processes that are most suited to the goods and services you have to offer. The listings on the Federal Business Opportunities website will help identify which process is best suited to your business and will walk you through the appropriate registration and bidding process.
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Take it a step at a time. It's easy to feel overwhelmed by the unfamiliar lingo and complex requirements for government bidding and contracting. For instance, you might find that you'll need unexpected items, such as a Dun & Bradstreet number, or registration at the CCR (Central Contractor Registration), or certification as a specialized business entity, such as a business owned by a disabled veteran.
Don't let the complexities throw you. All the registration processes are manageable, there are no costs (other than your time) for participating in the process and the steps involved become easier and more familiar with time.
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Get help. Best of all, there are two excellent sources of free help. The regional offices of the Small Business Administration (SBA), known as Small Business Development Centers, will walk you through the process every step of the way. They also have excellent tools for generally planning your business administration, growth, financing and all other areas of managing a small business.
SCORE is a free business-mentoring program where (mostly retired) executives from other businesses in the same line of work as your own will offer their experience in a one-and-one fashion to help you submit bids and secure government contracts. Links to SBA assistance and SCORE are provided in the References section of this article.
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Submit your bid. Now that you're properly registered, have identified the right bidding process to participate in and (hopefully) have some expert help from SBA and SCORE, it's time to submit your bid.
Follow procedures very meticulously. There's never a guarantee that your bid will be accepted and you'll be awarded a contract with the government. But it would be a shame to lose a bidding opportunity because of a paperwork mistake or a missed deadline. As they say in the government, be sure to dot all your i's and cross all your t's.
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Tips & Warnings
There are some terrific and free online courses that teach the bidding process as well. Take a look at the Resources section of this article for the links to get started.
References
Resources
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