It's no surprise that Washington, D.C. companies count on federal government contracts for a good portion of their annual income. But now that the Obama administration is pushing for increased small business participation-especially among minority and women-owned firms- there's never been a better time for CEOs across the country to consider marketing their products and services to government agencies.
For the past two decades, OmniStudio has enjoyed working with a variety of agencies from the U.S. Department of Education to the Office of Personnel Management and the National Science Foundation. We provide communications strategy, content, design and production services for federal agencies. Establishing strong ties with our government customers over the years has provided an anchor of stability for our business, especially during difficult economic times.
In this periodic column on government contracting, I want to share some basic tips on getting started in the procurement process. Over the next few months, I'll also offer suggestions about marketing, and expanding your reach in the government marketplace.
Currently federal business comprises about 20 percent of our company's annual income. We have always tried to maintain a good government/non-government mix of work, but in this tight economy, we'll be happy if the percentage creeps up a bit, even to as much as 30 percent of our total sales. Why not, when it's certain that you will get paid under a federal contract.
So let's start with first steps. Every business has the opportunity to position itself for government business, but you cannot begin selling to agencies without registering your company in a few crucial places. Sorry, but there's no way to avoid a bit of red tape and those ever pervasive acronyms.
1. Secure a DUNS number: DUNS is short for Data Universal Numbering System, an ID obtained through Dun & Bradstreet, Inc. This nine-digit-number system tracks financial and other information for more than 100 million businesses.
2. Register for the CCR: You'll also need to complete the Online Representations and Certifications Application (ORCA), which ties into the Central Contractor Registry, where information about government contractors is stored to enable payment.
Before you begin marketing to the government or responding to requests for proposals, it's also important to know your business size and profile, which may make you eligible for contracts that are set aside for small businesses, or ones that have been historically underutilized. For example, you may be a small veteran-owned business, or a HUBzone firm, that operates in a geographically disadvantaged area. You can find out more about these designations and how to qualify from the Small Business Administration (SBA).
And finally, it's key to know which products and services you are marketing to the government and how they are classified. Many agencies will ask you for your NAICS codes. The North American Industry Classification System (NAICS) is the standard used by federal statistical agencies in classifying business establishments. The U.S. Census Bureau will help you easily locate your classifications.
Once you have these basic registration items in place you can begin prospecting for government business. In the next column I'll talk about the basics of marketing to the federal government.
If you want to be part of the BIZ discussion about federal contracting and other business topics, please join our networking group. On our group site you can post discussion topics, find a mentor or share your successes.
Eileen Kessler is president of OmniStudio in Washington, D.C.
