U.S. Small Business U.S. Small Business AdministrationAdministration

Government Contracting Government Contracting AssistanceAssistance

WWW.SBA.GOV/GCWWW.SBA.GOV/GC

Doing Business with the GovernmentDoing Business with the Government

The U.S. Federal Government is the largest buyer of The U.S. Federal Government is the largest buyer of products and services in the world. The Federal products and services in the world. The Federal Government:Government: Makes more than 20 million sales transactions annually. Makes more than 20 million sales transactions annually. Spends more than $200 billion each year on goods and Spends more than $200 billion each year on goods and

services. services. The Federal Government has special goals to The Federal Government has special goals to

purchase goods and services from small businesses. purchase goods and services from small businesses. These goals flow down to large prime contractors These goals flow down to large prime contractors providing subcontracting opportunities for small providing subcontracting opportunities for small business contractorsbusiness contractors. .

SBA’s Goal is to:SBA’s Goal is to:

Increase small business Increase small business

participationparticipation

Level the playing fieldLevel the playing field

What is a small business?What is a small business? Organized for profit, with a place of business in the United States, and which Organized for profit, with a place of business in the United States, and which

operates primarily within the United States or makes a significant contribution operates primarily within the United States or makes a significant contribution to the U.S. economy through payment of taxes or use of American products, to the U.S. economy through payment of taxes or use of American products, materials or labor.  Further, the concern cannot be dominant in its field, on a materials or labor.  Further, the concern cannot be dominant in its field, on a national basis.  Finally, the concern must meet the numerical small business national basis.  Finally, the concern must meet the numerical small business size standard for its industry.  SBA has established a size standard for most size standard for its industry.  SBA has established a size standard for most industries in the U.S. economy.  The most common size standards are as follow: industries in the U.S. economy.  The most common size standards are as follow:

500 employees for most manufacturing and mining industries 500 employees for most manufacturing and mining industries 100 employees for all wholesale trade industries 100 employees for all wholesale trade industries $6 million for most retail and service industries $6 million for most retail and service industries $28.5 million for most general & heavy construction industries $28.5 million for most general & heavy construction industries $12 million for all special trade contractors $12 million for all special trade contractors $0.75 million for most agricultural industries $0.75 million for most agricultural industries

Visit Visit www.sba.gov/size/indextableofsize.html www.sba.gov/size/indextableofsize.html to research your business size to research your business size standardstandard

Preparing to Enter Government ContractingPreparing to Enter Government Contracting Know your customerKnow your customer – Research and market federal – Research and market federal

agencies and prime contractors and demonstrate how agencies and prime contractors and demonstrate how your product or service can help THEM be successfulyour product or service can help THEM be successful

Know your competition Know your competition – Research the strengths and – Research the strengths and weaknesses of your competitors and how your company weaknesses of your competitors and how your company compares.compares.

Be patientBe patient – Building relationships takes time. Be – Building relationships takes time. Be prepared for a lot of work with little results in the first prepared for a lot of work with little results in the first few years. Also, the federal procurement process takes few years. Also, the federal procurement process takes time and it will take some time before you hear the time and it will take some time before you hear the results of an award. Be careful to plan accordingly results of an award. Be careful to plan accordingly when expending resources to respond to solicitations.when expending resources to respond to solicitations.

Preparing to Enter Government Contracting Preparing to Enter Government Contracting

(continued)(continued) Educate yourselfEducate yourself – Learn the rules and regulations – Learn the rules and regulations

of federal contracting ahead of time and know what of federal contracting ahead of time and know what is expected of you if you are the successful bidder is expected of you if you are the successful bidder

Get your business readyGet your business ready Have an established commercial customer baseHave an established commercial customer base Be adequately capitalizedBe adequately capitalized Have established quality control measuresHave established quality control measures Demonstrate through past experiences that your company Demonstrate through past experiences that your company

can deliver a quality product/service on time and at a fair can deliver a quality product/service on time and at a fair price price

Internet access and capability is a MUSTInternet access and capability is a MUST

Prime Contract ProgramPrime Contract Program SBA procurement center representatives (PCRs)SBA procurement center representatives (PCRs)

Review contracting actions for possible set-asidesReview contracting actions for possible set-asides

Review subcontracting plans Review subcontracting plans

Recommend small business contractorsRecommend small business contractors

Counsel small businessesCounsel small businesses

For a list of PCRs nationwide visit:For a list of PCRs nationwide visit:

www.Sba.Gov/gc/pcr.Htmlwww.Sba.Gov/gc/pcr.Html

Subcontracting Assistance ProgramSubcontracting Assistance Program

SBA commercial market representatives (CMRs)SBA commercial market representatives (CMRs)

Identify opportunities for small businessIdentify opportunities for small business

Conduct program reviews Conduct program reviews

Counsel small businessesCounsel small businesses

For a list of CMRs nationwide visit: For a list of CMRs nationwide visit:

www.Sba.Gov/gc/indexcontacts-cmrs.Htmlwww.Sba.Gov/gc/indexcontacts-cmrs.Html

Certificate of Competency (COC) ProgramCertificate of Competency (COC) Program

Appeal process for small business on a specific contractAppeal process for small business on a specific contract

SBA conducts independent review (technical and SBA conducts independent review (technical and

financial) financial)

Contracting Officer must accept decisionContracting Officer must accept decision

Contact: Janette Fasano, Area Director Contact: Janette Fasano, Area Director

Phone: (617) 565-5662Phone: (617) 565-5662

Email: janette.fasano@sba.govEmail: janette.fasano@sba.gov

Size Determination ProgramSize Determination Program

Set-asides and programs rely on honor systemSet-asides and programs rely on honor system

Program provides a check & balance systemProgram provides a check & balance system

SBA conducts independent review when questioned:SBA conducts independent review when questioned:

Protest must be timely Protest must be timely

SBA Decision is FinalSBA Decision is Final

Contact: Janette Fasano, Area Director Contact: Janette Fasano, Area Director

Phone: (617) 565-5662Phone: (617) 565-5662

Email: janette.fasano@sba.govEmail: janette.fasano@sba.gov

HUBZone Empowerment HUBZone Empowerment

Contracting ProgramContracting Program

A community-based economic A community-based economic development program to stimulate: development program to stimulate: Job creationJob creationCapital InvestmentCapital Investment

-- in -- in distresseddistressed localities localities

Purpose of the HUBZone ProgramPurpose of the HUBZone Program Provide Federal contracting assistance to qualified small Provide Federal contracting assistance to qualified small

business concerns located in distressed areas or HUBZones to:business concerns located in distressed areas or HUBZones to:

•Increase employment opportunitiesIncrease employment opportunities

•Stimulate capital investment in those areasStimulate capital investment in those areas

•Empower communities through economic Empower communities through economic leveraging and the “multiplier effect.”leveraging and the “multiplier effect.”

Qualified AreasQualified Areas

Three categories -- Urban, Rural, Native AmericanThree categories -- Urban, Rural, Native American Urban = Metropolitan Area Census Tracts (HUD) - Urban = Metropolitan Area Census Tracts (HUD) -

7,0007,000 Rural = Non-metropolitan Counties - 900Rural = Non-metropolitan Counties - 900

Median household income is less than 80% of the Median household income is less than 80% of the non-metropolitan state level (Census) non-metropolitan state level (Census)

Unemployment rate that is greater than 140% of Unemployment rate that is greater than 140% of the state-wide average (BLS) the state-wide average (BLS)

Native American = All federally recognized Indian Native American = All federally recognized Indian reservations as defined by external boundaryreservations as defined by external boundary

How do you qualify?How do you qualify?

Meet these four requirements:Meet these four requirements: Must be a small business Must be a small business Primary business location must be located in an Primary business location must be located in an

identified census tract or countyidentified census tract or county 35% of employees must reside in an identified 35% of employees must reside in an identified

HUBZone areaHUBZone area Business must be owned at least 51% by US Business must be owned at least 51% by US

Citizens, Community Development Corp., or Citizens, Community Development Corp., or Indian TribeIndian Tribe

The Certification ProcessThe Certification Process Visit www.sba.gov/hubzone to apply for a Userid and Visit www.sba.gov/hubzone to apply for a Userid and

Password for SBA’s General Login System (GLS)Password for SBA’s General Login System (GLS) You must have:You must have:

• An active up-to-date Dun and Bradstreet profile and DUNS numberAn active up-to-date Dun and Bradstreet profile and DUNS number

• An active CCR profile that establishes a primary NAICS CodeAn active CCR profile that establishes a primary NAICS Code

Logon to HUBZone online application with GLS Logon to HUBZone online application with GLS userid and passworduserid and password

Processing time - 30 days maximumProcessing time - 30 days maximum

Types of Contract Assistance for Types of Contract Assistance for HUBZone FirmsHUBZone Firms

Set-aside awards Set-aside awards

Sole source awardsSole source awards

Awards through full and open competition after Awards through full and open competition after

application of a price preference in favor of the application of a price preference in favor of the

HUBZone SBCHUBZone SBC

Subcontracting OpportunitiesSubcontracting Opportunities

HUBZone Set-Aside ProceduresHUBZone Set-Aside Procedures

HUBZone set-asides to be considered before HUBZone set-asides to be considered before HUBZone sole-source awards or small HUBZone sole-source awards or small business set-asides business set-asides

Contract officer may set-aside acquisitions Contract officer may set-aside acquisitions exceeding the Micro Purchase and below the exceeding the Micro Purchase and below the Simplified Acquisition ThresholdSimplified Acquisition Threshold

If contract officer declines set aside for If contract officer declines set aside for HUBZone above $100K, then SBA HUBZone above $100K, then SBA procurement staff can launch appeal process procurement staff can launch appeal process

HUBZone Sole SourceHUBZone Sole SourceContract AwardsContract Awards

Anticipated award price, including options Anticipated award price, including options will not exceed:will not exceed: $5 million - manufacturing $5 million - manufacturing $3 million - all other NAICS Codes$3 million - all other NAICS Codes

Two or more qualified HUBZone firms are Two or more qualified HUBZone firms are not likely to submit offersnot likely to submit offers

A HUBZone firm is a responsible contractor A HUBZone firm is a responsible contractor to perform the proposed contractto perform the proposed contract

Full and Open Competition Full and Open Competition Price Evaluation PreferencePrice Evaluation Preference

A HUBZone firm can displace the apparent A HUBZone firm can displace the apparent low offeror (other than another small low offeror (other than another small buisness) if its price is not more than 10% buisness) if its price is not more than 10% higher than the otherwise lowest, responsive higher than the otherwise lowest, responsive and responsible offerorand responsible offeror

SubcontractingSubcontractingRequirementsRequirements

There is no specified HUBZone goal for There is no specified HUBZone goal for subcontracting, however...subcontracting, however...

For most large contracts (over $500,000 or $1 For most large contracts (over $500,000 or $1 million construction), large business million construction), large business contractors contractors mustmust create a subcontracting create a subcontracting plan reflecting HUBZone firm participationplan reflecting HUBZone firm participation

Factors into the firm’s ‘Past Performance’ Factors into the firm’s ‘Past Performance’ analysis on future contracting actionsanalysis on future contracting actions

Other SBA CertificationsOther SBA Certifications

8(a) Program8(a) Program SBA Certification program for small businesses SBA Certification program for small businesses

owned by “socially and economically owned by “socially and economically disadvantaged” business ownersdisadvantaged” business owners

Contract benefits: Set-Aside or Sole Source Contract benefits: Set-Aside or Sole Source ContractingContracting

For more information, visit www.sba.gov/8abdFor more information, visit www.sba.gov/8abd For access to the on-line application and guide, For access to the on-line application and guide,

visit visit https://sba8a.symplicity.com/applicants/guidehttps://sba8a.symplicity.com/applicants/guide

What are the 8(a) Participant What are the 8(a) Participant Requirements?Requirements?

Must be a small business concern that demonstrated potential for success Must be a small business concern that demonstrated potential for success (minimum of 2 years of operation)(minimum of 2 years of operation)

Must be 51% unconditionally owned and controlled by one or more Must be 51% unconditionally owned and controlled by one or more socially and economically disadvantaged individuals who are of good socially and economically disadvantaged individuals who are of good character and citizens of the U.S.character and citizens of the U.S.

Social disadv.- refers to individuals who (beyond their control) have been Social disadv.- refers to individuals who (beyond their control) have been subjected to racial or ethnic prejudice or cultural bias because of their group subjected to racial or ethnic prejudice or cultural bias because of their group membership identitymembership identity

Economically disadv. – refers to socially disadvantaged individuals with an Economically disadv. – refers to socially disadvantaged individuals with an impaired ability to compete in the free enterprise system because of impaired ability to compete in the free enterprise system because of diminished capital and credit opportunities. Personal net worth must be less diminished capital and credit opportunities. Personal net worth must be less than $250,000 excluding equity in personal residence and businessthan $250,000 excluding equity in personal residence and business

Firms that have not been in business for 2 years do not meet potential for Firms that have not been in business for 2 years do not meet potential for success, but may seek a waiver of the requirement by meeting certain success, but may seek a waiver of the requirement by meeting certain conditions.conditions.

Term of 8(a) ParticipationTerm of 8(a) Participation

Companies can participate in the program for a maximum of Companies can participate in the program for a maximum of 9 years, in two stages:9 years, in two stages:

DEVELOPMENTAL STAGEDEVELOPMENTAL STAGE-the first 4 years-the first 4 years

-assist 8(a) certified firms overcome their economic disadvantage by -assist 8(a) certified firms overcome their economic disadvantage by providing business providing business development assistance; development assistance;

TRANSITIONAL STAGETRANSITIONAL STAGE-the next 5 years-the next 5 years-designed to prepare participant firms for the -designed to prepare participant firms for the competitive competitive marketplace.marketplace.

Why the 8(a) Program?Why the 8(a) Program?

Support for Government Support for Government ContractorsContractors

Access to capitalAccess to capital Management and technical Management and technical

assistanceassistance Access to Surplus PropertyAccess to Surplus Property One-on-one counseling One-on-one counseling

assistanceassistance

Marketing and Outreach Marketing and Outreach assistanceassistance

Procurement assistanceProcurement assistance Participation in the Participation in the

Mentor/Protégé ProgramMentor/Protégé Program

Benefits of 8(a) Program Participation

ResourcesResources CCR “Dynamic Small Business Search”CCR “Dynamic Small Business Search”

Internet-based vendor database with over 200,000 companiesInternet-based vendor database with over 200,000 companies Integrated with SBA’s Pro-Net SystemIntegrated with SBA’s Pro-Net System Registration is required if you want to do business w/govtRegistration is required if you want to do business w/govt Contains company profile (goods, services provided and contact Contains company profile (goods, services provided and contact

info), EFT information, and past performance. info), EFT information, and past performance. Marketing tool for small businessMarketing tool for small business Resource for contracting officersResource for contracting officers To register your business on CCR visit: www.ccr.govTo register your business on CCR visit: www.ccr.gov

SUB-NetSUB-Net Listing of subcontracting opportunitiesListing of subcontracting opportunities Identifies concrete opportunities for small businesses to pursueIdentifies concrete opportunities for small businesses to pursue To view the current list visit: http://web.sba.gov/subnet/To view the current list visit: http://web.sba.gov/subnet/

SBA PartnerSBA Partner NH-Procurement Technical Assistance Program (NH-PTAP)NH-Procurement Technical Assistance Program (NH-PTAP)

Partnership between State of NH and Dept of DefensePartnership between State of NH and Dept of Defense

Training & Counseling Training & Counseling

Bid MatchingBid Matching

http://www.nheconomy.com/nheconomy/ptachttp://www.nheconomy.com/nheconomy/ptac

Contact:Contact:

• Chris Way, Program Manager cway@dred.state.nh.us Chris Way, Program Manager cway@dred.state.nh.us

• Martha Keene – Business Counselor Mkeene@dred.state.nh.us Martha Keene – Business Counselor Mkeene@dred.state.nh.us

• Holly Wheatley – Training Coordinator Hwheatley@dred.state.nh.usHolly Wheatley – Training Coordinator Hwheatley@dred.state.nh.us

• (603) 271-7581(603) 271-7581

Questions?Questions?

Rachael Roderick, SBA NH District OfficeRachael Roderick, SBA NH District Office (603) 225-1603(603) 225-1603

Rachael.Roderick@SBA.govRachael.Roderick@SBA.gov