You know the regular 80/20 rule. Well, thanks to a new report from Victory in Procurement, an initiative of OPEN by American Express, we now have a new 80/20 rule for government contracts. Actually, it's the 86/20 rule:
First-time federal contractors invest an average of $86,124 and 20 months on the road to success.
They also offer these tips to make your road shorter than theirs:
- Start small.
- Pursue subcontracting -- 76 of winners do, and 54% of them succeed.
- Ensure that government business development is part of your core growth strategy.
- Target government buyers with clear needs that you can meet.
- Develop relationships through calls on agencies, outreach sessions, matchmaking events, and associations.
- DO look into GSA Schedules...but don't assume they're right for you. Less than 50% of first time contractors do business through a GSA Schedule. First, find out how your target buyers purchase, and how your competitors sell.