Experience, Knowledge & Relationships Are Key.
Robert Brodsky's August 3th GovExec article is yet another complaint about how little stimulus money is going to small business. Kent Hoover pointed out back in June in WBJ, following Senate Small Business hearings, that small business had received only 10.3% of stimulus contracts.
Because, look: the stimulus is not intended to shower money on small business, so can we all stop whining about that? The stimulus is not a make-work program designed to administer lots of small contracts to little businesses so everybody gets some trickle down. There simply aren't enough contracting officers to handle that, for starters. And the cost of administering lots of small contracts whittles away the amount of money that drives the engine of the economy.
1. Incumbents have an advantage over newcomers, by pure dint of knowledge and experience in how to find, develop and win opportunities -- to say nothing of past performance.
2. Existing contract vehicles are the fastest way to pump money into the economy and get people working and supplying the products and services needed.
3. Big companies subcontract, and where's all the reporting on that? Well, how much time do you want to spend bean-counting, and how much doing the work?
4. The stimulus accounts for maybe a 15% bump of the total federal contract spending. There are plenty of ongoing opportunities -- at federal, state AND local -- that serious companies can focus on.
What there isn't is a handout. There's nothing but hard work on that road -- even to compete and win, and THEN to perform.
There are plenty of places that small businesses can get help to build the contacts, expertise, and relationships it takes to win business. But it doesn't fall out of the sky, folks.