The New 80/20 of Government Contracting ...

...And How To Beat It

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.

Want to know more? See:

• GSA Schedules: Seven Things You Must Know (a Summit Insight exclusive guide)
• What Winning Takes (Report from VIP/OPEN)
• Four Easy Lessons in Free Market Research (Instant webinar)

FARS Part 1...Just What You Need To Know!

Rules of the Road

In writing my book, "Seven Steps to Success in Government Contracting," I knew I had to cover acquisition regulations. How could I make it something you'd want to read?

Today I planned to launch my "FAR - a - Week" blog series -- working through the Federal Acquisition Regulations.  Life got in the way...but brought the perfect lesson to start me off!


I was delayed by what I thought would be a routine annual vehicle inspection. An hour later, I found out that it's gonna cost me $2600 in mandatory repairs -- including replacing the pump that feeds the power steering -- just to keep my beloved six-year-old Mini Cooper on the road.

What's this got to to with the FARS? 

Easy: If I want to drive, my vehicle's gotta meet the rules of the road. When you get on the acquisition superhighway of selling to the federal government, you agree to comply with those rules.

Even if it costs us. So, let's know before we go.

Federal Acquisition Regulations Part 1: The  Opening Act
Explains the purpose of the federal procurement rules, how they are managed and by whom, and who has authority to bind the government to a contract. (You really care about that last part, because you need to know whether or not the person you're talking to has the authority to buy from you.)

Highlights:

• 1.102: The acquisition regulations are intended to achieve: 
• on-time delivery 
• of products or services that give best value to the government customer 
• while maintaining the public’s trust 
• and fulfilling public policy objectives

• 1.601 Agency heads delegate contracting authority to Contracting Officers.

• 1.602-1: Contracting officers have authority to enter into, administer, or terminate contracts and make related determinations and findings, including ensuring that all 2requirements of law, executive orders, regulations, procedures, clearances and approvals have been met.