Upcoming Election Stalls Prospective Construction Project

As I stated in a previous blog, our looming presidential election is negatively impacting business processes and we have now seen this firsthand here at Frontline. We bid on a project at Fort Hood back in August, and although Fort Hood is a few hours away from San Antonio, this is definitely still inside our area of operation. This particular project was set aside for service disabled vets and we were collaborating with some of the large sub-contractors who can work with me, one of which included my mentor company. Because I was unable to bond the project myself, I needed to team with several other companies to establish bonding capacity. [Read more...]

Obtaining Federal Contractor Certification

Obtaining certification for veteran or service disabled veterans who are in business is a process that needs to have careful attention to detail and instructions.  The V.A. has streamlined the process considerably by developing an on line certification process; however, it can still be somewhat tedious and frustrating for applicants. [Read more...]

Targeting Your-End Fallout Funds, Part V

Becoming Established as a Federal Contracting Firm

If you are a newly established business or someone seeking to start a contracting business, and your target market is Federal contracts, then you definitely need to take advantage of the time period I have been discussing in the last four blogs, that being year-end Federal fallout funds. However, winning a contract is only the first step. Secondly, but equally as important, you need to execute that contract. The contract you are awarded is key to establishing past performance. Prompt, reasonable execution of that contract is critical in creating a lasting relationship with the contracting officer. As mentioned in the previous blog, a new business should not avoid smaller jobs and in fact, I recommend that all jobs be considered, no matter how small they might be. When I worked for my father’s company, we picked up a project to trim palm trees. I believe it was a $16,000 or $17,000 job. It was not a demanding project and there wasn’t a lot of profit in it, but because we were “Johnny on the Spot,” when there was a need, it allowed me to create some past performance history. [Read more...]

Targeting Year-End Fallout Funds, Part III

We previously covered why it is important to pay close attention to the third quarter of the Federal fiscal year-end and I want to discuss some ideas on tactical approaches in pursuing contracts with these government agencies. Positioning is definitely a key element in opening doors to these types of opportunities, and if you’re a Federal contractor, you should be pro-active in your approach. [Read more...]

Targeting Year-End Fallout Funds – Part II

Small businesses should never sit still and marketing should be part of your daily focus if you are a business owner. Here at Frontline, I’m always on the lookout for opportunities to perfect my marketing skills. As I mentioned before, one of the best opportunities for a Federal contractor occurs during the third quarter of each year when government agencies are actively seeking avenues to disperse their remaining year-end funds.

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Targeting Year-End Fallout Funds

September 30th is an important date for those of us in the construction industry and, in fact, the last quarter of the Federal fiscal year is when I really begin targeting opportunities. This is when contracting officers and Federal agencies begin seriously considering how money will be spent that is still left in the budget. In my experience, no one ever wants to lose allocated money and it is imperative that they use that money in various projects within a particular agency’s mission. It can become a bit of a feeding frenzy during the final quarter, but it is an opportune time for a small business or a new business to pick up some good contracts.

High Pressure Negotiations Result in Firm Commitments

Our present economy dictates much of how these funds are spent, especially when our elected officials have not passed a comprehensive budget in quite some time now. These same officials continue to push our economy forward as well as the Federal budget. What this means is if a particular agency is allocated a certain amount of funds, they need to be spent this year because next year is such an uncertainty. Important decisions on the allocation of these funds must be made by September 30th, which can mean some very pressured negotiating in the final days before the deadline. I’ve been in situations where contract negotiations continued until 10:30 or 11:00 at night on the 30th. It becomes a case of virtual horse trading in these last minute situations, being willing to give this in exchange for that, or perhaps increasing a service in trade for a drop in price. The bottom line is that although these officials definitely want and need to use these left over funds, they still need to get the best value for those funds.

Sometimes these contracts might be something pre-existing, but in most cases, they are new contracts. Obviously, this is not work that will be completed before the September deadline, but both parties are seeking an obligation. Once the obligation is in place, the actual work can begin at a later date.

This subject is something that can be gone into in much greater detail and in future podcasts we will discuss this further. In the meantime, if you want to discuss this with me feel free to contact me and I will get back to quickly.

 

Podcast: Know Your Elected Officials

Following my last podcast concerning becoming involved in your Chamber of Commerce, I want to address the vital necessity of becoming acquainted with your local chain of command in government. Even though some of these elected officials may have little to no direct influence on your particular industry, there’s a very good chance that somewhere down the line you will need the assistance of one of those officials. For instance, you could run into a snag with a local zoning law or perhaps a problem with a local utility company that is operated by the municipality. Say there’s a problem with garbage pick-up and it’s not being picked up for some reason. You’ve made calls to the garbage company and tried to rectify the situation yourself, but haven’t been able to affect any change. Now it’s time to reach out to the proper elected official who can get the wheels turning for you. If you are acquainted with the officials who are connected with these entities, then you know who to contact when problems occur.

I am a big advocate of voting and as such, I feel that every business man or woman who is a U.S. citizen should take advantage of the right to vote. More importantly, know who you are voting for and be acquainted with the governmental structure in your community and how it operates. If you are unsure as to where to start with this educational process, I highly suggest Google.com. No matter what city or town you are in, it is likely that they will have a website outlining who the local officials are, their interests and their background. Even if there isn’t a website, there should still be some information on line regarding who they are, starting with alderman to city councilmen and administrators. Both city and county information should be available to you through Google. Knowing who these people are is a good start at becoming acquainted with them and there’s always the possibility that some of these people might go on to become state officials as well, so if you’re already acquainted with them, you are a step ahead.

Many times, people who hold office start off in the capacity of something such as a local school board member. They find that they like the atmosphere and the responsibility, so they work their way up into other aspects of government. Most of these people are honest, well intentioned and good people, but of course, as we all know, that doesn’t hold true for every single one of them. Identifying who you can depend on and wish to support early in their careers will not only help you in your business, but can pay off down the road when they begin moving upwards in their political careers.

I can say that I know all of my Federal delegation here, both on the House of Representatives and the Senate, but that’s because I have made the effort to become acquainted with them. Because my business here at Frontline is federally based, I take great interest in knowing which ones can be counted on when problems arise. It makes no difference what party they’re with or whether I like them or not; they are the ones holding the positions and they make the decisions on certain matters. In the past, I’ve needed to reach out to some of them due to various reasons such as a problem with the Small Business Administration, or I needed to ask about a specific law. Sometimes it involved current or proposed legislation and I just wanted to voice my opinion or give them my position to hopefully sway their voting decisions. The bottom line is, legislation can affect certain aspects of your life or your business and it can be anything from taxes to healthcare, so knowing who to contact to voice your concerns can save time and frustration. Choosing not to do anything and hoping things go for the best is definitely not a good mindset. No matter if you are on the winning side or not, you need to make the effort to try and affect change. It is you whom elected officials really want to hear from, but interestingly, the vast majority of local constituents don’t reach out to their congressional district. Instead, it’s the people outside a district who try to have the most influence. Don’t let that happen in your area; remind your officials of where the votes come from. They will have a much stronger interest in hearing from you.

The long and short of this is that as an entrepreneur, you cannot afford to remain in the dark in this area. When you’re looking at how you choose to invest your retained earnings or making strategic decisions, knowledge of legislation and what is to come in the next year or two will greatly affect and influence your ability to plan for the present and the future. The negative consequences that can result from not having this knowledge are simply not worth the risk.

I invite conversation on this subject and can be reached through my contact information, of course, you can reach me through the “comments” link at the end of each blog post.