Mastermind Monday: Why are you scared to be in the arena?

Don’t be afraid to build a relationship and bid on government contracts!

BE THE MAN IN THE ARENA

Do you know what ITA stands for? Well, this stands for In the Arena based off of Theodore Roosevelt’s quote which is called The Man in the Arena:

“It is not the critic who counts; not the man who points out how the strong man stumbles, or where the doer of deeds could have done them better. The credit belongs to the man who is actually in the arena, whose face is marred by dust and sweat and blood; who strives valiantly; who errs, who comes short again and again, because there is no effort without error and shortcoming; but who does actually strive to do the deeds; who knows great enthusiasms, the great devotions; who spends himself in a worthy cause; who at the best knows in the end the triumph of high achievement, and who at the worst, if he fails, at least fails while daring greatly, so that his place shall never be with those cold and timid souls who neither know victory nor defeat.”

The reason why we highlighted this quote is because we want to encourage all of you to get in the arena. Talk to people in your space. Talk to our podcast guests and if you’re similar to them, build a relationship with them.

However, the problem is people are trying to do everything alone. They’re an island by themselves.

They are sitting at home on their computer trying to price jobs, but have no one to overlook their mistakes and do things that are a must for bidding and overall govcon activities. 

Just take our very own Maria Martinez for example. She is a kindergarten teacher who has no govcon background, but when she dive into the arena and started building relationships with others, she succeeded and won multiple contracts. 

“She did not let people say, the cynics, tell her that she couldn’t do it. She tried. What happened when she tried? She succeeded… So again, in the arena. The credit belongs to the man who is in the arena.”

So, what are you going to do now? Well, you need to do the activities. And with this, we have some advice below. 

ADVICE FOR SMALL BUSINESSES

1. Learn from people. 

When you jump into the marketplace without learning the basics, it is very easy to get in trouble. 

However, you can avoid this if you are studying from people who are living and breathing all of this stuff every day. 

We actually did have a student that won a contract but his price is 20,000 lower than the production cost. This is a huge problem. Good thing he was able to talk to the manufacturer about this, but what if he wasn’t?

“Learn from people. Listen, learn, learn, learn, first.”

2. Do your market research. 

The government buys everything. The thing is they don’t always buy it the same way that you’re thinking. 

For instance, if you have a specific niche service and you looked it up on FBO but nothing comes up, that service might have been bundled with other services. 

The key is to know where to do your market research and not just rely on things posted on beta.sam.

So, what you’ll do is look based on your NAICS or PSC code and go to USASpending, FPDS, or to similar platforms that showcase past procurement data.

3. Just do the activities.

You need to start doing your govcon activities. This means not just bidding but doing your business development. 

As said above, Maria Martinez didn’t just get lucky, she does the activities. So, what you need to do is to start reaching out to people and building relationships with them. 

4. Be a subcontractor.

In this marketplace, we always do this all the time that if we cannot win a contract as a prime, we’re contacting the prime to be their subcontractor.

The way we do this is we just call them up and tell them that we looked at the project that they won and that we’re all aware of the scope of work that it entails, and with that, we can execute a piece of that work.

8. Stick with the experts.

Stick with the people in your industry that are doing this every day. You can learn from them through our podcasts, but we highly recommend that you build a relationship with them as it is much better. 

RESOURCES

If you want to learn more about how to build a relationship and bid on government contracts, then check our full video below. 

You can also visit the GovCon Giant website or the new GovCon Edu where you learn everything about government contracting!

Why are you scared when bidding government contracts?

https://www.youtube.com/watch?v=MDrHSxbIPdU

 

Mastermind Monday: What is a Micro-Purchase and How to Use These?

Here’s what you need to know about micro-purchase and how to use these to let a federal buyer purchase up to $10,000 from you!

MICRO PURCHASE

A warranted federal contracting officer or someone with buying authority may purchase goods or services through a credit card worth up to the value of $10,000.

These things are called micro-purchases. It can be anything— from cutting grasses to a lunch and learn session.

This even happens with virtually no competition, no small business set aside, and the Buy American Act does not apply.

“The people want to make it easy— to give you a little bit of a try to do a project that they don’t have to run a big fancy competition for.”

So, why is this relevant? 

Well, as a small business or a business that is just new in the federal marketplace, the chance is so low for you to win a huge contract because you have no past performance yet. 

The good thing with these micro-purchases is these are the ones that most big contractors don’t look at.

Apart from that, the federal buyer is also encouraged to award these contracts to local suppliers.

Let’s say you provide interior painting services. If you’re close to a federal installation or an agency that buys your specific service, then you can talk to this federal buyer and be directly given the job. 

Most importantly, consider that business begets more business. A specific buyer won’t give you large contracts, if they don’t know that you can execute it well. 

So, what should you do? Take advantage of the micro-purchases and show the end user that there’s a low to no risk working with you. 

NUMBER ONE SECRET TO WIN MICRO PURCHASES

The number one thing you need to win a micro purchase is your phone.

Here’s what you need to do… leave a voicemail. 

It doesn’t have to be a two-minute voicemail. It can be a 30 second, with a maximum of one minute. 

With that in mind, make sure that you treat your voicemails like gold. Remember, you have 30 seconds of someone’s undivided attention. 

Most importantly, give it with the amount of loving care. Here’s an example voicemail for you:

“I’m so glad that we’re connected. So sorry I missed you. Here’s what it is that I’m calling about. It’s Colin calling with assessment services that you can use and the best value anywhere. Check your email, I’ve got details. Missed you today. I’m going to call you back Thursday at two. Talk to you soon.”

Then, once you make that voicemail, you make a note on your calendar and call them back. Pay attention to what time zone they’re in and call them when you say you will. 

Consider that you might have to reach them through voicemail many times before they answer your call, but just be patient and persistent. 

“You’re going to think about three or four different things that represent the best value that your company provides, what sets you apart, why are you memorable, why do they really want to talk to you.” 

THINGS TO CONSIDER IN TERMS OF MICRO PURCHASES

1. These are not posted.

Micro-purchases are not posted online or in any database; these only happen through conversations with the federal buyer. 

So, if you’re looking to do business at the micro-purchase level, you need to form a personal relationship with the players and layers of a specific agency. 

In most cases, you can first build a relationship with the small business specialist.

This person might not be able to lead you to the person with the micro-purchase power, but they can advocate and help fine tune your navigation in building relationships with the end user. 

2. These are location-specific.

Micro-purchases are location specific because you’re delivering a product or a service to a specific location.

3. These don’t need fancy agreements. 

Micro-purchases don’t need a contract agreement because the exchange about a specific purchase mostly happens through email or by conversation. 

Still, if you want to use an agreement for some purposes, you can download an agreement for micro-purchases online. 

ADVICE FOR SMALL BUSINESSES

1. Find someone with a specific need.

Behind every contract agreement is a real federal human who has everything on the line when they choose you. 

So, if you want to sell a specific service, start close to home and find someone with a specific need. 

Consider that if you have never sold to anyone in the federal government before, they’re going to want to see that you’ve sold the product or the service to another organization or customer that has a size and scale of requirement really similar to theirs.

2. Take time to know your federal buyer.

2.1 million federal employees are already on LinkedIn, so why not start with that to learn more about them and build relationships with them? 

Consider that this is a great time to do this because once the fourth quarter of the fiscal year starts, your federal buyer may already be looking for companies to do some micro-purchase with. 

Also, a lot of information about federal contracts and your players and layers are publicly open, so take advantage of those.

3. You have to do the work. 

It’s critical that you invest your time and effort in learning government contracts and building relationships.

It’s not enough that you watch a 10-minute video and say you figured everything out because you still need to do the work. You have to watch the content and you have to apply it. 

“You can’t do half of the activity and expect to get the whole result.”

RESOURCES

If you want to learn more about what micro-purchase is and how to use this to your advantage, then check our full Mastermind Monday video with Judy Bradt. 

You can also visit the GovCon Giant website or the new GovCon Edu where you learn everything about government contracting!

What is a micro purchase and how to use them?

https://www.youtube.com/watch?v=lhvAU8HfgRw

Top 10 PSC codes in 2020

If you’re a small business owner and have been trying to get into the federal arena, you are probably familiar with the North American Industry Classification (NAICS) code. It is very important in terms of gaining visibility to the government but did you know that the Product Service Codes are just as important?

One of the reasons why business owners get lost in government contracting is because of the overwhelming variety of products and services needed by the agencies. 

PSCs can help a business easily describe what they can offer to the government buyers, as they are straightforward and also narrower compared to NAICS codes. 

Most business owners think their companies stand out from their competition, but only a few have actually attempted to validate that. 

Find your competitive advantage by getting to know the marketplace. This could expand potential opportunities for you and your company. With that in mind, here’s a list of the top 10 PSC codes that have dominated 2020 and what they offer to the market.

1. 1510 

Aircraft, Fixed Wing

This code pertains only to complete aircraft which means end items, assemblies, parts, attachments, or accessories for use in or on fixed-wing aircraft are classified in classes other than this class.

2. R425

Professional: Engineering/Technical

This is designated for engineering and technical services. Under this category are services that offer systems engineering, technical assistance, and other services used to support the program office during the acquisition cycle. This excludes language translation and sign language interpretation.

3. 1905 

Combat Ships and Landing Vessels

This code includes aircraft carriers; battleships; cruisers; destroyers; submarines; frigates and corvettes; gunboats; motor torpedo boats; sub chasers; landing barges; minelaying and mine sweeping craft. 

4. R499

Support- Professional: Other

Services in this category offer advisory management. Businesses that fall under this are wide-ranging. One of the few possible NAICS codes for this is engineering services, environmental consulting services, and other computer-related services.

5. 1410

Guided Missiles

This class includes only complete guided missiles, with or without warheads and explosive components, whether in assembled or unassembled form. Complete drones, initially designed as missiles, but converted to drone use, are also part of this code. 

End items, assemblies, parts, attachments, or accessories for use in or on guided missiles are classified in classes other than this class.

6. 6505 

Drugs and Biologicals 

This code refers to establishments that provide all drugs, medicinal grade chemicals, and biologicals subject to the Federal Food, Drug and Cosmetic Act, listed in the Monograph section of the U.S. Pharmacopeia or the National Formulary or covered by the United States Adopted Names (USAN). The items in this category, however, must be formulated for human use only.

Medicated cosmetics and toiletries classifiable in FSC 6508 and in vitro diagnostic substances and reagents classifiable in FSC 6550, and Veterinary Drugs and Biologicals classifiable in FSC 6509 are excluded from this class.

7. D399 

IT and Telecom- Other IT and Telecommunications

This refers to establishments that offer IT and telecommunication services, as the name states. This category comprises services that offer any form of electronic information use and transmission.

8. Q201 

Medical- General Health Care

This code is also self-explanatory, as it pertains to general health care services. Possible NAICS codes under this category are general medical and surgical hospitals, temporary help services, and home health care services.

9. M1JZ

Operation of Miscellaneous Buildings

Codes under M1 are designated for companies that operate on government-owned buildings. Most of the industry titles under the M1 classification are specified. This code, on the other hand, refers to the construction of buildings that may not particularly fall into other categories, hence the term miscellaneous.

10. 6515

Medical and Surgical Instruments, Equipment, and Supplies

The items offered in this class include anesthesia apparatus, blood transfusion apparatus, oxygen therapy apparatus, respirators, orthopedic supplies, arch supports, clinical thermometers, sutures, hearing aids, veterinary equipment, endoscopes, fiber optic. The ophthalmic instruments and non-medical endoscopes, however, are not included.

RESOURCES

The ranking from this article was taken from usaspending.gov. Federal awards in 2020 were categorized by their PSC codes and were then listed from highest to lowest, according to their respective cumulative amount obligated by the federal government.

To learn more about PSC codes and how to use them, check this video entitled, What is a PSC (product service code) and how to use it? to know your way around the industry and find your competitive edge.

The information found in this article is taken from the Products and Service Codes Manual, wherein the products, services, and research and development (R&D) purchased by the federal government were described according to its specified code.

Helleni Moon: Breaking the Federal Arena through Agile and Streamlined Data Management Support Services

Learn how Helleni Moon transitioned from an employee to building her own data management support services company!

BACKGROUND

Helleni Moon has over 15 years of hands-on experience in software and database management, business intelligence, and technical production support through her earlier affiliation with General Dynamics IT and Lockheed Martin, among others.  

Currently, she is the CEO of EIDOS Technologies, a company that she founded to provide information technology services such as data management and custom application design and integration.

Although EIDOS was just built in 2015, the company is already gaining recognition. In fact, it was nominated for the 2021 Prince William Chamber Business Award. 

BUILDING EIDOS TECHNOLOGIES

Moon had always desired to build a company of her own and after working for others, she built EIDOS Technologies in 2015. 

One thing that helped her in building EIDOS and getting her first two contracts is her previous relationships. She already has a network, and her colleagues were also very supportive of her. 

Even with that, she was continuously going to numerous outreach and agency events in order to show that she’s persistent.

“Luckily, you know, one of the contracting officers, eventually, they started knowing who I was and they said, ‘Oh, you know, I may have this opportunity, but that may be a really good fit.’ So, it’s being out there because you want to make sure, they want to make sure that you’re not just there for, you know, that you’re there for a long term.”

However, building her own company is not always easy. In fact, she wished that she would have done a lot of things differently. 

One of these is not waiting to be part of the 8(a) program because although she understood the proposal and the execution part, she still didn’t understand the marketing aspect of it. This then led to them losing six months without a contract.

“You need to be able to not only understand where your financials are and what your cash flow is like, but how are you going to get your next contract and how many things you have in the pipeline that will occur and you can get that you can close by the time the contracts end.”

ADVICE FOR SMALL BUSINESSES

1. Be patient.

Everything will take some time. So, be patient and don’t get disheartened if something is not happening yet. 

While waiting, why not do your research and build your network first? This way, you are not just waiting, but you are using your free time on matters that could be important in your business in the future. 

2. Spend your time efficiently. 

Consider what opportunities you should go after. Don’t just take every opportunity that you want because not all opportunities offer you the best returns. 

“All of these things are really critical because one of the things that I learned is when you first start off, you feel like you want to go after everything, but then you take a step back and then you say, you know, am I really spending my time in the most efficient way and am I getting the best return, you know, in doing this?”

3. Self-education is key. 

Regardless if you have the necessary educational background for what industry you want to go after, you should continuously educate yourself. 

Consider that there are more things that you don’t know about. So, instead of wasting your time, focus on educating yourself. 

“You have to do your research, and really understand what you’re getting yourself into, and what you’re going to need.”

RESOURCES

If you want to learn more on how Helleni Moon transitioned from being an employee to building her own data management support services company, then be sure to click the resources below.

You can also visit the GovCon Giant website or the new GovCon Edu where you learn everything about government contracting!

86: Data Management Support Services – Helleni Moon

https://www.youtube.com/watch?v=Yj_T1AcRsv8

Judy Bradt: Fierce and Determined Best Selling Author of “Government Contracts Made Easier”

Learn from the fierce and determined best-selling author of Government Contracts Made Easier Judy Bradt!

BACKGROUND

Judy Bradt is an expert speaker and author of the Amazon #1 Bestseller “Government Contracts Made Easier.”

She has over 32 years of experience in federal business development and strategy through her past affiliation to the Canadian Embassy as a Trade Commissioner and helping thousands of small and established businesses succeed. 

She also continues to provide the above said services through her company Summit Insights, wherein they provide consulting services for established companies to win government contracts. 

“The biggest lessons I’ve learned over the last 10 years are understanding not just the mechanics, but what happens on the journey to building relationships between humans in the federal arena. And that’s become the core of my practice. That’s what sets what I do apart from everyone else that you’ll talk to.”

3 THINGS YOU CAN DO RIGHT NOW

1. Celebrate what you earned and what you learned. 

Whatever it is that you went through or you are going through, celebrate it by yourself or with your family.

Take a moment to check what you have experienced this past month or year. Whether it is an accomplishment or failure, reflect on it and celebrate it. 

“One thing I want you to do, is you’re launching your federal 2021, is stand up and celebrate. That’s the first thing.”

2. Do your hotwash.

If you continue spending thousands of dollars over the course of months without even analyzing where that money goes, then it’s most likely that you will be left empty handed the next time you check your pocket.

So, the second thing that you should do is clean up and do your hotwash. Analyze your contracting activities. If you failed to achieve your goal, what made you reach that point? 

“You hit, fall, you clean up the fields. You make things tidy and make things ready for what’s ahead as the fields go quiet. If you’re a gardener, you’re planting bulbs, you’re throwing in pepper over top of the bulbs so the squirrels don’t get them. You’re readying things for the year ahead. And that’s what October, November, December is all about in the natural world, in the natural flow of federal contracting. So, hot wash, then cleaning things up. It’s your after action review.”

3. Give thanks. 

It’s pretty sure that a lot of people have helped you towards where you are right now; so, why not give thanks to their little ways?

Write a thank you note to your employees, to that contracting specialist who helped you with your papers, to the contracting officer who approved your contract, and many others.

Be  natural. Just give thanks. Make it clear what difference they made to you and also to the way you were able to serve their agency. That’s not hard. 

“Remember we talked about their personnel files? Those letters from industry set your people apart from the ones that they’re competing against for promotions. That thank you letter that you write is life-changing. It is career altering in a good way.”

FOCUS, CONNECT, AND WIN!

1. Focus.

The first bucket that you should fill is to focus on what agency you want to serve. This also means that you should understand what they do and what they are looking for. 

2. Connect.

Be in front of the right person with the right message and information at the right time.

“Buck up, be brave, make the call.”

3. Win.

The third bucket is to understand that your first win is not the million dollar or the micro-purchase win, your first win is the fact that they return your phone call or they open your email. 

“Your next win is the conversation where you feel that connection, where you’ve made a difference for them because you’ve talked to that individual, federal human, about a thing that you know matters to them, because you did your research in the focus stage.”

RESOURCES

If you want to learn more from Judy Bradt, the fierce and determined best-selling author of Government Contracts Made Easier, then be sure to click the resources below. You can also visit the GovCon Giant website or the new GovCon Edu where you learn everything about government contracting!

079: Judy Bradt – Fierce, Determined and Best Selling Author of Government Contracts Made EasiER

https://govcongiants1.wpengine.com/podcast/079/

079: Fierce, Determined and Best Selling Author of Government Contracts Made Easier!!

https://www.youtube.com/watch?v=I7cGPtfDks4

Linda Rawson: Country Girl turned CEO

Known as the Country Girl turned CEO, Linda Rawson shares her story on how she navigates the federal arena as a small business while also experiencing various roadblocks along the way. 

BACKGROUND

Linda Rawson had been in the industry for over 35 year and started as a software engineer and computer program analyst to various companies.

Currently, Rawson is a  successful inventor, technology entrepreneur, and C-level executive of her own company, DynaGrace Enterprises, Inc., providing intelligent automation through AI Solutions.

She is also operating 2Bizchicks, together with her daughter Jennifer Remund, wherein they provide branding insights and responsive website hosting.

Rawson is also an author of the book entitled, “The Minority and Women-Owned Small Business Guide to Government Contracts,” as well as other books on topics about Blockchain, weather science, and grief. She has also been a contributing author of the book, “Game Changers for Government Contractors.”

EXPERIENCE IN THE FEDERAL MARKETPLACE

Rawson started in the federal marketplace without having enough resources to fund her business but she found a way to sustain for almost 15 years. 

“I didn’t have cash. So, these people that tell me they need all this money to start a business, in my mind, it’s just an excuse.”

Although she knew that normally banks usually deny loan applications from new small businesses, she believed that there are tons of methods to search for funds as well as there are a ton of programs that are meant for small businesses.  

The first method that helped Rawson in getting more contracts is being part of the 8a program. It helped her focus on government customers that needed their niche and was able to get to know them.

Apart from that, she was also called by a larger company that she had worked with in the past and asked if she would be interested to join into the mentor-protege program. 

Although, there is a commotion wherein some contractors felt like they were just being forgotten by the mentor, Rawson believed that it is best to get a mentor but first make sure that you are a good fit. 

“I lucked out. I had a mentor that showed me how to write a proposal, how to set up my accounting system. Introduced me to their customers. We did work for many many many years together.”

Most importantly, in doing business with the government, she learned that the competition in this marketplace is really fierce and she needs to stand out. 

“So I came back to what am I really passionate about doing? And that’s where I’m taking my company. I’m passionate about air quality, I’m passionate about making sure people can breathe clean air. And so I have been pivoting since January 1. And it has been joyful, it has been challenging, I have yet to really get that first sell. But I’m working on it. And so I think you have to really like what you do.”

ADVICE FOR SMALL BUSINESSES

Rawson believed that managing people might be the hardest part of your job as a small business owner but you need to build a relationship with these people. 

This goes the same way with other small businesses. If you’re part of the 8a program, you need to build relationships with the other members and use the program as much as its worth. 

“You need to be friendly and nice and show and also follow up. So, if they give you their information… make sure you have them on some kind of drip, you know, where you talk to them 30 days, 60 days, 90 days. Because if you’re an 8a, they may all of a sudden have money and they remember you and they’re gonna direct an award.”

Apart from that, you also need to be pretty strong in making sure that everything that you want will happen. 

“You can’t say, I want to start a business and then never do it or you’re gonna really beat yourself up for that decision. So, if you say, you’re going to start a business, you figure out how to  do it, you figure out you know when to do it, if it’s at nights and weekends, for the first little while but somehow you make your dream come true.”

Remember, it’s normal to experience fear and anxiety but believe that you can get past through it. 

RESOURCES

If you want to watch the full video of the interview with Linda Rawson as she shares her story on how she navigates the federal arena as a small business, then be sure to click the link down below.

003: Linda Rawson – Country Girl turned CEO Technology Entrepreneur

https://govcongiants1.wpengine.com/podcast/linda-rawson-country-girl-turned-ceo-technology-entrepreneur/

https://www.youtube.com/watch?v=GROMoF95HeQ&t=6s

What are the advantages of 8a for a new business? – Eric Coffie

https://www.youtube.com/watch?v=xBcermCZjVU

8a Facts and Fiction, Q&A with Eric Coffie and Linda Rawson

https://www.youtube.com/watch?v=Fi1djvFUwXM&t=1942s