Tag: NAICS Code

Top 10 Industry NAICS Codes for Contracts in 2020

Posted on by Eric Coffie

The government spends millions, every year, on products and services, from office supplies and airplanes to machinery and even fitness equipment. 

Each business opportunity is assigned to at least one North American Industry Classification System (NAICS) code which allows these contracts to be tracked for research and reportable data in the future.

Being well versed with the NAICS Codes for Contracts in    2021 can help you in building a good working relationship with the government as it gives your business more visibility. Would you want to be seen? 

It’s always good to know how you measure against your competitors. Given the numerous industries, you can narrow down the list by knowing which industries have been prospering in the federal marketplace.  

With this in mind, here’s the top 10 industries that have won contracts in 2020.

1. 336411 

Number one on our list is the aircraft manufacturing industry. They are responsible for manufacturing, modification and restoration of engines of different aircraft, space vehicles, guided missiles, and propulsion units. 

Although the manufacturers of this industry depend heavily on the international market for their sales, they have a combined annual revenue of about $68 billion in 2020 for federal contracts. 

2. 541330

Establishments that offer engineering services, design, develop and utilize machines and systems through applying physical laws and principles of engineering. 

The U.S. engineering services industry includes about 65,000 establishments. They had a combined annual revenue of $39 billion from contract awards with the federal government alone.

3. 336611 

The ship building and repairing establishments are engaged in operating a shipyard. They construct, repair, convert and alter, and produce prefabricated ship and barge sections. The cumulative amount obligated by the U.S. government in this industry is about $31 billion.

4. 561210 

Facilities support services provide operating staff to perform a combination of support services within the client’s facilities. The support services being referred to are wide-ranging, from janitorial to guard and security, and then laundry.

Often forgotten and little recognized, they have always worked behind the scenes to keep facilities going and running at an optimal level. Contracts awards in 2020 under this code are worth around $30 billion. 

5. 541512 

Establishments that offer computer system design services are those who plan and design computer systems. Services that they offer include software support, computer systems design, and data processing facilities management. The combined annual revenue for government contract awards in this industry is $26 billion. 

6. 236220 

People in this industry are primarily responsible for the construction of commercial and institutional buildings and related structures, such as stadiums, grain elevators, and indoor swimming facilities. 

The United States is one of the largest construction markets worldwide. Their spending on private and public construction continued to grow in 2020. More specifically, federal contract awards in businesses under this code in that year reached $24 billion.

7. 541715 

This code is for the world of Research and Development. This pertains to businesses who conduct research and experimental development (except nanotechnology and biotechnology) in the fields of physical, engineering, and life sciences.

The federal government also invested about $24 billion in this industry. Although their research outputs have no guarantee for extension to product commercialization or final application, they are considered essential, as they increase the ‘knowledge base’ available to companies. 

8. 336414 

Guided missile and space vehicle manufacturing applies to establishments that manufacture complete guided missiles and space vehicles. They develop and make prototypes of guided missiles or space vehicles.

The demand for guided missiles is dependent on the government spending on defense. The government spending for contracts under this code last year was worth $22 billion.

9. 541519 

Other computer related services, from the name itself, provide other computer related services that are not offered by establishments under 541512 (Computer Systems Designs Services). 

More specifically, the services include computer disaster recovery and software installation services. This industry won $20 billion worth of federal contracts in 2020.

10. 541712 

Last but not the least, as it is worth $19 billion in the federal marketplace, we have the industry that is all about research and development in the physical, engineering and life sciences engineering, and life sciences (except Biotechnology). 

Businesses under this code conduct research and experimental developments in the  field of science and mathematics. 

Note: The NAICS Code 541712, however, is no longer valid. The NAICS Code that should be used instead is 541715. Unless the requirement is dealing with nanotechnology, in that case, the code 541713 should be used. 

RESOURCES

The list of the top 10 Industry NAICS Codes for Contracts from this article was taken from usaspending.gov, wherein federal awards in 2020 were listed from highest to lowest, according to their NAICS code and their respective cumulative amount obligated by the federal government.

To also learn more about all things NAICS, you can check out the website here. 

TOP 10 NAICS Code for SAP this 2021

Posted on by Eric Coffie

Government agencies are always looking for businesses to invest in, however, it is often taken for granted or missed. More than $5 billion in Simplified Acquisition dollars are ‘left on the table’ by small businesses each fiscal year. 

Through simplified acquisition procedures (SAP), rules are thrown out the window. A new set of rules are followed but it only applies to contracts that follow the specified category.

Having said that, federal agencies use NAICS code for SAP to determine the products and services that they want to buy. Choosing the wrong NAICS code for SAP could hinder your path to success.

Are you interested in learning how to win in the marketplace? Get to know the top players that have been in high demand, here’s the top 10 industries in 2021 for SAP.

1.331410 

Non-Ferrous metal (except aluminum) smelting and refining comes first on our list.  This industry is responsible for the smelting of non-ferrous metals, except aluminum, from ores and/or the primary refining of these metals by electrolytic methods or other processes.

Non-ferrous metals are considered highly valuable, which is probably why the collective amount obligated by the federal government to this industry has reached $229 million. 

2. 541512

In this day and age, all organizations rely on computer and information technology but many of them don’t have the internal resources to effectively design, implement, or manage the products and systems that they need, this is where computer systems design services enter. 

Government agencies, at all levels, are undergoing digital transformation. They have invested about $212 million in this industry, for SAP contracts alone. Digital government transformation has become critical for meeting the expectations of modern citizens.

3. 336413 

This is the industry that manufactures and/or develops aircraft parts or auxiliary equipment (except engines and aircraft fluid power subassemblies).

Aviation has made a significant impact on human life, one of which is the import and export of goods. With a cumulative spending amount for SAP contracts of $202 million, it is clear that the government sees the importance of these companies.

4. 541519

Other computer related services pertain to businesses that provide computer related services except those that are offered by companies under the 541512 NAICS code. They come in when there is a need for computer disaster recovery or software installation. 

SAP contracts under this code that have won are worth about $184 million, collectively, not as much as those under 541512 but it is still quite up there. 

5. 541611

Administrative management and general management consulting services provide operating advice and assistance to businesses and other organizations on administrative management issues.

Since this industry is vital for every business of all kinds, it does not exclude the federal government from needing it, which is why they’ve also spent around $184 million on it.

6. 336611

Establishments under this code are primarily engaged in ship building and repairing. To put it simply, they operate a shipyard which includes constructing, repairing, altering, and producing ships.

 In 2021, the government spending on this industry for SAP contracts is around $148 million.

7. 541330 

Engineering services apply physical laws and principles of engineering in the design, development, and utilization of machines, materials, instruments, structures, processes, and systems. 

This industry is quite broad, as engineering encompasses a wide range of industries, but as a whole, they have won SAP contracts worth $138 million.

8. 511210 

This code comprises software publishers that are primarily engaged in computer software publishing or publishing and reproduction.

Software development matters. The contracts that have won under this code are worth $126 million. It is difficult to imagine a successful business model without online marketing, since a well-integrated software can take any company to the next level.

9. 561210

The facilities support services provide operating staff to perform a combination of support services within a client’s facilities. The government has invested $124 million in this industry. 

Oftentimes, people don’t notice the benefits of proper facilities management and how it significantly increases productivity. 

10. 339113

Businesses in this industry manufacture surgical appliances and supplies such as orthopedic devices, prosthetic appliances, surgical dressings, etc. The relevance of the healthcare industry has always been constant, but 2021 has increased that tenfold.

Although it comes last on the list, the federal government’s spending on this industry is about $118 million, which is still an insane amount.

RESOURCES

The ranking from this article was taken from usaspending.gov. Federal awards that were completed under SAP were listed from highest to lowest, according to their NAICS code and their respective cumulative amount obligated by the federal government.

If you want to know how to win small contracts with the U.S. federal government through SAP, check out this video entitled, “Low hanging fruit contracts (SAP) Simplified Acquisition Procedures – Eric Coffie”, to know your way around the industry.

To also learn more about all things NAICS, you can check out the website here.

SOURCES SOUGHT:R499–Small Business Event |Comprehensive Health Services Virtual Business Opportunity Session | Cisco Webex July 8

Posted on by Eric Coffie

Multiple North American Industry Classification System (NAICS) codes pertain to this opportunity. Â Additional amendments may be issued to target other related NAICS codes specified within this announcement. 5. DISCLAIMER: This notice is issued solely for information and planning purposes and does not constitute a solicitation. Neither unsolicited proposals nor any other kind of offers will be considered in response to this notice.

  • Original Set Aside:
  • Product Service Code: R499 – SUPPORT- PROFESSIONAL: OTHER
  • NAICS Code: 621999 – All Other Miscellaneous Ambulatory Health Care Services
  • Place of Performance: USA
  • Original Response Date: Jul 08, 2021, 12:00 pm EDT
  • Full details via beta.sam.gov

    Check out our RESOURCES page for a sample letter that we use in response to government market research.

 

Top 10 NAICS Code for Set-Aside Spending this 2021

Posted on by Eric Coffie

There will always be an unfair advantage in government contracting for big companies when they are in competition with smaller ones.

Big businesses, most likely, already have all the necessary requirements needed to win a contract such as complete equipment, full staff, and even cheaper services.

Winning big contracts, however, isn’t always beyond small businesses. The size of a business shouldn’t be seen as a disadvantage. In fact, use it to navigate your place in the industry!

If you are a small business that is struggling to compete with larger companies, make use of the government set-asides. This allows you to compete at an even playing field. These contracts are specifically meant for businesses that operate in disadvantaged locations or businesses owned by minorities or women.

There are always opportunities waiting for you, you just have to know where to look. To help you get started, it’s always good to know the industries that the federal government is investing in. 

Here’s a list of the top 10 NAICS codes that have conquered set-aside spending this 2021.

1. 541512 

The Computer Design Services are those establishments primarily engaged in planning and designing computer systems that integrate computer hardware, software, and communication technologies.

Think of the people who are behind your company’s tech system. They are the masterminds. They train and support the users of the system, as well.

2. 541519 

For every system design, there will always be the need for software installation and computer disaster recovery to make sure that it works and will continue to work in the future.

This industry is labeled as “other computer related services,” and it’s exactly that. These are establishments that provide computer related services, except those that are provided for by the computer design services.

3. 236220 

This industry is quite self explanatory, as it is described to be commercial and institutional building construction. 

This refers to the construction of commercial and institutional buildings and related structures, such as stadiums, grain elevators, and indoor swimming facilities. Building general contractors, builders, and project construction management firms are part of this industry.

4. 541715 

Under this code are those who conduct research and experimental development  in the physical, engineering, and life sciences (except nanotechnology and biotechnology).

This industry is diverse as it covers agriculture, electronics, environmental, biology, botany, computers, chemistry, food, fisheries, forests, geology, health, mathematics, medicine, oceanography, pharmacy, physics, veterinary and other allied subjects.

5. 561210 

Facility support services provide operating staff that perform a combination of support services within a client’s facilities. They, however, are not involved with or responsible for the core business processes or activities of the client.

The combination of support services, mentioned, are janitorial, maintenance, trash disposal, guard and security, mail routing, reception, and laundry.

6. 541330 

This code covers most, if not all, businesses that provide engineering services. This pertains to establishments that make use of the principles of engineering in their design and development processes.

These establishments may involve any of the following activities: provision of advice, preparation of feasibility studies, preparation of preliminary and final plans and designs, provision of technical services during the construction or installation phase, inspection and evaluation of engineering projects, and related services.

7. 541611 

Administrative management and general management consulting services provide and operate advice and assistance to businesses and other organizations.

This is the industry for general management consultants, since they provide a full range of management consulting services to their clients. These services include, administrative, human resource, marketing, process, physical distribution, and logistics.

8. 541712 

In this industry, the establishments are primarily engaged in Research and Development in the Physical, Engineering and Life Sciences Engineering, and Life Sciences (except Biotechnology). This code, however, has been replaced by 541715.

Note: The NAICS Code that should be used instead (effective January 1, 2017) is 541715 unless the requirement is dealing with nanotechnology. In that case, the NAICS Code 541713 should be used. 

9. 541511

This code is similarly related to 541512-Computer Design services. The difference, however, is that this industry provides custom computer programming services.  

It focuses more on writing, modifying, testing, and supporting software to meet the needs of a particular customer, hence the term custom was used.

10. 561440

Collection agencies are establishments primarily engaged in collecting payments for claims and remitting payments collected to their clients.

They are used by lenders or creditors to recover funds that are past due or from accounts that are in default. Often, a creditor will hire a collection agency after it has made multiple failed attempts to collect its receivables.

RESOURCES

The list of NAICS codes from this article was taken from usaspending.gov, wherein federal awards for set-aside spending in 2021 was categorically ranked from highest to lowest, according to each industry’s collective spending amount.

If you have grown an interest in set-aside contracts and are curious about finding set-aside awards, check out this video entitled, “Finding set-aside awards on USAspending.gov,” to find opportunities waiting for you.

To also learn more about all things NAICS, you can check out the website here.

Top 10 NAICS Code for 8a Spending this 2021

Posted on by Eric Coffie

There is no denying that being an 8a certificate holder is already a step ahead in the government contracting industry, as it allows your business to have first-priority claim to various contracts without even having to bid for them, but is that enough?

8a firms that develop good marketing strategies in the federal marketplace are doing significantly better than those who don’t. 

If you are interested in finding out which industries have been winning this 2021, here’s the top 10 NAICS Code for 8a that have grown and thrived. 

1. 541512 

It is no surprise that the computer systems design services are first place on this list, especially with the accelerating rise of the digital economy, people are shifting to the world of tech and are looking for people to help them with that.

This industry specifically refers to establishments that partake in planning and designing computer systems that integrate computer hardware, software, and communication technologies.

2. 561210 

Establishments in the facilities support services industry provide operating staff to perform a combination of support services within the client’s facilities. 

The people in this industry are the reason why things are miraculously always in order and clean. No wonder this comes second! Having properly managed facilities is vital for a facility to function effectively and efficiently.

3. 541611 

Administrative management and general management consulting services provide operating advice and assistance to businesses and other organizations on administrative management issues.

In simpler terms, businesses involving this industry manage people, information, and other resources with the goal of achieving organizational goals.

They are essential in making businesses run smoothly, thus they have been in demand in the market because it is a known fact that companies will struggle without them.

4. 236220 

You’ll have no trouble understanding the commercial and institutional building construction industry since it is very self-explanatory. These are the people involved in constructing commercial and institutional buildings.

These buildings are of different kinds, such as stadiums, grain elevators, and indoor swimming facilities. 

More specifically, this industry is geared more towards the on-site assembly of modular or prefabricated commercial and institutional buildings.

8a firms are very successful in their award of federal construction contracts which is why 40%+ of all 8a firms are in the construction field. 

5. 541519 

The other computer related services industry and the industry ranking first on this list might be similarly compared, since both have the “computer” label on them, however they do have a significant difference.

Other computer related services are those who provide computer disaster recovery or software installation services.

They do not offer services such as custom programming, systems integration design, and facilities management services, as these services are offered by the computer systems design services industry.

6. 541330

Engineering services is actually a very broad one since they pertain to a variety of engineering companies. From construction to electrical to chemical, the list goes on. 

Generally, establishments in this industry involve the provision of advice, preparation of feasibility studies, preparation of preliminary and final plans and designs, provision of technical services during the construction or installation phase, inspection and evaluation of engineering projects, and related services.

So basically, any business that applies physical laws and principles of engineering in their design and development of products or services are a part of this industry.

7. 561612 

Security guards and patrol services are also one of the more self-explanatory ones. They are the establishments that provide guard and patrol services, such as bodyguard, guard dog, and parking security services.

Do not confuse this with the NAICS code 56162, although they have the same goal, 56162 is more aimed towards the selling of security systems and remote monitoring of electronic security alarm systems.

8. 541712 

This comprises establishments primarily engaged in Research and Development in the Physical, Engineering and Life Sciences Engineering, and Life Sciences (except Biotechnology).

People in this industry are scientists. They conduct research and experimental developments in the  field of science and mathematics. From biology to chemistry to veterinary, the spectrum that this industry covers is wide.

Note: The NAICS Code 541712, however, is no longer valid. The NAICS Code that should be used instead is 541715. Unless the requirement is dealing with nanotechnology, in that case, the code 541713 should be used. 

9. 541990 

All other professional, scientific, and technical services are one of the industries that are harder to classify as the examples are quite wide. Services such as business brokers, construction estimation, and handwriting experts are included in this industry.

Generally, these establishments offer professional, scientific, or technical services, with the exclusion of legal services, architectural, engineering, computer systems design, management, scientific, technical consulting services, etc.

10. 541513 

Computer facilities management services are those establishments primarily engaged in providing on-site management and operation of clients’ computer systems and/or data processing facilities. 

Seeing that companies are shifting to the digital era, as means to manage their businesses, this industry is on high-demand.

This industry, however, is closely related to another NAICS code, 518210, which is the data processing, hosting, and related services. The difference is that 518210 provides hosting or data processing services while 541513 is more on on-site management.

RESOURCES

If you are stuck with an 8a certification and want to learn how to navigate the program, check out this video entitled, “The 8a BD (Business Development) Program fully explained,” to know your way around the industry. 

To also learn more about all things NAICS, you can check out the website here. Information found in this article is taken from the official open data source of federal spending, found here.

SOURCES SOUGHT: RFI FOR TELEHEALTH SERVICES

Posted on by Eric Coffie

This Request for Information (RFI), 15BNAS21NRFI00005, is issued by the Federal Bureau of Prisons (BOP). The BOP is seeking information from vendors capable of providing various Telehealth services utilized by inmates in a prison setting, taking into account the unique requirements of the BOP. The proposed acquisition is classified under the North American Industry Classification System (NAICS) Code 621111 – Offices of Physicians (except Mental Health Specialists) (Size Standard of $10 Million).

  • Original Set Aside:
  • Product Service Code:
  • NAICS Code: 621111 – Offices of Physicians (except Mental Health Specialists)
  • Place of Performance: USA
  • Updated Response Date: Apr 02, 2021 12:00 pm EDT

Full details via beta.sam.gov

govcon giants logo Check out our RESOURCES page for a sample letter that we use in response to government market research.

Where Do the Contracts Go?

Posted on by Eric Coffie

Learn the reason why over half of the contracts are not on beta.sam and where you can find them!

WHAT MOST PEOPLE USUALLY DO ON BETA.SAM?

Most people recognized beta.sam as the only platform to browse for opportunities.

What they do is they look for certain contracts within the last few months, their NAICS code, their location, and their certification, among others. 

Then, in most cases, they use all of these keywords to look for certain opportunities. And what happens is there’s only a few results. And now they’re left wondering where the contracts go. 

And if this is their question, it must be for you too. 

WHAT REALLY HAPPENS WITH THE BID OPPORTUNITIES?

When you visit the Department of Defense website for Defense Pricing and Contracting, the latest full report was in 2015. Although there are reports in 2018, it still lacks for the fourth quarter, so we’ll use this instead. 

Going back to the 2015 Department of Defense Competition Report, the negotiated competition trends, over the previous 10 years going back, hovered around 56% to 60% and back to 56% again.  

“So, what does that mean? That means that the government is not competing half of the projects, which also means that they’re not showing you half (of) the projects.”

However, when the negotiated competition was only 56%, the effective competition was 87%. 

“And that’s how these large organizations and agencies are saying they’re meeting their goals.”

Then, we also have the non-competitive bids wherein this report says that the majority 76% of non-competitive dollars were obligated under the FAR 6.302-1.  

WE HAVE TO START QUESTIONING THINGS

So, what all of those data above mean? It means that when people tell you that government contracting is competitive, you gotta question their position, intent, knowledge, and experience, because this report says otherwise. 

But what can you do with this information? Well, use this as a way for you and for us, small and minority businesses, to win.

“This is designed not for you to go back and pout and cry and complain and say that this is unfair. This is for you to understand, to gain wisdom, to seek clarity, to know how to operate within the confines of the rules that someone else has set out for us.”

IF NOT IN BETA.SAM, THEN WHERE? 

Now that you understand that most contract opportunities are not really on beta.sam, then you can use the same strategies that we use here in GovCon Giants. 

With this, we use the Federal Procurement Data System and USA Spending to do our own market research in order to find out and do a predictive analysis of what the government’s going to be doing next.

“So, we get ahead of the opportunities. We get ahead of the actual bids before they come out. We respond and we let the government know that we are ready, active, and able to go after these opportunities.

Just take into account that you should not rely on any type of software and on a single marketing strategy or source of information, and you need to interpret this information or else it will just be nothing.

“So, simply having the information alone is not good enough. And again, we all like to use, at least in the govcon world, we all like to use fishing analogies. Simply having a fishing rod and the fishing reel doesn’t teach you how to fish.”

RESOURCES

If you want to learn more on where to look for these contracts or learn the step-by-step process of GovCon Giant’s strategy, then you can visit and join us at GovCon Edu where we teach you how to start a government contracting business and win contracts. 

Also, you can check these resources below or follow us on our website and social platforms.

THESE CONTRACTS ARE NOT POSTED! Where to find them?

https://www.youtube.com/watch?v=b7U0-A_o3wU

2015 Department of Defense Competition Report

https://www.acq.osd.mil/dpap/cpic/cp/docs/DoD_FY_2015_Competition_Report.pdf

Finding all the search results on beta.sam.gov with Mo and Eric Coffie

https://www.youtube.com/watch?v=TcxGZ87hw70&t=95s

Before the RFP/RFQ comes the presolicitation learn how to use it

https://www.youtube.com/watch?v=T7xtSfNgUpY

How to get AWARD Data from USA Spending?

https://www.youtube.com/watch?v=Hr_U9z1xK2g

How to respond to a Sources Sought?

https://www.youtube.com/watch?v=-eEGLkukCOo&t=19s

Choosing the Wrong NAICS Code can Cost You Millions!

Posted on by Eric Coffie

What is a NAICS code and why do you need one? Even further, let’s answer the question on why choosing the wrong NAICS code can cost you millions! Read this article to learn more. 

WHAT IS A NAICS CODE?

A NAICS code is a six digit code used by federal agencies to determine the products and services that they want to buy. It is also used by small businesses to identify products and services that they want to sell to the government. 

You can view the NAICS code list from the U.S. Census Bureau or by contacting the bureau through 1-888-756-2427 or on their email address, NAICS@census.gov. You can also visit NAICS.com.

Now, you need these codes when you get ready to register in the System for Awards Management database and when you apply for some of the small business programs. 

With this, you need to make sure that your NAICS code is appropriate for your business.

For instance, if you’re under the construction industry, you need to look for the appropriate keyword for your products and services. You may not be providing sanding services, but you can be under the  New Single Family Housing Construction section. The key is to be specific on what you provide. 

Most importantly, consider that you can have multiple codes, depending on the products and services that you provide. Check this video entitled “Primary vs Secondary NAICS Code” that we have on our YouTube channel. 

WHAT IS A SIZE STANDARDS TABLE?

Now, why is choosing the right NAICS Code important? Let’s answer this question by pulling the Small Business Administration’s Size Standards Table. 

So, this table determines your eligibility to be a small business and this corresponds to the NAICS codes that you use.

This standard is also divided into two categories: manufacturing which is determined by your number of employees and contract work which is determined by millions of dollars.

So, how does this break down? If you are under the contract work category, you will be provided with annual gross receipts over a three year span that you should not exceed. Same thing with the manufacturer category where your employees cannot exceed 500 employee average over a three year span. Still, consider that the number depends on your NAICS code. 

WHY SHOULD YOU CHOOSE THE RIGHT NAICS CODE?

So, why do you need to check the Size Standards Table in choosing your NAICS code? 

Well, let’s say, you are under the NAICS code 238320 which is for Painting and Wall Covering Contractors and your secondary NAICS code is 236015 which is for the New Single Family Housing Construction. 

This means that your cap to be eligible as a small business is $15 million a year over three years or a total of $45 million in the three year span. Once you exceed that number, you are no longer eligible to be a small business.

However, you can change your primary NAICS code whatever you like.

In the case above, you can change the primary code to be 236015 and the 238320 is the secondary one. This way, your cap would be $36.5 million per year on average which over three years would be a total of $110 million dollars. That’s a difference of $60 million dollars!

RESOURCES

So, that is why choosing the right NAICS Code for your business is so important prior to your registration because once you choose the wrong one, you might really lose a potential millions of dollars in revenue. 

With this in mind, if you want to learn more on how to navigate the federal marketplace as a small business without losing millions of dollars, then check the resources below. 

You can also join us here at GovCon Giants or check the new GovCon Edu where you learn everything about government contracting!

Choosing the wrong NAICS code can cost you millions!

https://youtu.be/BAeWQix2sM4

https://govcongiants1.wpengine.com/wp-content/uploads/2018/12/Choosing-the-wrong-NAICS-code-can-cost-you-millions.pdf

Primary vs Secondary NAICS Code

https://www.youtube.com/watch?v=kpgW_N-Vg7k&t=22s

Fundamentals and Basic Building Blocks of Winning Federal Contracts!

Posted on by Eric Coffie

Want to become a prime and start doing government contracts? Then, read this blog to learn the fundamentals and basic building blocks of doing federal contracts!

LET’S START WITH THE BASICS! 

Looking at my previous content, I made a bunch of content talking about specific things that the only people who were familiar with are already doing business with the federal government, so I decided to make this content where I actually start connecting the dots.

“I’ve got great videos, but if you’re not familiar with how to put the pieces of the puzzle together, then they’re just, basically, puzzle pieces scattered out.”

Note, that this blog is only for those people who want to become prime contractors. These contractors are basically companies that have direct contracts from a specific government agency. 

However, if you want to do business with the government, but don’t want to go that route, we have videos on my Youtube channel about being a subcontractor and a consultant. 

FOUR FUNDAMENTALS

1. NAICS code

A North American Industry Classification System (NAICS) code is a six-digit long code that  distinguishes the products and/or services that your business would like to provide to that specific agency.

If you also provide a wide variety of multiple products and services, then you can certainly have a multiple NAICS code. 

You can view the NAICS code list from the U.S. Census Bureau or by contacting the bureau through 1-888-756-2427 or on their email address, NAICS@census.gov.

If you want to know about this code and how to choose one, then check this video entitled “Primary vs Secondary NAICS Code.”

2. DUNS number

A Data Universal Numbering System (DUNS) is a nine-digit identification number assigned to identify your business and to track your company’s credit record.

It is actually similar to your EIN number, the tax ID number that’s assigned to your business after you’ve set up your corporation.

Note that a DUNS number is free to obtain and if your business is in various locations, then you need to get a different DUNS number for each location.

To get your DUNS number, you can go into the Dun & Bradstreet website or you can either request via this toll-free telephone number, 1-(866) 705-5711.

If you want to know more about this code and how to apply for one, then check this video entitled “How to Apply for a DUNS Number.”

3. SAM.gov

The System for Award Management (SAM) is the website where all particular companies that are doing business with the government, even if you’re talking about Boeing and SpaceX, need to register. 

In registering, you primarily need to create an account first. You can either choose an individual user account or a system user account. However, it is preferred to create the latter.

After creating an account, you can already register but make sure that you appropriately fill all of the information.

Depending on the complexity of your business, your registration might take about an hour and it can also take an average of 7-10 business days to process in the database. 

Other than that, you should update your SAM profile on an annual basis or when a certain change in your business information is made. The updating or renewal process might take for approximately an hour before it becomes active on your SAM profile. 

If you want to learn more on how to register in SAM, then check this video entitled “Register System for Award Management “SAM.gov” to win Federal Contracts.”

4. DSBS

Before you finish your SAM profile, make sure to go down to your Dynamic Small Business Search (DSBS) page and answer the necessary information because you can use this to create a unique profile for your business. 

“This is what helps you stand out from the crowd. This is your opportunity to highlight your history, your past performance, and give a brief description about your company to fellow agencies.”

Besides, information in the DSBS is publicly available and is widely used by contracting officers to help them choose between two similar companies entities.

With this in mind, you can check this video entitled “SAM.gov part 3 of 3 (SBA Profile) Dynamic Small Business Search” to learn more about the process. 

BASIC BUILDING BLOCKS

1. Professional email address

This seems like a very novice concept, but we don’t need people out there with caseyandjojo@gmail.com, we need people with professional email addresses that represent their company. For instance, it can say yourname@llccorporation or suchandsuchpainting.com.

2. Website

As a prime, it doesn’t make sense if you don’t have a website because these are what most consumers or buyers tend to look at. Besides, websites are so inexpensive to create. 

3. Corporate Identity

When we’re talking about corporate identity, we’re talking about your marketing materials like your business cards, brochures, and things like that. Remember, corporate identity is your logo.

“(It should be) something that when someone sees it, it sticks out that that is your brand and who you are.”

4. Capability statement

Your capability statement is your company’s resume and it should be formatted in a certain format that has information that agencies look for when talking to you. 

This is especially important because when you’re going to go around and you start talking to small business agencies and small business specialists, they’re going to ask you for your capability statement. 

If you want to learn more about this, then check these videos on how to “Build a professional capability statement for pennies on the dollar!” and “Capability Statement Do’s Don’ts Resources and more.”

RESOURCES

Now, you have the fundamental pieces of the huge puzzle. Note that these are just the building blocks and fundamentals for interested businesses that want to become prime contractors. 

With this in mind, if you want to learn more about the tips and tricks in winning government contracts, then join us here at GovCon Giants.

Just visit our website and other social media platforms or check the new GovCon Edu where you learn everything about government contracting!

You can also check these resources below to learn more about the topic above:

BASICS Building blocks to win federal contracts! (government)

https://youtu.be/jqfX2ZBg2Ck

https://govcongiants1.wpengine.com/wp-content/uploads/2018/11/BASICS-Building-blocks-to-win-federal-contracts.pdf