A GSA Schedule is an IDIQ that is ALWAYS open for bid.  GSA schedules are the grandfather of all IDIQs. All schedule contracts share the following four characteristics: They are open to small businesses. A services company can be virtually... read more

About $40 billion, or 7 plus percent, of last year’s $535 billion in total federal procurement spending was awarded through GSA schedules. The General Services Administration is the central administrative agency of the federal government. GSA is the... read more

A whistle-blower exposure caused the federal government to claw back $200 million dollars from the Oracle Corporation for GSA schedule Price Reduction Clause violations. In many GSA schedule contractors, the sales organization may not want to know about... read more

Like learning to ride a bicycle, analyzing a federal contract to identify its compliance requirements is easy if you have done it before. Meeting the compliance requirements after they have been identified is easy if you: List the compliance... read more

Effective November 2, 2011, the Federal Acquisition Regulation (FAR) was amended to allow federal buyers who want to purchase through GSA Schedule contracts to set aside opportunities for small businesses. This new interim rule may... read more

GSA Contract Modification: Simplify and accelerate GSA schedule contract modification preparation with Fedmarket's new GSA eModification. When asked about GSA schedule price increase, many of Fedmarket's customers say: "You mean we can increases... read more

GSA Schedule prices can be increased according to the terms of a schedule contract. Seems simple but many GSA contractors do not increase their prices during the entire five years of their contract. Obviously, not requesting price increase can hurt... read more

The most important aspects of contract compliance are: Compliance with restrictions on discounting practices (the biggest risk factor financially) Paying the GSA Industrial Funding Fee (IFF) on time Making best efforts to subcontract according to... read more

Non-compliance with the Price Reduction Clause (PRC) clause (violating disclosed discounting practices) can result is return of money to GSA and the dollar amount can pile up if the non-compliance is caught late in the contract period. PRC problems have... read more

GSA Schedule contract modification requests are comprised of a series of specific documents required by GSA to change a GSA Schedule contract, e.g., product or service updates, price changes, and name change. The content and format of modification... read more

The federal government has not met its stated goal to send 23% of all federal contracting dollars to small businesses. The shortfall represents around $5 - $6 billion annually. Recently-enacted legislation requires the Small Business... read more

The General Services Administration Acquisition Manual (GSAM) that governs the evaluation of a GSA Schedule proposal contains the rules that govern the evaluation of a GSA Schedule proposal. See: 538.270 Evaluation of multiple award schedule... read more

Small companies are often handcuffed by GSA's requirement that a labor category cannot be offered to GSA until such time as it has been sold and you have an invoice to document the sale. And how does a small business acquire the required sales history... read more

GSA Schedule contracting has always been plagued by the impracticality of the "most favored customer pricing" concept and the restrictiveness of the Price Reduction Clause. Yet both haven't kept nearly 20,000 contractors from pursuing the award of a... read more

Why not encourage and support small business participation in GSA Schedule contracting by loosening the experience and number-of-years-in-business requirements somewhat? Why not have 100,000 GSA Schedule holders rather than fewer than 20,000? Why... read more

One answer to this dilemma is to eliminate the Industrial Funding Fee as the funding method for the GSA Schedule Program. Dramatic, yes. But money could be funneled from the notoriously ineffective Small Business Administration to fund the GSA... read more

Most companies offer services to GSA on an hourly-rate basis. And then federal customers demand fixed-price bids based on your awarded hourly GSA rates. Most experienced federal contractors know that the hourly rate really doesn't matter that... read more

For many, the idea of writing a proposal for a GSA Schedule contract ranks just short of "I'd rather stick my hand in a fire. Both hands. Up to the elbows." The same is true of proposals to extend GSA contracts for 5 more years. Why are GSA... read more

GSA encourages teaming arrangements among schedule holders to satisfy complex agency needs. Federal buyers often seek "complete solutions" through a single purchase, rather than multiple buys. Because most companies can't do everything, they... read more

The single biggest problem in making an offer for a General Service Administration (GSA) schedule contract is defining prices. GSA's expectation is that companies have a standard price list, whether it's published, or a strictly internal... read more

The biggest stumbling block for many companies in making a General Service Administration (GSA) schedule offer is GSA's requirement to disclose your "Commercial Sales Practices." Companies new to the federal market often respond, "Do what?"... read more

The problem most companies face when trying to argue that GSA's prices should be higher than your Most Favored Customer is that GSA will almost always say: "We are the world's biggest customer, and we should have better than your best price even... read more

A Maximum Order Threshold (MOT) is specified in the GSA Request for a Proposal (RFP). The amount of the MOT is negotiable, and its significance is often missed. The key is that the Price Reduction Clause does not apply to orders exceeding the MOT.... read more

GSA Schedules can accommodate products sold by resellers. Your business might elect to use resellers for a number of reasons: your product is a component of a larger system or larger product, your commercial sales are made through resellers, or... read more

To satisfy complex agency needs with a minimum of effort, federal buyers often seek "complete solutions" through a single purchase, rather than multiple buys. Because most companies can't do everything, they have to team up with other companies... read more

The costs associated with writing a federal proposal are increasing as the federal government adds more red tape to the procurement process. For example, compliance rules are now more rigorous as a result of the publication of new Federal... read more

Don't write losing proposals. Some would say this is a trite and simplistic statement and others would say this is one of the secrets to success in the federal market. A corollary statement about sales in general would be "only pursue someone who... read more

Our previous newsletters discussed the trend in the federal government towards the use of Indefinite Delivery Indefinite Quantity (IDIQ) contracts to speed up the federal buying process. Winning an IDIQ is a crucial first step in doing... read more

Everyone has heard the stories of delivery vehicles screaming down the Beltway only to just make or miss a proposal filing deadline. Or the stories of proposals that never made their destination due to mishandling by delivery services. ... read more

Companies that either miss or nearly miss proposal submittal deadlines usually don't trumpet their stories to their cohorts. After all, it is not exactly a badge of courage. Yet, at countless bars throughout the Metro area, you... read more

A well-known country and western song is a good metaphor for deciding when and when not to write a federal proposal. Your chips are your precious proposal-writing resources. Namely, a happy and motivated professional staff, those who produce... read more

In our previous newsletter, we stated that the most crucial step in federal proposal writing is deconstructing the Request for Proposal (RFP) sentence-by-sentence and clause-by-clause in order to build a complete proposal template (outline). We... read more

The major steps in writing a compelling and effective federal proposal are as follows: Your staff must deconstruct the RFP, sentence by sentence and clause by clause, to build a complete proposal template (outline) which addresses... read more

Understanding the nuances of federal proposals is analogous to understanding a new language and culture. The world of writing federal proposals can only be fathomed by living in that world for a number of years. Even experienced federal... read more

In your capacity as the proposal manager, you have deconstructed the RFP and developed a proposal outline (template) that outlines what is required. What's left are small and large gaps (content needs) that only technical writers and contract... read more

For Small Businesses: Key Elements When Writing About Your Program Management Last week, we noted that the new strategy of federal agencies is to mandate that small businesses band together under a single lead small business and take on larger, more... read more

Program Management a Must for Small Businesses Pursuing IDIQ ContractsGovernment agencies releasing IDIQs are looking for prime contractors they can rely on to do more than just manage individual projects well. They want contractors who can run programs... read more

Companies often fail to understand that while they may have the best product or provide the best services, this means little if their proposals don't win. More often than not a bid is lost because they bid on something they should have skipped in the... read more

Making poor choices about which RFPs to respond to is the number one mistake small businesses make in the federal contracting arena. Spending days and weeks of money and labor on an opportunity you are destined to lose is costly to the company and... read more

Federal entities are increasingly demanding that contractors use earned value management systems (EVMS) when managing federal projects, and that they do so using an earned value management system that has been certified. The... read more

As we have repeatedly pointed out in prior newsletters, government agencies hate risk. Fancy solutions that promise to do more are fine, but as much as they like to impress, the minds of contracting officers are ruled by fear. They want steady,... read more

This newsletter is the last in a series of five newsletters about the federal government's increasing reliance on multiple award contracts. Both agencies and vendors like BPAs and BOAs because they help trim the red tape associated with repetitive... read more

This newsletter is the fourth in a series of five newsletters about the federal government's increasing reliance on multiple award contracts. Imagine the pressure on federal buyers, those tasked with the responsibility of procuring the... read more

This newsletter is the third in a series of five newsletters about the federal government's increasing reliance on multiple award contracts. The federal government has, in its infinite wisdom, created a host of different names and acronyms to describe... read more

This newsletter is the second in a series of five newsletters about the federal government's increasing reliance on multiple award contracts. In its simplest terms, an IDIQ contract is one used by government agencies to buy future goods and services... read more

This newsletter is the first in a series of five newsletters about the federal government's increasing reliance on multiple award contracts. The use of Indefinite Delivery, Indefinite Quantity (IDIQ) contracts is becoming more prevalent by the day.... read more

Proposal writing can be a chaotic experience for federal contractors. Late nights and last-minute crises are frequently a way of life. One of the causes of proposal chaos is the writing effort is not managed by a person of authority so that critical... read more

If you were to research the web, you would find that software is available to assist in the writing of proposals,  including several packages for writing responses to federal Requests for Proposals (RFPs). The aforementioned... read more

Welcome to our series called "Proposal Writing." This newsletter is the latest installment in a series of rotating weekly e-mail newsletters about GSA Schedules, proposal writing, and federal sales. Installment 73 - Peripheral RFP... read more

Proposals lose for a number of reasons with the most prevalent reason being that the government had another company in mind when the RFP was drafted. Losing the opportunity to another invariably occurs when an aggressive competitor has sold the... read more

The federal market is always changing and IDIQs are no exception. Major shifts in the market include: using of large umbrella contracts (IDIQs) to purchase goods and services that could be competed individually(this is known as bundling) justifying... read more

A contracting vehicle or just vehicle as its known in the DC corridors of power is not something you ride in. It’s a method of awarding a contract within the federal purchasing rules. The term has almost become synonymous with IDIQ contract, but not... read more

Most public bids have been pre-sold by vendors to varying degrees and often several pre-sellers will be the only companies that really have a chance of winning. Experienced contractors also know that bidding opportunities for a reoccurring contract are... read more

Companies new to the federal market often find the alphabet soup of acronyms like IDIQ to be madly confusing. As defined by Wikipedia and shortened here: IDIQ is a contracting acronym meaning Indefinite Delivery Indefinite Quantity. An IDIQ is a type... read more

Our experts have preached for years on end that companies should be exceptionally cautious about bidding on single award, public bids. The reasons for caution are: One or more companies have most likely pre-sold most public bids The... read more

Indefinite Delivery/Indefinite Quantity (IDIQ) contracts vary from agency to agency and there are a number of different types.  From a perspective of trying to develop a federal sales strategy, IDIQs are natural focusing... read more

With thousand of IDIQs out there, developing a sales strategy can be a tangled mess. However, it may not be as challenging as you might have originally thought.  Those that have been already awarded are not an option for you unless... read more

The federal government doesn't actually know the number of active IDIQs but rough estimates are that the number exceeds 2,000 and is increasing at an annual rate of approximately 30%. There are a large number of different IDIQs and... read more

Indefinite Delivery / Indefinite Quantity contracts (IDIQs) are funded when individual task orders are issued for competition among the companies that have received awards. Task orders are getting bigger and bigger and will soon reach the magic one... read more

This in the first in a series of six (6) newsletters about federal Indefinite Delivery/Indefinite Quantity (IDIQ) contracts and their growing importance in the federal market. As we speak, federal buyers are processing their procurement dollars... read more

In previous newsletters, we described how multi-vendor contracts (IDIQ contracts) are becoming the rule rather than the exception in federal contracting. Federal purchasing officials are now using IDIQ contracts to procure virtually... read more

The SBA's stated goal when announcing the new Women-Owned Small Business (WOSB) program was to expeditiously implement the policies, procedures and regulations necessary to ensure that federal contract dollars would immediately start... read more

The first step to winning federal business is to invest in an aggressive, direct federal sales program. Notice the word "direct." Resellers can sell some of your products but services have to be sold by you. Many companies that make... read more

Recent installments have discussed the federal government’s unending march to award federal contract through Indefinite Duration Indefinite Quantity (IDIQ) contacts. What Are They: In the simplest terms, they are multi-year contracts that are... read more

The multiple award contract is becoming a way of life in the federal government. Many large, federal multiple award contracts have been awarded this year; several of them carrying ceilings of more than $1 billion. And that is only the tip of... read more

Up until the actual close of a sale, selling in the federal market is essentially the same as selling in the commercial market. You have to find out who buys what you sell, knock on their door, be prepared for rejection if you are unknown to the... read more

The Washington press announced recently that thousands of defense jobs may be eliminated, including those related to large defense contracts. This is clearly very bad news for defense contractors. In contrast, civilian agency contracting will... read more

Are Federal Buyers Squirreling Away Budget Dollars for the August/September Spending Spree? No one knows really but probably yes. Why: Human nature: No one wants to turn back budget dollars because they won't get them back. The "squirreling... read more

What is happening to the federal market? Our crystal ball is no better than anyone else's but here's our take. The budget crunch will have a negative impact. The Administration's focus on increasing the federal workforce and insourcing would... read more

In a previous newsletter, we questioned the usefulness of federal small business advocates.  We received the following response from a reader which illustrates why companies must perform aggressive, direct federal sales in-house.... read more

Absolutely not, if you could avoid it! Why: Public bids are inordinately expensive and the amount of time it takes to acquire the good or service in question is ridiculously long.  They consume impractical amounts of staff time, assuming staff... read more

The news: The Obama administration is, as part of its initiative regarding federal contracting, pursuing an agenda of (i) increasing competition for federal contracts, (ii) promoting openness of competition, and (iii) eliminating fraud and... read more

What Are PSC Codes? Good question.PSC stands for Product Service Codes. These are legacy codes that are used in certain government procurement databases to classify products and services.Public Law 93-400 requires the Administrator for Federal... read more

The Next Two Years in Federal Contracting: Some Uncertainties and Business as Usual The next two years in federal contracting will be uncertain in the information technology and defense system sectors and business as usual in others. The buildings... read more

In the previous newsletter, we recommended that you postpone tackling the red tape until after after you have made a sale with a federal buyer. Once an actual sale occurs, you will no option but to address the red... read more