Companies with Multiple Awards Contracts Increase Their Chances of Being Acquired

Previous newsletters and our seminars stress the increasing predominance of multiple award contracts (MACs) in government contracting. GSA Schedules are the biggest of the MACs and the 41 or so Schedule contracts are continuously open for bid. All other MACs have a set bidding period of approximately 30 to 60 days and, once the bidding period is over, the MAC is closed to all companies except the companies receiving awards. Companies not receiving awards are essentially shut out of the market covered by the MAC.

Prime contractors place great emphasis and focus on winning MACs and they are always clamoring for more. Companies holding large MACs have increasingly become acquisition candidates because companies not holding them consider such contracts to be extremely valuable assets. The MACs worth depends on the size of the contract, the activity to date under the MAC, the amount of time left on the contract, and the scope of the MAC.

Are you on a GSA Schedule? Can you afford not to be?

For more information call 888 661 4094 and press 2 to speak to a Fedmarket representative.

888-661-4094, Ext 2.

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