Beware of paying for access to gov’t contracts, small businesses

Mike: It’s folks that are probably retired military and you’re like the 3rd or 4th client they’ve had, and you’re like, “hey, let’s pay this person their $12 grand a month.” It’s usually a lot of money because they’re going to introduce you to some folks and you’re going to get some easy wins.

 

Paul: The rolodex consultant!

 

Mike: Yeah. If you’re the first person they’ve done this for, it’s probably going to be fairly successful. But that rolodex is only so big, and you can only go back so many times… Those people that have called on those contacts so many times, they’ve burned them. It’s like they’re crying wold. Hey, I got another great teaming partner for you. Whoever they’re talking to just doesn’t want to hear it any more. So I always say, before you go drop $10 to $12 grand a month on a consultant like that, you really need to do your homework to find out if it’s a good fit. The fastest way to go out of business is to run out of cash.

That was Mike LeJeune on the Contracting Officer Podcast, “Winning Your First Contract w/Mike LeJeune.” Mike also has a great podcast for businesses entering the federal space, Game Changers for Government Contractors.

The podcast stresses the fact that small businesses should get in early, during the Request for Information stage or even without a specific topic, and merely call up contracting personnel to talk about their issues and introduce the business. Then be sure to articulate the value your company brings — and being a veteran or disadvantaged owned business is not a value proposition — and seek to influence to requirements coming out. Do not call up a contracting officer after the Request for Proposal drops to get in on the action. It is often too late. There’s no substitute to late nights and hard work.

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