Small businesses are given an exciting opportunity to do business with the government. Perhaps you have been thinking what the best strategy is in winning government contracts. The reality is that if you win a government contract, then you have the biggest possible customer to deal with.
Recent statistics show that the government is already spending trillions of dollars each year. With this amount of government spending, it is possible for small businesses to take advantage of it. Winning government contracts is something that small business should strive for. Another good thing is that the federal government allocates a large percentage of its overall spending for small businesses. If you are an owner of a small business then you should include acquiring contracts from the government in your business objectives. Government supports and promotes the growth of small businesses and this is the reason why they allow small scale businesses to have a chance to win contracts.
Since their businesses are small, most of these owners are reluctant to accept government’s invitation for them to bid for government contracts. The reason for this apprehension is the feeling of inadequacy in the presence of large businesses that have more experience and are capable of giving a low bid. They think that competing with these large businesses would not give them any chances of winning.
To win government contracts, you don’t compete with large businesses but with small businesses like yours. And if you will do business with the government you don’t have to offer the lowest bid. It has been proven that 80% of the time, the low bid does not win with the federal government.
If you want to win contract with the government, don’t focus so much on giving the lowest bid since this is not the surest way of winning one. So you might be wondering how your small business can win contracts with the biggest customer?
Most people want value for their money and this is precisely what government wants also – value for their money. It is not useless to emphasize that it is not your low bid that will win you the contract. What is important is the ratio of value and cost. It is the best value that the federal government is looking for and not the low cost.
39% of government spending is allocated to small businesses. 39% is a relatively large percentage, so there is plenty of chances to be able to work with the government. You don’t even have to compete with large companies because they also have their percentage allocated for big businesses.
To be able to win government contracts, it is important that you know your services or products and be able to present them in a very exciting way. You should be able to answer why the government should give you the contract in a very convincing way. Show them that you only offer the best value for your money. It is not only about offering the lowest bid; but with your low bid, you are also offering quality. The best way to win government contracts are in your hands.