Government Contracts are awarded to qualified businesses mainly through the SBA where 23 percent of all contracts are distributed to small businesses. Each year around $500 billion of federal contract dollars is pledged for goods, services, research, and development. This works out to be around $115 billion per year of federal government contracts awarded to small businesses.
There is an easy access website that’s free and available to everyone. It contains the amount of award, relevant information on the award such as location, funding agency, and the type of transaction for each federal grant by the (OMB) Office of Management. Small businesses must take advantage of the government contract financing opportunities available by the federal government to benefit their growth financially.
The law requires they consider purchasing from small businesses because the federal government is the most substantial customer worldwide buying in both small and large volumes. The federal government prioritized purchasing from small business because they strongly believe small businesses are the motor driving economic development and job creation.
To create a level playing field so that the larger businesses doesn’t force out small businesses from an equal opportunity. They also want to gain access to new innovative concept that small businesses might have and to create opportunities for the less fortunate class of the workforce. Any qualified business could submit a bid and should be considered without bias from the federal government.
All contract opportunities by various federal branches must comprehensively be listed for public access. Some contracts might require more substantial obligations mostly suited for larger companies or just for small businesses. Still, in cases of a sole-source contract, it is designed for a predetermined small business.
Trying to get financing from traditional banks as a small business owner can sometimes become more trouble than it’s worth. This is where SMB Compass comes into play by providing a plan of action for entrepreneurs, business owners and firms inside the U.S. They are a business funding company that’s comprehensive in creating customized financing and education strategies to small businesses spreading across all 50 states of America.
Other advantages are providing economical and adjustable solutions for small businesses as a more reliable option for getting assistance directly from the banks. SMB Compass has attention to detail when it comes to learning the strengths and weaknesses of any business size. They provide support, including principle-based and equipment lending, SBA lending, and a wide variety of capitalized programs. At least 1100 businesses across the United States received over 250 million, which created a significant level of trust and appreciation from clients.
SMB Compass also assist in government contract financing on the local, state and federal levels of government contracts. It is structured for primary and sub-contractors, and they encourage doing business with firms that fully understands how the claim process is assigned on the federal level. It’s important that they know early if the government contract financing that’s provided will support all the funding requirements that’s needed for business. This is usually the case since contracts issued by the federal government have different levels of working capital. The advantage provided by this working relationship is very beneficial to small businesses because they sustain expenditure prematurely and occurring even before the federal government gives the financing assistance.
They assist in support letters designed to add strength to bid proposals when applying for new contracts. Active funding is also available along with funding for invoices not yet billed. Long-lasting agreements issued by the federal government give small businesses the ability to estimate future revenues precisely. It provides small business owners with more opportunities to get contract financing in many other available ways successfully.