Seeking Government Contracts?

Women business owners are primed to qualify for more government contracts

Women business owners now have greater opportunities for federal government contracts, thanks to the new U.S. SBA Women’s Business Program, which was implemented last month.

Can winning a federal government contract take a small business to the next level?

Julie McNeil thinks so. The Chicago-based owner of McNeil and Associates has completed all the paperwork and begun reaching out to specific government agencies in order to expand her professional development and leadership training business. Her goal is to build her capacity and to grow from a two-person firm, enabling her to obtain larger projects and a more flexible schedule.

Ms. McNeil is one of scores of Chicago women business owners who are flocking to the Women’s Business Development Center (WBDC) and to the U.S. SBA Illinois District office to learn how to participate in the SBA’s Women Owned Business Program to get a piece of the federal contracting pie. New U.S. Small Business Administration rules, which became effective February 4, 2011, mean that more women will be able to win contracts and subcontracts.

To be eligible, women business owners must be certified as a Women Business Enterprise (WBE). Currently, women can self-certify using their existing WBE certifications such as Women’s Business Development Center (WBDC), Women’s Business Enterprise National Council (WBENC) or City of Chicago WBE certification. Women will also be able to obtain Women-Owned Small Business (WOSB) certification from an SBA-approved third-party certifier. However, SBA is still in the process of reviewing and approving potential third-party certifiers. Certification as a WBE means that a woman must own at least 51 percent of their business, be in charge of day-to-day operations, make the company’s long-term decisions, hold the highest officer position and work at the business full-time.

Though the largest percentage of contracts won’t be awarded until the fourth quarter of fiscal 2011, the key is to start preparing now. Business owners should first read the SBA’s Women Owned Small Business regulations and guidelines, then log into the SBA and create an account (SBA.gov/WOSB). Certification is a time-consuming process that can take weeks to several months to complete, so it’s best to start early.

The next step is to begin to establish relationships with the contracting officers at the right government agencies for the business.

Ms. McNeil began the process 18 months ago. Since then, she’s been actively pursuing government contracts. “The key is to get our foot in the door,” she explained. “If we can win just one contract, and begin building a positive track record, it should lead to larger, more lucrative contracts.”

“It all still boils down to relationships,” she continued. Although you’re registered and certified, there’s no guarantee you’ll get contracts. You have to work at it.”

One business owner who has already received several contracts as a subcontractor for Federal projects is Rosemary Swierk, president of Direct Steel LLC, a construction company specializing in pre-engineered metal buildings and commercial systems construction for a variety of commercial projects.

Ms. Swierk pursued and won two contracts as a subcontractor with a Department of Defense prime contractor, a contract through a large Chicago contractor to build three buildings, and a couple of other local government projects. She’s actively pursuing other projects.

Her advice to others? Understand that every contract opportunity is different, so make sure you read through the requirements before moving forward. Team with established contractors who know the ropes. Be prepared to complete a vast amount of paperwork which is required throughout the process and have the paperwork complete and readily available

“Winning the business has not come without a tremendous amount of time and effort,” she stated.

The WBDC offers a monthly workshop called “Introduction to Government Contracting” (formerly “Are You Ready for a Government Contract?”) as well as ongoing workshops on a variety of topics on government contracting and certification. To learn more, visit www.wbdc.org.

Tagged as: women business owners, small business, Small Business Administration and finances