Veterans Business Resources

a portal for all Veterans and SDV Small Business Owners

The Road Ahead – 2012 and Beyond

Competition has always been stiff when it comes to winning government contracts.  NEWS FLASH:  The competition will be even stiffer in 2012!  “WHY?”  For that answer, lets look at the facts – we have a massive deficit that MUST be reduced.  Everyone agrees that’s the case and the right thing to do, but how – where do we start.  The easy place to start is with the biggest budget.  That would be the DoD, who has the largest budget by far and spends more money than anybody.

Many, if not most contractors have a portion of their businesses tied to the cash cow that is DoD.  Everyone doing business with a federal agency needs to sharpen their pencils, reduce their profit margins, restructure supplier pricing and payment agreements etc.  Also, consider that when portions of revenue streams or entire revenue streams dry up, the Big Boys will look elsewhere to make up those losses.  The entire Small Business community, especially the Veteran-Owned Small-Business community is susceptible to exploitation.

In the past, big business has successfully taken advantage of the Small Business community to the tune of millions and possibly even billions of dollars.  Fraud and abuse of the federal procurement system continues to be a problem as miscoding of procurement actions and bundling of requirements all contribute to inflated contract goal attainment numbers.

The honor system of identifying yourself as a VOSB doesn’t work.  We have seen the results of that approach too many times.  Sadly, shell companies and lies lead to major contract wins for big business.  The Small Business community has to work together more than ever in 2012.  Get ready, the pressure and competition for Small Business contract dollars will get tougher still.

 

See you on the high ground!  

 

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Filed under: Ethics, Government Contracting, Woods Consulting Group, ,

2 Responses

  1. srobin54 says:

    I believe this may be the most difficult year we have seen in this “recession”. State and Federal funds have dried up, for all programs.

    My fears are that veterans will again take the brunt of this bad news.

    Thanks for the post.

    • Scott – one goal in writing the VBR blog is to help educate more of us about the perils and nuances of Government Contracting so we don’t keep getting the short end of the stick. Unfortunately, I believe more and more bigs will seek a greater share of the 23% mandated to small business as major programs are scaled back or eliminated all together.

      Thanks for your comments and continued support of VBR.

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