Small Business Notes

 
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Frequently Asked Question About Government Contracting


   

1. What is the definition of a small business so that you can participate in special opportunities for small businesses?

In making a detailed definition, the federal government may use a number of criteria, including the number of employees, annual receipts, affiliates, or other applicable factors. These specific criteria are set forth in the Small Business Administration Small Business Size Regulations, Title 13, Part 121 of the Code of Federal Regulations. For information on specific industry classifications (manufacturing, construction, services, transportation, refined petroleum products, and research development and testing), or more information on general small business definitions, see the Small Business Size Standards.

2. What is the FedBizOpps?

FedBizOpps.gov is the single federal government point-of-entry (GPE) for Federal government procurement opportunities over $25,000. Government buyers are able to publicize their business opportunities by posting information directly to FedBizOpps via the Internet. Through one portal - FedBizOpps (FBO) - commercial vendors seeking Federal markets for their products and services can search, monitor and retrieve opportunities solicited by the entire Federal contracting community.

3. What is the 8(a) Program?

The 8(a) Business Development program is designed to provide business development assistance and technical assistance to help socially and economically disadvantaged American businesses gain access to the mainstream American economy. The program is named for the section of the Small Business Act that authorizes its policies and procedures.

4. What is the Vendor Identification Program?

The Vendor Identification Program (VIP) assists small businesses by identifying government purchasers for the items they produce for large defense contractors. The program helps the Small Business Administration increase competition by adding qualified sources to bidder lists and creating prime contracting opportunities for small businesses.

Through the Vendor Identification Program, the Small Business Administration matches the past procurement history and acquisition needs of the government and identifies the actual manufacturer of systems, subsystems, components, and spare parts. This expedites the procurement process and facilitates the participation of small businesses as prime contractors.

Eligible Firms
If your company has manufactured weapons system parts or items for a defense contractor, and you are interested in selling directly to the Government, the Small Business Administration's VIP program may benefit your firm.

Getting Started
It's easy and convenient to determine if the Small Business Administration's VIP program can benefit you. Just pick an option below, complete the information in the requested format, and submit it to the VIP Coordinator. In a few weeks you will receive a listing of government offices where your firm's parts are purchased.

Option #1:

E-mail "CAGE" Code and Parts List to the VIP Coordinator

Your Firm's CAGE Code must be entered on the first line of the E-mail and each Part Number must be entered on a separate line below the CAGE Code.

Example:

8Z483
1234567890
0987654321
6019462986

Option #2:
If you prefer, you can send your firm's parts list on a 3 1/2" floppy disk to the VIP Coordinator, in ASCII text format with the fields arranged as shown above.

Mail floppy disks to the following address:

Pro-Net Program Manager
Attn: Oliver Snyder
U.S. Small Business Administration
Office of Government Contracting and Business Development
409 3rd Street, S.W.
Washington, DC 20416
Telephone: (202) 205-7650
oliver.snyder@sba.gov

5. What is a CAGE code?

A Commercial and Government Entity (CAGE) Code is a five (5) position code that identifies companies doing or wishing to do business with the Federal Government. The format of the code is the first and fifth position must be numeric. The second, third and fourth may be any mixture of alpha/numeric excluding I and O. All positions are non-significant. The code is used to support a variety of mechanized systems throughout the government. The code provides for a standardized method of identifying a given facility at a specific location. The code may be used for a Facility Clearance, a Pre-Award survey, automated Bidders Lists, pay processes, source of supply, etc. In some cases, prime contractors may require their sub-contractors to have a CAGE Code also.

To obtain a CAGE code, go to Central Contractor Registration.

6. What is the Certificate of Competency Program?

The Certificate of Competency (COC) program allows a small business to appeal a contracting officer's determination that it is unable to fulfill the requirements of a specific government contract on which it is the apparent low bidder. When the small business applies for a COC, the Small Business Administrationg industrial and financial specialists conduct a detailed review of the firm's capabilities to perform on the contract. If the business demonstrates the ability to perform, the Small Business Administration issues a COC to the contracting officer requiring the award of that specific contract to the small business.

7. What is the 7(j) program?

Section 7(j) of the Small Business Act authorizes SBA to enter into grants, cooperative agreements or contracts, with public or private organizations that can deliver management or technical assistance to eligible individuals and enterprises. This assistance is delivered to 8(a) certified firms, small disadvantaged businesses, businesses operating in areas of high unemployment or low-income or firms owned by low-income individuals.

 

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