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Federal Contracts are Keeping Many California Businesses Alive

It is common knowledge that government contracts are for companies located around Washington DC, because that is where the majority of government business takes place. However, this is a large misconception, because California receives over 11% of government contracting dollars. It makes sense when you consider that 41 military bases, and hundreds of federal agency offices are located in California.

There are hundreds of GSA Contract holding small businesses in California, who put a large marketing investment and focus on the federal government. And their foresight has given them a large advantage over their competitors in a time where many small businesses are folding from lack of work.

It has been calculated that over 400,000 jobs have been created from government contracting in 2009. If 11.3% of federal spending has been in California, then over 45,000 people have remained employed in California by working for federal contractors.

Now is the time for many California businesses to consider finding their way into the federal market. From couriers to staffing companies to electricians to security integrators, there are opportunities in federal contracting. Moreover, the Obama administrations use of recovery funds to finance federal projects is a key strategy to keep Americans Employed.