Utilizing the Federal GSA Process in Your Business

Here is a basic summary of the 5 benefits. Links will help you locate some content to fill the post.

1. Increasing Federal GSA Sales – with GSA systems like GSA eBuy & GSA Advantage. 
2. Solving the sales problem – Federal GSA Buyers can now find you
3. Cutting the Red Tape – getting a GSA Contract simplifies the complex federal purchasing process 
4. Compliance is built into the GSA Federal Contract – Less frustration and worry.
5. Open Market and even Commercial sales may see an increase – Getting GSA Certified will present your company as a trusted source. 

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When it comes to increasing sales, getting federal contracts could be an excellent step. Through Federal GSA Contracts, it is possible for your business to achieve high-dollar and longer term contracts. Many of these can be worth upwards of $100,000 per contract and upwards of several million per year (source). That’s a large amount for any small business, and it’s a reason so many are seeking out federal contracts. By getting GSA certified it is easier for you to do just that (source).

What is a Federal GSA Contract?

The GSA is the General Services Administration, which is responsible for managing and supporting federal agencies purchasing procedures. In fact, they’re responsible for procurement of billions of dollars within the United States. This contract vehicle, is open to a large range of businesses provided they meet the basic requirements (source).

By using GSA it is much easier for those in the federal government to execute contracts. It is also far simpler for those contractors to locate and secure lucrative contracts with the government.

Why You Need to Use Federal GSA

Overall, there are several different reasons that you should be using federal GSA. We’ll take a look at the top five benefits that users see when utilizing this process and the different platforms available.

1. Increasing Federal GSA Sales

Using GSA systems like eBuy and GSA Advantage helps to increase the sales for federal GSA for several reasons. 

First, federal buyers can purchase directly from GSA Advantage, like any eCommerce site. There’s no need to post anything publicly because it can be found more quickly through the GSA Advantage system. Contractors can easily be found here to place a bid.

In fiscal year 2018 there were a total of over $10 billion in products that went through some form of GSA Schedules. A large portion of that went through the GSA Advantage system, with the vast majority in Schedule 70. 

With eBuy government buyers are able to request any information that they need and use the GSA Multiple Award Schedule or GSA Technology Contracts (source). Quotes can be found for anything, including:

• Services
• Large quantity purchases
• Big ticket items
• Purchases with complex requirements

(source)

2. Solving the Sales Problem – Make it Easier for Federal GSA Buyers to Locate You

By using the GSA eLibrary it’s possible for those who are selling products to find buyers. This system provides contract award information regarding several different sectors. These include:

• GSA Schedules
• Department of Veterans Affairs Schedules
• Technology Contracts

(source)

GSA eLibrary provides all of the potential information needed. These can be found by searching specific:

• Keywords
•  Contract numbers
• Contractor/manufacturer names
• Schedule names/numbers
• Category names/numbers
• Technology contract name/number
• Alphabetical listing

(source)

This system offers a great deal of information on millions of different products and services, and thousands of GSA Contractors. It also offers the most up-to-date schedule program changes (source). This allows everyone to stay informed about what’s happening within the field. It also has links to each of the different online shopping options.

3. Cutting the Red Tape – Simplify the Federal Purchasing Process with a GSA Contract

The federal purchasing process is extensive. With GSA, however, this can be greatly simplified. GSA makes it easier for small businesses to get these contracts and also for federal buyers to purchase them. By removing the requirement for public posting, this process speeds everything up. As a contractor it allows for:

• Improved access to GSA marketplaces
• Validation of your company for federal buyers
• Simplification of purchasing

(source)

There are many requirements involved in becoming eligible for GSA schedule programs. These requirements ensure only high quality professionals are able to bid for contracts. It also ensures that all contractors are capable of carrying out the contracts they are hired for.

Primarily, these contracts require:

• 2 years’ experience in business
• Healthy financial statements
• Ability to execute the category
• TAA compliance
• Evidence of past performance

(source)

4. Compliance is Built into the GSA Federal Contract – You’ll Have Less Frustration and Worry

When the Federal GSA contract is formed it requires specific compliance from both parties. The contractor is required to abide by certain rules and regulations, as is the government institution that initiates the contract. These will be agreed to and set out prior to the contract being finalized (source). Compliance also refers to some specific aspects related to your sales:

• Minimum sales of $25,000 per year
• Price reductions versus standard commercial practices
• TAA compliance related to country of origin for products
• Wage determinations for SCA or Davis Bacon wages

(source)

There are also several other potential compliance regulations that can and will be made throughout the process. Additional regulations can always be updated. It is the responsibility of the contractor to ensure that they have met all compliance standards.

5. Open Market and Commercial Sales May See An Increase – Getting GSA Certified Will Present Your Company as a Trusted Source

When forming contracts with the federal government it is not required that you get GSA certified at all. Rather, this is seen as a bonus for some sources. For example, being GSA certified can make you look more trusted. This can encourage additional contracts through the federal government. With those contracts frequently adding up to over $3 million annually, this is a great incentive for any small business (source).

You will also see less competition within bids, which improves your chances of winning Federal GSA contracts (source). This Contract lasts for a span of 20 years and brings a level of legitimacy to your company (source).

Summary

• Federal contracts can be worth upwards of $3 million annually
• GSA certification is not required but improves your chances of getting a contract
• GSA schedules make it easier and less competitive to get contracts
• Searching for contracts is easier with GSA Advantage and eBuy
• Compliance standards pertain to sales, country of origin and other factors
• GSA makes it easier for contractors and federal organizations to form contracts