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Many SDVOSB firms would benefit from obtaining a GSA Schedule (or by getting 8(a) certified simultaneously, a cost saving endeavor). However, only a small portion have taken the next step in federal contracting by moving forward with a GSA Schedule Contract.
Argument for a GSA Schedule
There are currently over 22,000 SDVOSB Verified firms. Of those firms, 75% are currently eligible for a GSA Schedule, having over two years of selling their services and/or products in the commercial marketplace. In reality, only around 1,900 (or 10%) of firms have obtained a GSA Schedule Contract. This is a business development mistake because the average SDVOSB firm with a GSA Schedule has $1.4MM per year in federal sales.
Below is the most current Government Spend Data broken down by Industry:
|
Name |
SDVOSB Vendors |
SDVOSB Sales |
SDVOSB Avg. Sales |
|
Information Technology Equipment and Software Services |
526 |
738,700,000 |
1,404,373 |
|
Scientific Equipment and Services |
522 |
804,600,000 |
1,541,379 |
|
The Professional Services Schedule |
450 |
667,300,000 |
1,482,889 |
|
Total Solutions for Law Enforcement |
115 |
149,000,000 |
1,295,652 |
|
Facilities Maintenance and Management |
66 |
63,900,000 |
968,182 |
|
Temporary Administrative and Professional Staffing |
31 |
20,500,000 |
661,290 |
|
Buildings and Building Materials |
31 |
8,800,000 |
283,871 |
|
Imaging and Document Solutions |
30 |
16,600,000 |
553,333 |
|
Furniture |
28 |
43,900,000 |
1,567,857 |
|
Office Products and Supplies |
25 |
17,100,000 |
684,000 |
|
Sports, Promotional, Outdoor, Recreation |
25 |
9,500,000 |
380,000 |
|
Food Service and Hospitality |
19 |
22,400,000 |
1,178,947 |
|
Travel Services |
10 |
116,900,000 |
11,690,000 |
|
Transportation |
7 |
8,600,000 |
1,228,571 |
|
Furnishing and Floor Coverings |
4 |
400,000 |
100,000 |
|
Photographic Equipment |
3 |
300,000 |
100,000 |
|
Publication Media |
3 |
2,000,000 |
666,667 |
|
Total/Average |
1,895 |
2,690,500,000 |
1,419,789 |
Advice for SDVOSB Firms not Currently Eligible for GSA
For SDVOSB firms that have not been in business for over two years and are looking to obtain contracts to help them work towards a GSA Schedule, contracting with the VA is one of the best places to start. Recent adoption of federal laws requires the VA to place SDVOSB firms first for smaller procurement and as a result, VA spending with SDVOSB firms now accounts for 20% of all SDVOSB federal procurement dollars at $3.7B. You can see the increase in spending over the past three years in the following table.
|
Year |
VA - SDVOSB Spending in Billions |
|
2018 |
$3.7B |
|
2017 |
$2.8B |
|
2016 |
$2.2B |
If you would like to go over the qualifications or advantages for an SDVOSB Certification, getting on GSA Schedule and/or the 8(a) Certification, I always recommend contacting an industry expert such as ez8a or Advance GSA. They do not charge for an initial consultation.
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