View Full Version : Government Contracts
09-20-2008, 09:13 PM
Anyone know how to even start on getting post offices or other government buildings? im sure its different for each state but im in Kentucky
09-20-2008, 09:40 PM
Federal contracts are tough to get unless you are a minority, it will help if your business is in your wife's name. I used to sub for a guy who got tons of federal contracts. He didn't even own any equipment, his wife was Hispanic, so he had the business in her name, he would bid on various federal contracts, with her double minority status, they would get a lot, he would just sub them out.
The work is OK, for the money you can get, there are a bunch of silly hoops to jump through, and the government ALWAYS paid late.
09-21-2008, 06:44 PM
Check with your local county contracts board. Find out when the bids are up for re-bidding.
Be very careful some contracts require bonding (anything over 100K) and insurance over 5mil.
They require you to have workman's comp.
There is wage mimimum as to what you can pay your employees.
THEY CHECK THE LEGAL STATUS OF ALL EMPLOYEES
you have to have a line of credit. Because once you get a contract and it will be a nice size. (like 150K) You have to front that contract with your money.
Find out if they pay net 30, net 60 or net 90. That means after you completed a task you get paid in the amount of those days.
I had several large contracts and almost went out of business, because I had men on the job at least 15 employees and the government took their time in paying and I didn't understand. It was hard.
I couldn't understand that if i had a million dollar in contracts where is the money going?
I was paying everyone out of my monthly cashflow. No reserves or line of credit. Everyone got paid except me.
Then when the payments from the govt. finally came i was soo far behind it was gone the next day. This was very stressful.
stick to low govt. Bids. Build up your reserves and cashflow and keep overhead DOWN
then go after the big stuff. Minority or Not. You can get it.
09-23-2008, 01:05 AM
The Kennedy Space Center just went for 13.2 million last week.....Google PTAC for a start.... There is federal procurement assistance out there, funded by the Department of Defense.
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