3 Important Actions to Take Before Pursuing A GSA Schedule
If you are doing business with the federal government, someone may tell you that you “need to get a GSA schedule contract.”
While that may indeed be an excellent move for your business, the fact is that over 50% of contractors fail to meet GSA’s minimum sales requirements of $25,000 annually once they get on schedule, and when this happens, GSA gives them the boot.
If you are considering a GSA contract, here are three things you should do before spending significant time, energy, and financial resources.
- Find out if your company meets the minimum eligibility criteria. According to GSA,
to be eligible for a schedule contract, you must have been in business for two years
and can provide two years of financial statements. Additionally, your firm must also
have measurable past performance.
- If your company is eligible, the next step is to take a class (or two) to determine
if a GSA schedule contract is the right move. You will also have a better understanding
of what you are getting into, along with the work and investment required to market,
sell, and meet GSA's reporting requirements. GSA mandates their "Pathway To Success"
training for all prospective vendors. The best way to find this training is to visit
GSA's Vendor Support Center at https://vsc.gsa.gov/ and click the education link in the upper right-hand corner of the page. You can also
gain no-cost access to Govology training courses through your PTAC.
- After you complete the first two steps, you should research and analyze the GSA Schedules marketplace to answer specific questions, such as:
- Is what I sell procured through GSA or VA (for medical) federal supply schedules?
- If yes, which specific “schedule” does the government predominantly use to purchase what I sell?
- What “special item number” (SIN) within the relevant schedule does the government mostly use to buy what I sell?
- What is the volume of procurement activity (dollars) moving through the SIN on an annual basis?
- Who are the top-selling incumbents within the SIN?
- Are we able to compete against the top sellers when considering price, delivery, offerings, etc.?