This tip is from an article published in our monthly KYPTAC Newsletter. If you have any questions about this topic, please contact your KYPTAC Consultant. Not a client? Sign up here.
As we enter the last month of the federal fiscal year, federal agencies are spending down their remaining dollars. For September, Tip Tuesday will focus on practical tips to help you end Federal FY21 on a positive note.
Go small. As agencies look to spend down their remaining dollars quickly, micro-purchases using government credit cards are often their go-to strategy. Do you know what the micro-purchase threshold is for the product or service you offer? If you can, craft an end-of-year special that falls under the micro-purchase threshold. Small purchases are also a great way to get your foot in the door, make yourself known, and position yourself for larger opportunities in the future.
Don't expect to get a multi-million-dollar contract that hasn't been previously competed if you are new to the government marketplace (unless you can offer the government a sole source or quick purchase option).
If you are an 8(a) firm and have established communication with your product or service end-users at agencies you want to do business with, reaching out now for an end-of-year check-in may be a good option. Also, the sole source aspect of the 8(a) program provides an expedited pathway for government buyers to make larger acquisitions in the open market because they can skip the competitive phase.