Government contracting is a lucrative way for veterans interested in entrepreneurship to grow and develop their own businesses. Government spending has increased dramatically over the last eight years and increased exposure of government programs dedicated to creating opportunities for vetrepreneurs makes government contracting increasingly attractive.

It’s vital for veterans to understand a few simple truths about government contracting to determine if it’s right for their business goals.

1. Government Contracting is HARD WORK!
2. Government Contracting takes TIME!
3. Government Contracting is WORTH IT!

Veterans Know Hard Work

Veterans have never been afraid of HARD WORK and never will be. You have built your career on hard work. The hard work I’m talking about here is both mentally and physically demanding.  You will spend countless hours reading, studying and learning about government contracting and even more hours conducting market research. 

You’ll spend even more hours searching for opportunities that match your business. Once you find what you believe is the perfect opportunity you’ll need to begin putting together your proposal or bid. All these long hours of reading, studying and researching will help drain your mental reserves and start to wear on you physically.

It Never Happens Overnight

Government contracting is by its very nature complicated, bureaucratic and some might say, downright confusing.  The reality is, like anything else, it can be learned. The learning, the researching, the documenting, the doing, the documenting, the reviewing, the documenting, the analyzing, the documenting, the competing, the documenting, the losing, the documenting, the winning and the documenting, all take time. There are no shortcuts.

In fact, most businesses will wait 18 to 24 months or more to win a federal contract. During my military career, I was fortunate enough to work for a number of really great teachers who imparted some great life lessons to me.  One of my teachers taught me that “it is better to have a stubby pencil than to have a long memory any day.” I remember that lesson as if it were yesterday and try to incorporate it into my daily life. Government contracting is a continuous process of learning, growing and helping. 

Worth the Effort

Public Law 106-50 (P.L. 106-50), sets as a goal that 3 percent of the value of all federal contracts and subcontracts shall be awarded to Service-Disabled, Veteran-Owned Small Businesses (SDVOSBs).  While 3 percent may seem small at first glance, it represents a sizeable amount of money.

In fiscal year 2008, that 3 percent represented $6.4 Billion. That’s right, billion, and the bittersweet irony of that number is that it only represents half of the actual goal. That’s right; the amount that should have been awarded to vetrepreneurs was actually $12.8 Billion. When we start to look at other potential contracting opportunities at the state and local levels that could go to the Veteran Small Business community, some put that number well north of $33 Billion! 

Understanding these simple truths should make it clear if you want to pursue government contracting. In the next issue we’ll walk you through the process to get you started.

To read more articles on government contracting visit www.navoba.com

TIMOTHY WOODS is a retired Army officer and service-disabled veteran.  Tim is also a Certified Business Development Specialist in Government Contracting at the North Texas Small Business Development Center with the Dallas County Community College District.  To learn more visit www.facebook.com/VeteransBusinessResources.

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