In an article published in Federal Computer Week, October, 2005, Michael Hardy reports that a report card was released showing federal agencies missed their goals for small-business contracts. While the marketplace grew three percent in fiscal year 2004, contracts to small businesses dropped by 31 percent compared to the previous year.

"This year, DOD, the EPA and the Treasury Department got Ds, the Justice and State Departments got D-minuses, and the Education Department, NASA, the Office of Personnel Management Energy and USAID earned Fs. The highest grades -- two Bs and three B-minuses - went to DHS, Interior, Transportation, Agriculture and Veterans Affairs departments," states the article.

According to an October 20, 2005 article in the Washington Post,"Because of a loophole in federal regulations, a company can be counted as a small business if it was once small, even if it is not now, raising questions about statistics the government has been citing to defend itself from charges that it has favored big companies in the massive Hurricane Katrina cleanup."

The Post's article states that AshBritt Inc. and IAP Worldwide Services have won major multi-million dollar contracts with the Army Corps of Engineers in the recent Gulf Coast recovery. Because they were small when they won their first contracts with the Corps of Engineers, the Corps still considers them small businesses. The authors report that a study last year for the SBA discovered $2 billion dollars in contracts were awarded to businesses in 2002 which described themselves as "small businesses" and were not small businesses.

Eileen's Take on the Situation:

As a small business that also qualifies for other government classifications such as disadvantaged/8(a), woman-owned, veteran-owned, disabled veteran-owned, HUBZone, you need to look at yourself straight in the mirror and tell yourself the truth about government contracting - the low hanging fruit has already been picked by the primes, the insiders, the incumbents and the trusted. Now, let go of the anger and frustration and learn how to play the game in government contracting. You have a choice:

1. Watch that tree grow and sit there expecting it to bend over and pick a piece of fruit off itself and offer it to you on a silver platter (which sounds just as ridiculous as expecting the government to hand over a million dollar contract just for being a small business).

2. Climb to the top of the tree, enjoy the view and fill up your basket and throw the overflow down to your partners.

How can your business make it to the top?

Hire a "Relentless Climber" - Do you have one of those sales people whose persistence, energy and enthusiasm are never ending? Are they motivated by a challenge and willing to do whatever it takes to win the business? Do they know every aspect of your business and could project manage on the fly? Will this person be willing to go out on "a limb" for your company? Give them a raise (or a piece of the fruit) and make them your national federal sales manager. Your Relentless Climber needs a few supplements to get to the top - a travel budget to find the fruit, and a safety net (your moral support) if they fall, so they can get right back up and start climbing again. Remember when you used to climb trees as a kid? The second time up the tree is easier because you know the short cuts and the stronger limbs. Don't fire your "climber" if they fall a few times. They will learn (as your company will learn) from their mistakes.

Buy or Build "The Ladder" - Purchase a list, a roadmap or send them to a class on doing business with the government. In doing so, you will have provided your salesperson with the tools to climb and make an educated decision on the fruit that's ripe to pick and the fruit that's old and rotten. Without the tools, your climber might not be able to reach the tree's first limb or they'll pick a bad piece of fruit (thereby wasting time). Like the tree, the federal government has over 30 million web pages or "leaves" and you have to turn over a lot of leaves to find the opportunity. Why not use a database or a roadmap or someone else's experience to get you in front of the ripe fruit now when the "pickings good?" The government offers classes but it realistically doesn't know how to climb its own tree. Government instructors will only show you the low hanging fruit that's already been picked. Take a class or get a map from a fellow "climber" who has been to the top time and ti me again . Use their map and their tools to speed up the process.

Fill "The Tool Belt" - Sometimes the fruit is tough to pull off the tree because the stem (the paperwork) is red-taped to the tree. A GSA schedule, a MAS contract, a GWAC, an IDIQ, or a BPA Agreement -these are all tools your climber can use to "close the deal" or "cut the red tape." A GSA schedule will allow your climber to pick a bushel of opportunities quickly. The GSA schedule makes it easy for every limb (or agency) to give you the opportunity. By using a GSA Schedule to pick your fruit, it also acts as a "pruning tool" creating a nurturing environment for the limb (or agency) to make decisions and grow with little effort. Then the limb (or agency) will bear fruit just for you for years to come.

The "fruit of your labor" will ripen quickly when you have "the Relentless Climber," "the Ladder" and "the Tool Belt." Don't wait until the next harvest. Start climbing today.

Good luck and I'll see you at the top!