THE REALITY BEHIND SBA SUBNET
The SBA SubNet Subcontracting network was brought to my attention by some of my students. They were asking if this network is a promising avenue for breaking their way into federal government contracting.
Is the SBA subcontracting website worth your time? Let’s dive deep and discover the truth behind the SBA SubNet.
WHY DO LARGE COMPANIES OFFER SUBCONTRACTING OPPORTUNITIES
According to FAR Part 19 Subpart 19.7 Section 19.704 in acquisition.gov, large companies or prime contractors must create subcontracting plans and offer subcontracting opportunities. Thus, the government literally obligates them to provide opportunities.
An article, SBA Clarifies Subcontracting Plan Rules, published last year, talked about the changes or limitations made by the SBA concerning numerous aspects of small business contracting rules.
If the government had resorted to emphasizing the rules already set in place, It shows that many companies were failing to follow them.
Prime contractors were reported to have turned in subcontracting plan reports late, not paid small business subcontractors on time, did not designate an employee monitor, not maintained records of compliance, and not done market research.
Although it’s great that the SBA is taking action against these types of behavior, the SBA had already done this in 2013, which means this is a recurring problem.
When I had Angela Terry, SBA Subcontracting network program manager, on my podcast, she informed me of some interesting things. She said that the SBA had not put a lot of effort into their website.
The SBA has done many great things for the small business community, but they fall short in certain areas.
CONTRACTORS ON THE SBA SUBNET WEBSITE
There have been many instances wherein large contractors have said that their subcontracting plan is not public information. Instead, they want to keep it to themselves.
Most, if not all, of the companies found on the SBA SubNet website, have not met their subcontracting plans. Consequently, these contractors are required to post subcontracting opportunities on the website for not complying with the rules.
Is that somebody you want to do business with? Probably not. I don’t want you to get caught up in the idea that people on the SubNet website genuinely want to help small businesses because that is not the case.
So, where does that leave us? The government has so many good ways that you can market yourself. I, personally, just don’t think that the SBA SubNet website is one of them.
PATH OF LEAST RESISTANCE
I know how difficult it is when you’re first starting, and you’re still exploring these different avenues for opportunities.
You then read from an official government website that they have these programs in place for small businesses. Because you don’t know a lot, you trust that these programs offer you the best possible opportunities for your company, but they don’t.
If I could save one of you from the pain and suffering that I had to endure and go through when growing my business, then that’s what I want to do.
I want to share with you the path of least resistance. We have limited time and resources, so I want to help you find the way that can give you the most, in terms of opportunity, for yourself and your company.
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To learn more about the topic above, check these resources below:
Is the SBA Subcontracting website worth time and energy?
028: Angela Terry – SBA Subcontracting Program Manager