In the world of government contracting, timing can often be the crucial difference between securing the contract or scrambling to catch up. As we approach the 4th quarter (“Q4”) of FY23, it’s essential for small businesses to strategize smartly amidst the whirlwind of contracting opportunities.

IDIQ/GWAC: The Art of Distraction

Near the end of every federal fiscal year (September 31), a sizeable Indefinite Delivery, Indefinite Quantity (“IDIQ”) or Government-Wide Acquisition Contract (“GWAC”) opportunity is released right at the beginning of Q4. This strategy, while seemingly beneficial, tends to distract small businesses from other smaller but lucrative opportunities. This year a prime example is the new release of OASIS+ (One Acquisition Solution for Integrated Services – Plus) professional services vehicle.

Let’s clarify, these opportunities are lucrative and certainly not irrelevant. They can indeed lead to substantial contracts in the future. However, these large IDIQs take a long time to award any contracts.

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While you may spend precious time and resources finding partners, drafting proposals, and hoping for that large payout that won’t come for at least a year, you miss out on immediate opportunities year-end award spending that could help stabilize your cash flows and secure your growth.

Primes and Incumbents: The Quiet Winners

While it’s easy to get preoccupied with the monumental IDIQs and GWACs, government agencies are awarding real contracts quickly and quietly, especially in Q4. The beneficiaries of these awards are typically the incumbent contractors and large prime contractors – those who have built trust and reliability over the years. These entities continue to win contracts, further cementing their position in the marketplace while small businesses are left contending for a small piece of the pie that is yet to be baked.

The Call to Action: Balance and Multitasking

So, what can you do in such a scenario? The key lies in effectively balancing priorities. Yes, understand the IDIQ/GWAC proposal, so you can pursue subcontracting opportunities. But don’t chase these at the expense of immediate opportunities, especially under the Simplified Acquisition threshold, and relationship building. It’s a bit like learning to walk, talk, and chew gum at the same time.

Focus on building relationships for real work this year. Maintain and nurture your existing contracting network. Engage with agencies and contracting officials that are awarding contracts here and now, not just those with potential future awards. Identify contracting opportunities that are more immediate and within your capability to deliver successfully. A database like Market Intel provides specific information on who is buying what you sell.

Remember, the decisions on these large IDIQ/GWAC opportunities take a long time. However, building relationships and securing contracts for immediate work creates a sustainable business model. This approach not only maintains your cash flow but also builds a track record that can make your future IDIQ/GWAC proposals even stronger as you grow.

FedBiz Access (“FedBiz”) has an experienced team that works with small businesses and takes the time to get to know your business and ask questions to ensure you have a solid contracting plan. FedBiz is a leading government contracting business development and marketing firm that provides engagement strategy coaching, SAM & DSBS registration, set-aside certification registrations, GSA Schedules, and targeted market research.

FedBiz has over 22 years of experience working with thousands of companies worldwide to help them win over $35.7 billion in awards. From registration to award, FedBiz helps businesses succeed in the government marketplace.

Your Government Registration Level (“GRL”) is your roadmap from registration to award.

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