Bidding Government Contracts

bcl

Member
Location
Garden Ridge, TX
Occupation
Electrician (Owner/ Operator)
I was recently contacted by a GC bidding a bridge repair on a military base. The bridge repair is significant but the electrical portion involves swapping out some light fixtures and strapping a couple conduits.

I'm inclined to turn the project away because of the red tape, submittals required, etc. I'm a small contractor and don't really have the means to spend a bunch of time doing a design/ build for such a tiny project. I think the GC is just desperate because they can't find an electrician. The only reason I'm considering it is the potential for future projects.

Does anyone here have experience bidding these things? The up-front paperwork alone is enough to make you want to walk away. Is it worth it just to get your foot in the door? Seems like I would spend more time bidding the project (at least this first time around) than I would actually doing the project. Is this why they are having such a difficult time finding an electrician?

Don't want to get in over my head, but I also don't want to turn away a good opportunity. Thoughts?
 

d0nut

Senior Member
Location
Omaha, NE
You will lose money on your first government contract as everything will take at least three times as long as it would in the private sector. If you are looking at getting into more government contracting in the future, starting with a small, simple project just to see what is required is a great idea. Don't think of all the money and time you will lose on the project as waste. Think of it as tuition to learn how to do government projects.
 

bcl

Member
Location
Garden Ridge, TX
Occupation
Electrician (Owner/ Operator)
You will lose money on your first government contract as everything will take at least three times as long as it would in the private sector. If you are looking at getting into more government contracting in the future, starting with a small, simple project just to see what is required is a great idea. Don't think of all the money and time you will lose on the project as waste. Think of it as tuition to learn how to do government projects.
Good advice, thanks. Knowing if I have a desire to do government work is a question no one can answer but me, but in the big picture, there must be a payoff in learning how to do these projects. Otherwise no one would bother with it. You'd say the tuition payment on a small project is worth it? (Generally speaking, of course).
 

d0nut

Senior Member
Location
Omaha, NE
Government work is a whole different game than what you will have done if you only worked in the private sector, with it's own set of rules, time frame, and language. Once you learn the way the particular government entity works (and yes, they are all a little different), you can make some money. If you are only looking to dabble in it, it isn't worth it. If your company qualifies for some of the set-aside contracts, it makes it easier to get work.

People do government work because you can make good money when you understand how to play the game and the government pays promptly.
 
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