I understand that there are certain things that are best left to the pros. I know that I can go to a place like Pep Boys to buy some oil & a filter as a way to get out of paying a mechanic for an oil change but I will gladly pay for the security of knowing that the job is being done right.
As a business owner, I receive numerous emails from “service providers” who claim to provide assorted services; I know that we all have to hustle but I’m not quite there yet for some of the services that are being offered. The particular post concerns those folks that have up a shingle as a consultant and claim to assist firms in completing applications for WOSB, EDWOSB, 8(a) and GSA schedules.
I’m going to backtrack a bit to explain the four items that I just mentioned. WOSB & EDWOSB are designations that have been put into place by the US Small Business Administration to create opportunities for small woman owned businesses. The 8(a) program is also under SBA jurisdiction and is another method for small businesses to secure business with the Federal government. The GSA Schedule is a purchasing vehicle put into place by the General Services Administration to streamline procurement for commonly-purchased products & services by Federal Agencies.
A few months ago, I registered my business as a WOSB and an EDWOSB. I will be honest and tell you that the process wasn’t too intuitive or else my business would’ve been registered more than a year earlier. Once I was able to navigate the requirements, I only needed to upload various documents to the SBA General Login which is an online repository for documents. If a firm is currently certified as a minority, woman or disadvantaged business enterprise then it’s pretty likely that the required documents are readily available. I don’t remember what I submitted but I know that my tax returns and personal net worth statement were definitely included. One of the emails that I received included a fee schedule and for a nice sum of $2,800, I could’ve had this group handle my registration…no thanks.
I will be eligible to apply for the 8(a) program in March once I reach the second anniversary of my business. As I mentioned previously, if a firm is registered as a M/W/DBE then there a good chance that the documents that are required for the 8(a) application are already on hand. The 8(a) application process requires uploading the required documents onto the GLS server. One of the consultants is charging $4,000 to prepare my 8(a) application…I don’t think so.
So…if you’re keeping track, if I chose not to do my due diligence and see what required for the WOSB, EDWOSB and 8(a) programs, I could’ve felt obligated to drop close to 6 grand. Sorry buddy, I’m not a member of the Rockefeller clan.
The GSA requires companies who are applying for the GSA Schedule to be in business for at least 2 years so that’s another item that I will be working on. The only cost that companies need to pay is for Open Ratings which is a reference check service…there’s no way to get out of that. There’s a lot of work that goes into preparing a package to become a GSA Schedule holder but at this particular point, I really can’t justify spending thousands of dollars for an outside consultant to prepare my response.
What’s the take-away from this posting? Do you due diligence and see what the real effort is to prepare an application or response.
