Tip: Never claim that another company has breached the rules of agreement and affiliation or the rules of membership in the SBA simply because that company does not have the experience of the company and depends heavily on the large subcontractor. See SIZE APPEAL OF Reliable Contracting Group. The Small Business Administration (« SBA ») decides whether the parties to a team agreement are considered « linked. » When the parties are considered « linked, » the SBA combines its revenues and staff to decide whether related businesses are small for procurement purposes. The government regularly presents contracts exclusively for small businesses to provide opportunities to compete with small businesses; in these cases, large companies are excluded from the tendering process. However, small businesses, because of their size and resources, are sometimes unable to compete alone for the contract. This potential problem is that team agreements come into play for small businesses trying to increase their participation in public procurement. The rules of the Small Business Administration (SBA) and FAR offer small entrepreneurs several opportunities to set up a team agreement that allows them to be competitive from the start for the contract. These different opportunities to partner with other small businesses, or even large companies, include opportunities to collaborate with other small businesses, or even larger ones. The most common agreements are joint ventures and team agreements. Team agreements can be a valuable tool for small businesses, allowing companies to pool resources, management skills and technical knowledge. All of these elements contribute to making a small business more competitive in the tendering process. However, if this is not the case, the application of team agreements can have a negative impact on their ability to meet the size standards of land freeze contracts. Don`t miss Richard Arnholt and Todd Overman at the 2018 GovCon Florida Summit.
Their presentation will provide strategic directions to help small businesses maximize their position in team relationships. The 2018 GovCon Summit in Florida will take place from February 28 to March 1 at the Ballroom on Church Street in Orlando, Florida. For more information and registration, please visit the Solvability website. In addition to SUB-Net, the following resources provide advice for creating team agreements and subcontractors: your small business can assign part of a decommissioning contract to another company – even a large company. However, your subcontracting team must comply with the restrictions imposed by the FAR to subcontracting, which limit the scope of the work you are entitled to contract. In addition, your team agreement must not violate the SBA`s so-called affiliation rule to subcontracting, or your small business and its subcontractor are considered companies bound for scale purposes. As a small contractor of the state, cooperation with other companies may be essential to successfully compete for and execute federal government orders. State Contracts Joint venture agreements and team agreements can increase your competitiveness. But they have to be done correctly, or you could lose your contract because of a successful SBA size protest – or worse. The application of these equipment agreements poses no potential risk to contractors. False association agreements can lead to violations of SBA affiliation rules – which the SBA uses to analyze the relationship between a party fighting for a dismantling contract for small businesses and its partners, to determine whether they meet the applicable size requirements for procurement.