Posted on 06/30/2009 1:10:21 PM PDT by Corinthian Warrior
I want to start a defense contracting company. I have expertise in education and training, in addition, I am a former US Marine and a former magazine editor. I want to help the armed forces produce high quality curriculums for both officers and enlisted.
I have a few questions about going about this.
A) Do I need security clearance just to place a bid to do contract work with the military?
B) Some companies check out your finances to get a picture of your competence as a potential business manager. I know that they check your finances for the security clearance, correct? Will the security clearance be confidential or will they give this information to the officers in the contracting department? I presently make very little money. I had an income of $19,350 for 2008; my total debts are about $38,000 college loans, car, and credit cards. This should be seen as something positive, as my lack of money is motivation to prove myself worthy of a better lifestyle through working hard for the military. Will they be snarky about this?
C) Since the military will be my first client, can I list my business address as being the same as my home address? But there is a complication. I have recently moved in with my brother so that I can live rent free for a few months to pay down some of my debts. Will they be snarky about that too?
Once you've done all of that prep work, all that it takes is an earmark or two and you're in business...
You will need to register with the Central Contractor Registry (CCR).
You will need to become intimately familiar with the Federal Acquisition Regulation. (It is very intimidating at first, but it's not all that bad once you start working on it a bit)
A couple of other handy links:
Serious suggestion, though. If you are just starting out, try to find a prime who would be willing to mentor you as a small business. Yes, that exists. The other thing is if you can secure some small consulting contracts for a prime contractor (working on a 1099 basis). That will help ease you in on the defense contractor business and will help establish some past performances as a company (which will be necessary if you want to go after some larger contracts later on in your contracting life).
The other thing: incorporate. Check with SBA, but I think if you can come up with a company with shareholders that are native American, female, veteran (preferably disabled), and have your headquarters in a HUBZone (historically underutilized business zone), you will be infinitely more desirable to utilize.
Hope the above helps. Good luck to you.
Do something you love and you’ll never work a day in your life.
Gag
I want to join you
I am a computer software engineer. I can build computer systems better than anyone I know.
I have SEEN how the government get screwed by big vendors
I saw one who charged $250,000 for an XML interface that simply took data from one table and put it into another.
I did the same thing in one hour by hand DURING the meeting they called to discuss it
The still got their $250,000 “because there is no return policy in place” in government spending
Additional advice...
Since you worked in that area when you were in the Armed Forces then you had to deal with some of the subcontractors that supported your operation.
Apply for a job with them. Who knows the needs of the customer (your former employer) than you?
I’d bet you still know the names and companies of those you worked with.
Seriously, there's money to be made and even here in the wild west Texas Hill country, there aren't nearly enough gun stores.
Based on my experience:
No, unless it is a requirement.
Probably.
No.
Your results may vary. Have you considered being a subcontractor until you build up your resume? Good way to learn the ropes and get your foot in the door.
Follow the advice regarding incorporation (LLC).
If 8A, all the better, you simply can’t lose.
Become a sub to a major defense contractor.
Seriously, contact Boeing, Lockheed Martin, Northrop Grumman, etc, as they sub-contract for everything they do (they are what is called a “lead system integrator—LSI).
Boeing Training Systems and Services doesn’t “do” what you want to do, but they get contracts to do that all the time—in support of larger contracts. So, they sub-contract what they need-—you.
You should really work for a contractor first. You will learn how things are run and you can make contacts in the field. My brother just left contracting and he is constantly being offered jobs state side, lots of hookups from being in Iraq. Triple Canopy is hiring.
Change your last name to Raytheon.
First of all, have you identified that product/service as one the military needs?
Until DoD recognizes a need they won't put out any requests for bids, hence no ontracts.
Others have suggested first hiring on with another contractor to learn the ropes and I'd agree with that advice.
FWIW, I work for a defence contractor and support our bid process so I do get to see the inside of the process.
Whether you need a security clearance or not, and at what level, depends on the contracts on which you're bidding. Clearances aren't cheap to get on a private basis. Again, it argues allowing an employer to pay for it and working for that employer long enough to justify the expense.
In short, my advice is to find a contractor who will show you the ropes and work for them. Starting out with no resume, no clearance, no contacts, no capital, and no knowledge of the industry is doing it the hardest possible way. IMHO, of course.
If he did that, he'd have to change his party affiliation as well.
SBA SubNet (Search engine for subcontracting opportunities with established Government Contractors)
Office of Small Business Development Centers Entrepreneurial Development
Procurement Technical Assistance Centers (PTACs)
National Association of Small Business Contractors (Networking is very important)
I wish you the best of luck CW!
Thank you, everyone. Your collective advice is invaluable. I will look into to all your suggestions.
We are starting up a defense contracting company. I have over 17+ years as an Army / Navy Civillian (GS-14)in Acquisition Logisitcs. I would like to start a training program to teach acquisition logistics to those wanting to become government contractors. As you may know, DAU Acquisition classes are available only to DoD Government Employees.
In addition Marston Moor is also engaging in custom design and development of micro-electronic mechanical sensor development (MEMS) which is one level above nanotechnology.
Contact me at martinlozano@marstonmoor.net if you are interested.
Semper Fi!
Martin Lozano
Partner-Marston Moor Global LLC
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