Typically, those beginning their Government contracts journey find out (sometimes too late!) they are including unallowable costs in their accounting of costs. They are not separating them as they need to do. It is critical that all Government contractors split out their unallowable costs into distinctly identifiable accounts. How do you treat unallowable costs in [...]
Many costs of doing business are valid in the commercial environment, but for Government contracts, they are expressly unallowable. If you advertise for your business, spend money on alcohol during your marketing efforts, or pay interest on debts, you will not be able to seek reimbursement under Government contracts to pay for those costs. Most [...]
Pricing strategy must begin with your organization’s overall business plan and company philosophy. How you dissect the business plan and segment that plan into specific opportunity data elements will spell the difference between knowledge and wisdom about the bid or ignorance and shooting-from-the-hip type pricing. Without appropriate and fact-filled data, your pricing will be unfocused [...]
When most people think of winning Federal Government work that is a low price technically acceptable (LPTA) bid, they almost instantly think they will lose money. Nothing could be further from the truth. There are many pricing strategies that can be exercised to, not only make a LPTA pricing win, but also make a decent [...]
