Should you sell to the US Federal Government?

Should you sell to the US Federal Government?
The U.S. Federal Government is the world’s largest consumer. Read that again.

For the current FY (2023) the government has a budget of over $181 billion dollars obligated towards “Acquisition of Assets” and nearly $600 billion dollars obligated to “Contractual Services and Supplies.”

The Feds buy EVERYTHING from pencils to multi-year base support contracts.

Checkout the reference links at the end for more insights into US Federal spending...

If you aren’t selling your products or services to the US Federal government – ask yourself “why?”

Let’s address some common reasons and myths why many manufacturers or companies do not actively offer their products or services to US Federal buyers…

1. Myth 1: The Government doesn’t buy what I make or sell. In our experience, we have sold everything from office supplies (pens, notepads, etc) to highly customized complete systems (such as generators, medical equipment, etc). It is actually very likely that the government buys or needs your products. Just ask us if there’s a market for your product and we will give you an assessment!
2. Myth 2: Government sales are a race to the bottom dollar and the government only buys lower quality products. Certainly – the government is and should be fiscally responsible. Through various procurement methods – the government will always aim to purchase the lowest priced solution to their need. However, in many cases where products have key technological specifications, safety features, productivity advantages, etc – the government will pay fair market value for higher quality technology over inferior “cheaper quality” products. We have completed many sales against competing distributors and manufacturers where our product was higher priced BUT it gave the government the best product for certain critical specifications.
   
   If you are unsure of your pricing and quality differential versus other products in the Federal sector – let us take a look and assess your market!
   
   
3. Myth 3: The Government only buys products made in the USA. This is incorrect. There certainly are some procurements which give purchasing advantage to US-made products, but for the most part – the main guideline to adhere to called Trade Act Authorization (TAA) Compliance. Basically, if your product’s country of origin is not “TAA Approved” then you will not be eligible to the US Federal government.
   
   If you are unsure if your product is “TAA Compliant” – let us help you assess your products!
   
   
4. Myth 4: Federal procurement and contracts are very difficult to understand. This myth is a tough one because for most organizations – it is true. For many of our current suppliers and trade partners, the answer to this myth is “true.” And that is why we serve as the value-add “translation layer” between the Federal buyer and our manufacturers.
   
   To us, Federal Acquisition Regulation (FAR), and the terms which we sell to the US Federal government are very easy to understand because we deal with them every day. As the prime vendor and distributor for many of our busy manufacturers – we serve as a layer of expertise, protection, and business development to the US Federal Market. Our goal is always to “just bring our manufacturer partners purchase orders.”
   
   If you do not have the expertise, time, or resources in your company to handle Federal sales but you desire to sell to the government – then consider letting Native Instinct handle your Federal sales.

In conclusion – the answer to the title question of this post (“Should you sell to the US Federal Government?”) is categorically YES. However, if you have concerns about where to start and how to execute a Federal sales plan – let us explore a relationship where Native Instinct handles your Federal sales through our existing robust customer network, multiple federal supply schedules, and knowledgeable sales team.

Contact us today at [email protected] .

USA Spending: ​https://www.usaspending.gov/explorer/object_class