JoMel Consulting, Inc.    

 

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9609 Jimmark Circle, Waco, TX 76712 Phone: (254)772-0446 Fax: (866) 773-7142   Email

Your 8(a) status can give your business an advantage in selling your products to the government.

Let’s define an 8(a) company:

• Must be a small business as defined by the SBA, as determined by their NAICS code.
• 51% must be owned by a US citizen.
• The net worth of the business owner cannot exceed $250,000, excluding the business equity and the owner’s home.
• Must be of good moral standing (no felony convictions.)
• The business must have been in business for at least 2 years (waivers are available for one year).
• The preceding 12 months’ revenue must be at least $150,000.

The government is committed to buying from small disadvantaged 8(a) companies. Agencies set goals to help small, disadvantaged, women-owned, Veteran-owned, and HUBZone businesses. Each agency must report on how well they accomplish these goals for awarding contracts and subcontracting with small businesses. Some use “ set-asides” on certain contracts that reserve sales to 8(a) or other small businesses.

Blanket Purchase Agreements are typically given only to multi-billion dollar companies and are not common. That sounds like only large companies are going to have an advantage with state agencies.

WRONG!

Remember, 8(a) companies are the exception to the rule. They are able to receive a contract with a 90 million dollar ceiling. Each single purchase order can be up to 3 million dollars for services, or 5 million dollars for manufactured goods without bidding.

The 8(a) program is designed for a total of nine years, unless your sales are above the threshold over a three-year period, as determined by your NAICS codes.

Every year hundreds of 8(a) companies are “promoted” out of the 8(a) program. Many are “promoted” out before the nine year period, as they were so successful their sales exceeded the allocated sales ceiling, as determined by their NAICS code.

JoMel Consulting wants to help with sales and marketing for 8(a) companies with whom they have an agreement. JoMel is prepared to use the unique strategic sales and marketing advantage 8(a) companies have.
JoMel has the resources, the experience, and the connections to make sure that the first year is successful, as well as the remaining eight years of your 8(a) program.