How to start selling to the government
State Leads
As the year winds down and companies begin planning for 2014 revenues, some may consider selling to government. That is a good thing ... and without doubt, more firms should decide to pursue this marketplace. It represents more than a billion-dollar sector just in Texas alone.
One of the easiest and quickest ways to get started selling to government is to get on what is known as a term contract. These contracting vehicles allow public officials to purchase products and services without going through a formal procurement process. It is too difficult to get pre-selected for a term contract, but the place to begin is by taking a look at current and active term contracts with cities, counties, school districts, agencies and special districts nearby.
Cities, counties and state agencies purchase thousands of products and services each month. And, when a governmental entity makes a purchase, it is usually large. Purchasers like to buy off term contracts because the process is quick and efficient. Vendors like the process, too, because once their products and services are vetted, they do not have to compete again. Term contracts are important in the overall process of selling to government. The city of San Antonio, for instance, manages approximately 250 term contracts.
Term contracts cover products and services that governments need on a continuing basis and are typically good for one year. Extensions, however, are easy to come by, so contracts tend to last for a number of years. A listing of contract categories would be extensive because it is hard to think of something governmental entities don’t purchase. However, here are a few of the major categories:
