7 Ways to Get Federal Contracts

Contracting with local, state, or federal government agencies can be lucrative for small companies. Particularly valuable in uncertain economic times, government contracts can provide you with stable customers, prompt payment, and—often—a pipeline of repeat business. Some common tips for getting federal contracts may include:

Find a Counselor. They can help you break into the federal contracting business, and usually their services are free.

Be Proactive. Don’t wait for the government to come to you, because they never will. Know where to search for government contracts and bid for them. You can use databases to research contracts up for bid.

Know Your Stuff. Knowing the ins and outs of your own business and knowing your strengths will help set you apart from your competitors. You should know your competitors too, and how to reach overhead to grab attention. Know all the paperwork. Don’t lose bids because you forgot to sign a page or didn’t fax the right requests. You should always be familiar with any administrative paperwork you are handling so that you win your contracts, have everything documented correctly, and get paid for the work you do.

Network and Build Relationships. It certainly helps to know the right people–who to ask for more information, where to get insider information, who to track down when something goes wrong. Networking with the right people can be strategic for your business and help you win more contracts, but building relationships will also help improve your business reputation. Having recommendations from specific people can boost your credibility and visibility. Beware, though, building relationships with the wrong people can be detrimental.

This quick video reveals EXACTLY the ways Doug Reitmeyer used these tips to build his own empire to bid and negotiate more than 1,000 federal contracts, over $1 Billion worth of them.
If you are serious about profitable growth, pick up the phone and call Doug at 512-750-2677.  Ask how you can get your fair share of this $300 Billion/year market. He’s in the business of helping you get it.

10 Questions Designed To MOTIVATE You to Become a National Federal Contractor

natfedcontIt’s a fact that the most prosperous U. S. construction companies grew with highly profitable federal contracts.  Each of them, without exception, brought in “experts” to teach them the “insider secrets”, the rules and the “exceptions” to the rules, that gave them the competitive advantage that they needed to trounce the competition.

Now, for a limited time, you can get access to the same “superior knowledge” that is not available anywhere else.  Look over the attachments, including the handwritten “after Workshop” reviews from our last event, read the following questions and draw your own conclusions.  This will help you make the right decision . . .

1. Did you know the U.S. gov’t owns and maintains 900,000+ buildings?

2. Have you considered that our gov’t spends more than $300 Billion in repairs and replacement of tens of thousands of roofs, HVAC and Electrical Systems and other construction services every year?

3. Were you aware 98.7% of specialty contractors have not registered at www.SAM.gov and are therefore not qualified to get federal contracts?

4. Did you know that 97.3% of general contractors are not registered or qualified to get federal contracts and that most of those that are registered, do not really know how to bid or get the projects available?

5. Have you read “Show me the Money” as published in Commercial Construction Magazine?

www.gcexperts.com/showmoney

6. Are you aware that in the next 120 days, over $87 Billion of federal contracts will be awarded to repair and replace roofs, HVAC, electrical and other construction services in the U.S.?

7. Have you considered that less than 2% of the licensed contractors will be bidding on that $87 Billion worth of construction services?

8. Will you get the best federal construction expert to teach your team how to get highly profitable federal contracts before your competitors do?

9. Do you understand that the fastest way to increase profits is to get more highly profitable contracts from the organization that makes construction payments monthly, and by law, within 14 days of receipt of approved invoice?

10. Are you willing to make a “no risk” investment and get a 100% guaranteed ROI and increase your market share of the federal roofing, electrical, HVAC and construction services business?

Details on the next 3-day Advanced Federal Contracting LIVE EVENT:  www.gcexperts.com/workshops

(there are only three tickets available, so if this is important, call today)

If you are serious about profitable growth, pick up the phone and call Doug at 512-750-2677.  Ask how you can get your fair share of this $300 Billion/year market. He’s in the business of helping you get it.

PS – See what ENR Magazine Bond Columnist and AGC member/trainer Mike Hill said about the Advanced Federal Contracting Workshop:

http://www.gcexperts.com/vid7

Communicating to Win

large_jim-tressel

The most successful construction businesses carefully script their strategies and tactics the same as the best football coaches skillfully plan the moves their players will be making on the field.

Results follow the planning and execution.  If you are not winning all the contracts you want, consider seriously diving into studying business systems, marketing, strategies, tactics and then adjust the scripts that you and your employees are using to communicate each part of your game plan.

To start with, your business should have three separate systems that need to function together to continuously win new business for your company:

1)  The Opening Move – ADVERTISING AND MARKETING

How you present your business in the market will determine the type of clients that you’ll be attracting. If you are known as the “cheapest game in town”, be prepared to have to cut corners and explain why it may be taking longer to ‘get the job done’ or why they are not getting the best end product. When selling ‘cheap’, your scripts and messages will necessarily be designed to equate value with a low price. If you’re focus is on the high end of the market, aka the “Rolls Royce” model, plan on delivering to a very sophisticated and demanding clientele. When selling ‘highest quality and speed of completion’, your messages and scripts will be trying to convey that value is related to quality and timeliness.

In the opening game, you’ll first follow up with ‘suspects’ – the people that are in your target market. With ‘suspects’, the message is designed to get them to visit with you or your team or come by and meet at your facility. Suspects that become ‘prospects’ are the people who have clearly indicated that they have a need and may even have an interest in doing business with you.

2)  The Middle Game – GETTING THE CONTRACT AND DELIVERY

Here’s where you are getting signed contracts, aka “closing deals” and delivering what you promised in your opening move. There are a lot of selling and negotiating training systems and scripts that will help in getting contracts. The more you study and practice using them, the more profitable deals you’ll close.

It’s been said that people ‘buy emotionally’ and justify their purchases intellectually.  Like in a powerfully emotional scene in a movie, the scripts that you learn to use will be your tools to close your deals.

Ongoing project testimonials can be powerfully effective for both marketing and closing. Use lots of photographs and videos showing a clean and safe jobsite and tell your successful project stories on your website and in any printed materials such as brochures.

You’re using these as tools to convey the message that your business has systems that provide a superior delivery process that is exceeding customer expectations.

3)  The End Game – SHOWING RESULTS

When putting proposals together to get federal contracts, you’ll need to list recent and relevant, similar completed projects.  Government evaluators will be using references from those and other resources to determine how you will rank in their system of determining who is going to get a contract award.

After each project you’ve completed, be able to demonstrate that your business met or exceeded your customer’s level of expectation. Then use that as a new tool to develop new business with them and/or as a nurturing tool get referrals.

At the end of each of your projects, you’ll want clients that will be roving ambassadors that will endorse the high value that you delivered to them.

Each of these three parts of your business planning should include multiple forms of follow up to be sure that you are getting the results you desire.  For each of these, you’ll want to continuously refine the scripts that will psychologically shift any potential client into believing that your business is the one that they want to have doing their next project.

Do this for each of these parts of your business and you’ll be richly rewarded with more business and higher margin contracts!

Over my 35+ year career of completing more than a thousand federal contracts, many of them were without competition. Sometimes it was because I was the only bidder and others resulted from the customer predetermining that I was the one that they wanted. Nothing is preventing you from doing the same.

 

Iron Man Marketing: Techniques Revealed

Iron Man Marketing: Techniques Revealed

How to Become Bullet-Proof in Today’s Economy

 

WHAT YOU NEED

In order to compete in today’s economy you must be perceived as substantially different than your competition. You need something that gets you a “Competitive Advantage” over the other players in your chosen market.

  

WHAT YOU GET

At this exclusive seminar event you and your peers will learn the leading business techniques to develop a strategic plan, marketing plan and how to integrate them into a formal business plan designed for profitable growth and market domination.  Jack Welsh said that in order to compete and succeed, you must design your business plan to be # 1 or # 2 in your market. Here’s where you’ll discover exactly what it takes to do so.

 
WHO IT IS FOR
This exclusive event is designed for construction CEOs, presidents and business development executives who have a competitive spirit, strive to be the best and have a strong desire to be #1 in their market. This 2-day seminar is designed to provide the training, tools, templates and technologies that will substantially improve your operational performance and bottom-line profits. You will leave with a bulletproof vest on, knowing that you can trounce the competition by strategically out-maneuvering them.
 
WHERE AND WHEN IS IT 
Where: Austin, TX
When: May 15-16, 2013
 
WHO ARE THE TRAINERS 
This event is presented by our industry’s top two marketing, strategy and business development mavens, Ron McKenzie and Larry Silver. These guys have collectively consulted with several hundred construction companies and helped them substantially increase their business revenues and profits.  They bring more than 70 years of combined construction business experience to this live training event.
 

CLICK HERE for More Information:

http://BusinessTrainingResults.com

I’ll be there as a coach and participant, particularly for those contractors that want to utilize this training to further penetrate the federal construction market.
Doug Reitmeyer, Federal Construction Expert and Consultant
Co-founder: Federal Construction Magazine

 

Advanced Federal Contracts Training Workshop

Advanced Federal Contracts Training Workshop

“CONTRACTORS ARE BEING DRIVEN CRAZY”

“Construction” is at the top of business types that drive humans crazy.
 
Contractors face huge difficulties. First they have to find and get profitable contracts in a hyper-competitive market. Then there are the risks of finding the right materials and workers that can do the actual construction work. Finally, contractors must get paid by clients that have a long list of excuses why they can’t, shouldn’t or refuse to pay the agreed amount.
 
If you’ve suffered, you’ll be glad to know that there is another way of being in this business – without the headaches.While most contractors struggle, a lot of federal contractors are thriving with highly profitable projects; and they never have to worry about getting paid.
 
Federal Construction Workers
 
 
HOW YOU CAN DO THIS TOO -
 
First: There is a lot of available work, but most never see it because of how they think about their market. Local plumbing companies are competing against the other plumbers and the same is true for GC’s, HVAC contractors and everyone else. However, if you change from thinking “local” to joining a national organization you can get construction contracts anywhere in the country. That is how I grew multiple companies from start-ups to multi-million dollar enterprises in just a few short years.
 
The business of building, remodeling, re-roofing, running utilities, painting, whatever it is that you do, is taking place every day all across the country. And there is plenty of profitable work as proven by the fact that there were 17 construction companies on the 2012 “Inc. 500″ list of fastest growing companies in America.Although only 4 of the 17 on that list did it by focusing on the federal market, 100% of the “TOP TEN” US Contractors became huge because they embraced Uncle Sam as their #1 client.
 
Second: The Federal Market is MASSIVE! Whereas the total US construction market approaches $1 trillion, between 27% and 31% are federal projects. Our government owns and maintains more than 900,000 buildings, so just roof and HVAC replacements are in the thousands every year.
 
Third: Uncle Sam HAS THE MONEY! The “fiscal cliff” will not affect any of the construction contracts that are in place, and will only delay for a short period of time, a small percentage of contracts that have not been awarded. Maintenance work has to be done – filters need replacement, dilapidated structures must be torn down and each agency must continue to function. They all need services that you can perform.
 
Fourth: People in the Government are employed to pay contractors with “our money”! In fact, the Prompt Payment Act specifically requires agencies to make progress payments in full within 14 days of an approved invoice.Here’s your one opportunity, right now, to accelerate the growth of your business by calling and asking how you can get into the “Advanced Federal Construction Training” Workshop that starts NEXT WEEK!That’s right, you only have 7 days to get to Austin. On Tuesday, March 5 the Workshop starts at 8 am and will go for 10 hours straight – lunch is furnished and we work right through it. Then we’ll do it again on Weds and finish up around 2 pm on Thursday leaving the afternoon and Friday open to focus on getting you highly profitable federal contracts.

Give me a call today if you are serious about growing your business in this economy.

I’ll be here for you, Doug Reitmeyer, Email doug@gcexperts.com, Phone (512) 750-2677

Results:  www.GCExperts.com/workshops  for more information and to get you started on a new road to success in the federal construction market.

The “Fiscal Cliff” – And the crystal ball says . . .

The “Fiscal Cliff” – And the crystal ball says . . .

A respected Government consultant asked, “What does your crystal ball say about federal construction spending, internal agency memos that say to put contracts on hold, and the fact that Uncle Sam has put a stop on civilian hires for the past 30 days?”

 
Fiscal Cliff
 

Let’s look at the facts:

There’s no crystal ball, but from experience, it won’t affect current projects that are already funded. And if a stop work order is issued on any current contract, that would be a de facto admission of liability, and responsibility to pay extended overhead costs plus profit.

If you can, avoid a “Work Suspension” because that would prevent profit from being added to your extended overhead costs.

The federal government is the largest land and resource holder with total assets of over $100 trillion, so the debt of $16 trillion can be handled a number of ways. The real problem is that while politicians are gifted with a well refined “ability to manipulate” public perceptions, they have not demonstrated an inclination to make “the business of government” fiscally responsible.

Consider that everything goes through cycles. Just like the weather, the financing of government responsibilities are somewhat predictable in the short term, but not so in the long-term. By historic reflection, there are cycles, and the cycles themselves are always changing.

Hiring freezes can only last so long because there is a natural attrition rate, retirements, deaths, etc. However, the functions of government rely on people that have to do what the Code of Federal Regulations (CFRs) requires of their respective agencies. Most people don’t realize that there are more than 450 federal government agencies that employ more than 2 million civilians in the Executive branch alone!

Your comments, questions, suggestions, thoughts and critiques are always welcome. Visit our blog for more. And if you are search for a “Success Blueprint” in the federal market, see what contractors, subcontractors, architects and engineers are saying about this one: http://gcexperts.com/workshops
 
 
Avaliable via Phone or Email

Doug Reitmeyer

doug@gcexperts.com

(512) 750-2677

 

Connect With Doug

LinkedIn:  CLICK HERE 

YouTube:  CLICK HERE

Note: If LinkedIn asks for an email use doug@gcexperts.com and please mention you came from Federal Construction Blog, this will speed up the connection process! Thanks

 

 

My mission is to help others find incredible success in federal construction.

Federal Construction Contracts: “TOP TEN” Things to know about your customer . . . (Part 1 of 2)

Federal Construction Contracts: “TOP TEN” Things to know about your customer . . . (Part 1 of 2)

Federal Construction Contracts – What you Don’t Know about Your Customer

With federal construction contracts, it’s been said that no one wants to be sold, but everyone loves to buy.  This is particularly true in today’s environment when the pressure is on sales people to get the orders, almost no matter the cost.

And if you are in the construction business, it’s tougher than ever.  You’ve got employees and overhead that must be covered and a dwindling pool of cash-paying customers.  When that happens in any economy, all sectors, and even the federal sector, get an influx of opportunists trying to take jobs away from the ‘good old boy’ network of incumbents.

To overcome these market driven problems requires something more than “what was working before”.  You need a strategy, a plan, goals and methods to achieve them, including going back to the fundamental principles of business success.

question

Knowing How to Script

In the Advanced Federal Construction Training Workshops, we spend a great deal of time with what is called “scripting”.  If you know ahead of time what your buyer is going to say, and you know exactly the right response that will cause them to award you the contract, you are miles ahead of the guessing competition.

This is a list of the first five of the “TOP TEN” questions that are utilized to engage a buyer.  Without our Workshop training, you’ll have to figure out the best way to present the questions and elicit the response you want.

First – Recognize the age old truism, “Everyone is waiting for someone to tell them what to do.”  The problem is that they will only accept direction from a trusted source.  Even our President, after his miserable performance at the first debate was looking to his team to tell him what to change so that he could win re-election.  He knew that if he performed as badly at the 2nd debate as he did at the first one, we might have had our first Mormon President in the White House.

2nd – In federal construction, you need to know the customer priorities.  What has to happen?, why? and when?, are the questions that will lead to an understanding of what priorities have been set in the customer’s mind and the reason that you’ve been granted access to influence a decision-maker.

3rd – You also need to know: What the customer thinks his priorities are, may not be what they should be.  An example is within the story of my friend Scott after he was summoned by the VP of Kohl’s, whose plan it was to finance new marketing initiatives by demanding that it’s vendors lower their prices.  You can read the whole posting, “THREE GREAT LESSONS FROM A MASTER” and learn about how Scott convinced the VP that the VP had been focusing on the wrong thing.

4th – What are the potential client’s alternatives? You may not think about this much, but the fact is that 50% of the customers you get in front of can decide not to decide, at least for now.  If you are not prepared to create a sense of urgency on their part, you may leave the client frustrated because the issue is still on their “to do” list.

5th – Is there a story behind the process that your customer is willing to share?  On a NASA contract, our federal construction contract bid was $317,000 higher than Chicago Bridge & Iron (CBI), a multi-billion public corporation.  The story behind the decision to pay the extra money was that CBI had included a 12-month schedule with their proposal while ours was shown at 9 months, a full 90 days sooner.

At a cost of $50,000 per day operational costs, it was a no-brainer; pay $317,000 to save $4.5 million on a $4 million contract.  Once the customer was convinced that the project could be completed in 9 months, they issued the contract within minutes.  Best part: The profit was more than $1.6 million.

Next week we’ll post Part 2 of 2 of the federal construction TOP TEN Things to know about your customer that can make a huge difference in the way you do business.

Until then, I’m Doug Reitmeyer and you can connect on LinkedIn here:  www.LinkedIn.com/in/DougTheExpert

Co-Creator: Federal Construction Magazine

Sample: www.tinyurl.com/FCMagazineSummerIssue

Peek the current issue:  www.FC-Mag.com/Sneak-peek

Blogs for February:  http://reitmeyer.com/2013/02/

PS – Two announcements:

(A) – I’ll be one of the featured speakers at the IRC Summit event next week.  You can get a $500 discount if you sign up by this Friday.   Use Promo Code ALYNX200 at Checkout.
Click on this link today and get a seat before they are sold out: http://ircsummit.com/#!/register-now

(B) – In two weeks from today, we’ll have the next “Advanced Federal Construction Contracts Training” Workshop.  There is still one ticket available.  Carl Ballerino (www.HCS-GC.com) attended the late January Workshop and has already received his first federal contract award to repair a pump at Dyess AFB. He plans to start the project tomorrow.

See what your peers are saying about it here:  www.GCExperts.com/workshops

The Workshop is a transformational event for federal construction professionals, specifically designed to get you up and going in the federal construction market in the matter of just a few days.  Graduates have access to over $250,000 worth of training, tools, templates and technologies that have delivered, over the past 32 months, more than $340 million in highly profitable government contracts.

Three Great Lessons from A Master in Federal Construction

Three Great Lessons from A Master in Federal Construction

A Master in Obtaining Federal Construction Contracts Tells All…

Scott is a proven master at growing businesses in federal construction. In his niche, he runs the largest manufacturer and distributor network in the world with revenues exceeding $500 million/year.

We shared a few days together at the “Waters Edge Hotel” on the San Francisco Bay in Tiburon celebrating my wife’s 60th birthday. After a dinner cruise around the bay, we went out on the deck overlooking the city of San Francisco. While enjoying a bottle of fine wine, imported cheese and that wonderful SF Sour Dough Bread, Scott shared some of his incredible business insights:

Maximizing Sales Per Square Foot

(1) Regarding federal construction competition: “I mastered maximizing sales per square foot on the retail end by proper product mix and placement per location around the world.  In between store visits, I mastered the manufacturing and distribution of my product line.  That enabled me to ‘target’ competitors and get the retailers to stop giving them shelf space in all the major retail stores. I could easily demonstrate to the retailers that, by using my products and set up they could double their profit per square foot.  Over time, all my competitors began suffering.  Eventually I could pick and chose who to buyout and who to put out of business.”

(2) Regarding differentiation in federal construction: “You have to be substantially different than your competitors or you end up in a price war and no one wins. Last year the new VP at Kohls Department Stores requested that I attend a meeting on Kohls’s growth plans for 2013.

After the presentation, the VP said he wanted a better pricing discount, threatening that he would start negotiating with my competitor if he didn’t get lower prices.

I said to the VP, ‘You’re a smart guy that is focusing on the wrong thing. In our business, it’s never the ‘price’ you pay for our products. In fact, a cheaper price would result in Kohls making less money per item because of Kohls’s method of pricing mark-ups. Your focus needs to be on the ‘profit’ per square foot of floor space that Kohls makes for their stores.

Why do you think Walmart gives us 100% of their business? It’s not because we are the cheapest. It’s because we bring value that none of our competitors can deliver. In fact, after a study made by Walmart, they determined that our product line delivered twice the profit per square foot that they were getting from our competitor’s product line.”

Cleaning Out the “Head Trash”

(3) Regarding education: “I didn’t get a college degree because I had figured out that real business happens in your head. Once you get a great coach, and he or she helps you clean out the self-defeating bull-shit that goes on in your brain [I call it “head trash” and everyone has it], then it is only a matter of focusing on the right things, which are

(A) Excellence in customer satisfaction
(B) Delivering greater value than your competitors
(C) Setting high goals and pushing yourself and your people to achieve them
(D) Sharing the rewards with your team so they will be motivated to work with you to “take it to the next level”

I have learned a lot from people like Scott and freely share their stories for your benefit.

Two Kinds of Business People

There are two kinds of business people –

A) those that think they know it all and struggle their entire lives, and

B) those that get expert training and use it to get superior results.

Just two questions before I close:

(1) Which one are you? (It’s rhetorical, just ponder it)

(2) Are you willing to step out of your “comfort zone”, get access to the most powerful life, business training and coaching program ever developed for construction executives?

If the answer is “Yes”, call me or “Live ‘chat’ with an Expert” to learn more about the federal construction business at  www.GCExperts.com 

PS – Connect with me on LinkedIn here:  http://LinkedIn.com/in/DougTheExpert

The Top 5 Experts in Federal Construction – Get them on your team!

The Top 5 Experts in Federal Construction – Get them on your team!

“TOP FIVE” EXPERTS in Federal Construction – Get them on your team! Please share YOUR favorite Industry Expert and tell us WHY we need them.

Madison Leeper has been doing research and talking with various contractors and experts. Here is her first try at delivering the results of her investigations. Please comment with your suggestion of the best federal construction experts you know and tell us why you recommend them.
 

EXPERT 1: DOUG PHELPS

As a business adviser to the construction industry since 1998, Doug has develop a proven step-by-step process (The Just Rewards Plan) to improve the profits of your construction company.  If your construction company is not making as much money as it should call Doug Phelps, 386-585-4624

Company website, www.TheJustRewardsPlan.com
Connect with Doug here:  http://www.linkedin.com/pub/doug-phelps/22/379/622

Join his LinkedIn Group “Profit
Builder” here: http://www.linkedin.com/groups/Profit-Builder-4199471
 
 
 
 
 
 
 
 

EXPERT 2: TRAVIS BONTRAGER

Travis Bontrager is an expert at creating and implementing online strategies for construction professionals which result in more construction projects for each client.  Travis is also the host of, BOSS Association, a Commercial Construction Web Show where he interviews construction industry experts from across the country.

Watch The Construction Web Show at www.BossAssociation.com
Connect with Travis at www.LinkedIn.com/in/travisbontrager or at www.NobartConsulting.com

EXPERT 3: LARRY SILVER

Larry is a consultant that, when you bring him on-board, will help you develop a long-term business plan, will hold your feet to the plan and twist your arm to follow it. Wes Reeder (www.reedergeneral.com) was $5 million/yr and Larry has him at $20MM and on a continued growth curve. Larry’s proven model is to envision the future and then make it happen.

Connect with Larry here: www.linkedin.com/pub/larry-silver/1/b89/1a6
Company website: www.contractormarketing.com
Connect with Larry’s group, “Construction Marketing Ideas” here: http://www.linkedin.com/groups?gid=2593771
 

EXPERT 4: JACOB KRAHL

Jacob has another unique approach as described at www.EliteConsultingPro.com. There are only a few tickets left to get into his annual conference – get your tickets here: http://www.eliteconsultingpro.com/sign-up/

Connect with Jacob here: www.linkedin.com/in/jacobkrahl
Join Jacob’s group, “Elite Contractor Network” here: http://www.linkedin.com/groups/Elite-Contractor-Network-4505815
 

EXPERT 5: DOUG REITMEYER

Doug’s niche is the federal market – no one will get you a federal contract faster. He’s done over a thousand personally and those companies that have been through his high-intensity training have received over 300 of them. Listen to the recorded phone conversations of his graduates:

All these guys are on LinkedIn. Connect with them. They know what they are doing!
 

Bonus Expert: MARC PACINO

Marc uses his 35-plus years of experience as a former Senior Contracting Officer, for USARSUPTHAI (US Army Support Thailand) and a Senior Construction & Engineering Contracts Acquisitions Director for Navy Docks & Piers-PACDIV at Subic Bay. Philippines (PACDIV), to assist his clients strategic approaches and pursue their business development objectives.

Here’s Marc’s contact information:

Marc Pacino, Phone 949-295-3312
CEO & Principal
Ambiente Federal Services
Anthem Federal Consulting
Las Vegas, NV 89117
mpacino@ambientefederal.com
www.ambientefederal.com
www.anthemfederal.com

Connect with Marc here: www.linkedin.com/pub/marc-pacino/8/79a/91a/

 

At $90,000/month profit, Jeff asked, “Am I Making Too Much Money?”  What would you have said?

At $90,000/month profit, Jeff asked, “Am I Making Too Much Money?” What would you have said?

“Damn”, Jeff realized that the government was going to find out;

He was making $90,000/month.

What will you do when it happens to you?

 

 

 THE PROBLEM:

The phone rang, it was Jeff Williams. “What’s going on?” I asked.

He was deeply concerned as he said,

“What happens when the government finds out that

I’m making $90,000/month profit on one of our federal contracts?”

 

Below is an “insider” email: Confirmation of the conversation with one of the graduates of the “Advanced Federal Construction Training” Workshops:

[ See Jeff talking about his training  HERE]

From: “Doug Reitmeyer”  <doug@gcexperts.com>
Subject: [info] Your New Bureau of Land Management (BLM) contract
To: “Jeff Williams”

Hi Jeff, This email is a confirmation of our phone discussion today.  You called about your first BLM contract pay request for $190,000, being sent to the Contracting Officer (CO) today.

Your concern was that, under the terms of your federal contract, the BLM requires that you fill out forms that will tell the BLM how much of the $190,000 they are paying you, is being paid to which specific subs and suppliers.

You are only paying out $100,000 of the $190,000.

Thus the BLM is going to know that Joe Funk Construction is making about $90,000 in margin this month on your contract. And because it is a unit priced contract they’ll know that you’ll be making $90,000/month for the life of the contract; nearly half of the full contract price is profit.  What if you are asked to explain the huge profit margin?

OK – I got the picture and understand your concern.  Here’s what I explained to you:

First – it is OK to make A LOT of money on a federal contract, so there is no need to suffer guilt. My $960,000 Walter Reed Army Medical Center contract cost $308,000 to complete, so the profit on that job was $652,000 – a whopping 68% of the contract!   Our bonding company, when they saw the numbers, actually asked if we were laundering drug money (in all fairness, the job was in Washington DC when its Mayor, Marion Barry, was jailed for drug possession and use).

Like I said, it is OK to make A LOT of money in this business and you don’t have to explain it – you are just really good at what you do because you learned how to greatly increase margins and revenues by “The Industry Expert”, Doug Reitmeyer.

Given the fact that your BLM project was competitively bid and you were the low bidder by $4,000, Uncle Sam has already received the benefit of competition in the marketplace.

Second – Understand the agency budget – over $1.1 Billion.  Get familiar with each agency you work with and let them know that you have studied what they need and why they need it. Explain to every BLM employee that you want to be a valuable resource for them.  Over time they might surprise you with a request to take over a project for them.

Building relationships with Federal procurement officials brought me many millions of dollars in contracts that never went out for bid. A couple of the attachments to this email should help you to become conversant in the language of the BLM budget, requirements and goals.

Third – the more money Joe Funk Construction makes from doing federal contracts, the more resources it will put toward the effort to get more of them.  That’s a BIG PLUS for us taxpayers; We want and need competition.  Profits always breed competition, so high profits are very good for the economy.

That all said, I really want you to know how proud I am that you came to the Workshop, took notes, followed through with the phone calls, attended the webinar and followed the Blueprint exactly as it was laid out for you.  And your first six months results of over 42% average profit margin and more than $480,000 profit have been even more impressive than my average over the past 35 years; Commendable indeed!

Attached are some of my comments regarding the “Sales Dance” as posted on the LinkedIn “Construction Business Owners” Group.

All the best to your continued success with our program,

Doug Reitmeyer, Phone 512-260-4008
Results:  http://GCExperts.com/workshops

cc:  Rusty Norris, President, Joe Funk Construction Engineers, Inc.

Attachments:  Doug Reitmeyer’s “The Selling Dance”
BLM Budget
What they say . .

 

Do You Need Convincing? Watch the brief videos:

You can see Jeff in this original “end of Workshop” video:

Then again in these two videos after his 2nd time attending the Workshop:

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* Six months after putting our systems into their business, Rusty sent this email:

Doug-

Since May 1st JFCE has bid 20 federal projects. We have won 3 projects totaling $1,139,618. Our anticipated profit on these projects is 42.6%. If we can continue at this pace, we will consider our first year in the federal market an outstanding success.

By comparison, we have just completed $12.7 million in DISD school renovations at a 6% profit margin.

Thank you very much for helping JFCE get started in the federal market, and thank you for your continued support since the workshop.”

Rusty Norris, President
Joe Funk Construction
Dallas, Texas 75229
972-406-5206 Direct
rnorris@joefunkconstruction.com
www.joefunkconstruction.com

pies

Attachments:

BLM Budget

What They Say About The Advanced Federal Construction Workshop

The Selling Dance