SBA Opposed Five-Year Small Business Size Period

Posted on December 19, 2018 by Steven Koprince

The Small Business Runway Extension Act, signed into law earlier this week, changes the small business size calculation under revenue-based NAICS codes from a three-year to five-year average.

The new law has sparked a great deal of discussion in the government contracting community, with some commentators pointing out that not all small businesses will benefit. But how does the SBA–the agency tasked with implementing the new law–feel?

Well, according to commentary published earlier this year, the SBA thinks the five-year period is a bad idea.

UPDATE: Bill to Change Size Measurement Term from Three to Five Years Becomes Law

Posted on December 18, 2018 by SmallGovConContributor

You probably know this already—from what we can tell word is spreading like wildfire—but Monday (Dec. 17, 2018) the president signed the “Small Business Runway Extension Act of 2018” into law.

This changes the period of time the U.S. Small Business Administration uses to measure a business’s size in revenue-based size standards from three years to five years. The law doesn’t say that there will be a period of implementation, so it’s reasonably safe to assume the effect is immediate.

GovCon Voices: Buying, Building and Selling in the Small Business Government Contracting Space

Posted on December 18, 2018 by Steven Koprince

by Erin Andrew

One of the biggest mistakes small business owners make is planning their exit strategy too soon. Whether a contractor wants to enter, grow, or exit the market, a small business owner must understand how buying or selling their business can play a large role in their success. Below are some tips for all three phases:

The Large Business Runway Extension Act: For Some Contractors, New Five-Year Size Period Will Backfire

Posted on December 17, 2018 by Steven Koprince

The House and Senate have passed the “Small Business Runway Extension Act of 2018,” which appears poised to become law in the coming days. The bill would amend the SBA’s small business size rules to use a five-year average, instead of a three-year average, in calculations using receipts-based size standards.

The purpose of the bill is to help contractors avoid becoming “other than small” following a period of quick growth, but not all companies will benefit. For companies with declining revenues, the bill may backfire, causing those companies to be stuck as large businesses longer.

GAO: Agency Conducted Price Realism Analysis and Misled Protester

Posted on December 14, 2018 by SmallGovConContributor

Unless a solicitation for a fixed-price contract provides that the agency can conduct a price realism analysis, it can’t. Even so, agencies sometimes perform this analysis without alerting prospective offerors of the possibility.

If they do, however, the ground is fertile for a protest.

SmallGovCon Week In Review (December 10-14, 2018)

Posted on December 14, 2018 by SmallGovConContributor

I wanted the pithy introduction to this week’s Week In Review to be a corny Christmas-themed joke. But there’s one problem: I don’t know any! (My dad jokes tend to come on the fly.)

If you know any (clean) holiday jokes, send them our way. We’ll try to feature them in next week’s edition!

But for this week’s edition, let’s focus on government contracting. We’ll look at the potential Christmas shutdown, GSA’s consolidation of schedule contracts, a VA-pilot program for facility construction, continuing non-compliance and oversight issues, GAO’s report on noncompetitive contracts, and more.

Have a great weekend!

Bill Changes Size Determination Measurement Period from Three Years to Five

Posted on December 13, 2018 by SmallGovConContributor

With the stroke of a pen, Congress may have just paved the way for some soon-to-be large businesses to remain small for longer.

Both the House of Representatives and the Senate have passed a bill that would amend the Small Business Act to change the period of measurement used to determine the size of a business from three years to five. The bill awaits the president’s signature to become law.