Next month is typically the time where government agencies race to spend on contracts before the end of the fiscal year (September 30th). While other contractors are scrambling and trying to win these contracts, smart contractors are anticipating new opportunities rather than reacting.
Due to the lack of time bidding processes are shortened and much quicker. You need to be ready to move both internally and externally on these new, last-minute contracts. So, what does that anticipation look like? Contractors who follow these guidelines have been the most successful during the last months of the fiscal year.
End of Fiscal Year Checklist
Understand the Competitive Range
It’s possible to bid too low or too high. Use estimates and historical data to build better pricing while you highlight your value and factors that make you different. Don’t compete on price alone, even if you are in a rebidding situation. Past performance, quality of work, and expertise should factor into your bid.
Lower Labor Costs
Due to inflation and the great resignation, wages are increasing as companies are competing for the best employees. Use the H/W and set aside credits to your advantage, reducing your G/A and your labor costs.
Better Benefit Programs
Rate increases have become common place in benefit programs. From benefits designed for contractors to level and/or self-funded programs, there are other options. Take control of benefit programs that still meet the compliance regulations of the contract.
Improve Efficiency with Technology
Systems that are more effective and efficient allow you better insights into your contracts and costs, saving you time and money. Be more productive and focus your team on more revenue producing activities.
Protection from Partners
Some contracts require you to partner with subs and you as the prime are responsible for their work and the costs they incur. Do your due diligence on those you partner with and build the processes and procedures to ensure they are compliant. Help your subs and/or partners help you.
Stay in Continuous Contact with Your Current Contracts
Even if you are rebidding on a contract this year, their needs may have drastically changed. Be sure you anticipate their needs, talk to your CO, do your research, and be prepared!
Have a Reliable Partner
Having a strategic plan in place for the end of the fiscal year can make all the difference. Partner with someone who can help you be more competitive, provide improved benefits packages, and remain compliant using intelligent systems.
With AXIM, our integrated benefits technology allows you for a full enrollment/eligibility and compliance system that can easily integrate with your current payroll or HCM systems to reduce overhead while increasing efficiency. Find out more by reaching out to our experts today or following us on LinkedIn for more advice on how to prepare.
