FED GOV CON Webinar Wednesdays 2019 Series JSchaus & Assoc. Washington DC +1–202–365–0598
About Our Webinars: - Every Wednesday; - Complimentary; - Recorded; - YouTube & our Website; - No Questions
About Us:
Professional Services for Federal Contractors - GSA Sched; - SBA 8(a); - Proposal Writing; - Pricing; - Contract Administration; - Business Development
About Our Speaker: Timothy A. Furin Education: University of Akron, BS Temple University, JD Judge Advocate General’s School, LLM Company Name: Ward & Berry, PLLC # of Years Federal Gov Con Experience: 16 years
Teaming v. Joint Ventures v. Mentor-Protégé
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Teaming: A special type of prime/subcontractor relationship Joint Venturing: Two or more separate companies coming together to compete as a newly formed entity Mentor-Protégé: Specific programs that allow companies to form a specific type of relationship for the purpose of the business development of one company
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Fundamental Concepts: (1) What is a “Small” Business? What other small business programs are out (2) What is a “Set-Aside” Contract? (3) What is affiliation and why is it important? (4) Why form a partnership? (5) What form of partnership?
there?
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Teaming: Generally, the small business serves as the prime contractor in order to be eligible for a specific procurement. Joint Venturing: When two companies form a JV, the JV itself is the prime contractor for the contract. The JV can subcontract to a JV partner if it wishes. Mentor-Protégé: These relationships are not formed for a specific procurement. They are however, usually used in the JV context.
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Common Affiliation Issues in Joint Ventures: General Rule: Members of a JV are presumed to be affiliated with each other for purposes of any contract for which the JV competes In other words, when parties form a JV, the JV members are usually considered per se affiliated for purposes of whatever procurement is at issue by virtue of t he JV relationship itself.
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Two Exceptions to the General Rule: Situations where size of each concern does not have to be aggregated for determination:
purposes of size
(1) Each JV partner individually meets the applicable small business size standards, regardless of combined size of the JV partners. (2) If the member partners of the JV are part of an approved Mentor-Protégé
relationship.
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
What Needs to be Done and When: (1) Teaming: - The team is formed prior to bidding - Teaming agreement is submitted with the proposal/bid (2) Joint Venture: - If necessary, Mentor-Protégé relationship is formed prior to entering - The JV is formed prior to bidding - The JV must be registered in SAM (and VETBIZ verified) prior to bidding
into the JV agreement
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Past Performance/Experience: (1) How does the Government evaluate a teaming partner’s past
performance/experience?
(2) When evaluating the past performance and experience of an entity submitting an offer for a contract set aside or reserved for small business as a joint venture, a procuring activity must consider work done individually by each partner to the joint venture as well as any work done by the joint venture previously.
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
The Three “E”s of Teaming/Subcontracting: (1) Enforceability (2) Exclusivity (3) Expectations
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
What Can Go Wrong?: - Destroying “Small” Size Status, Otherwise Nullifying Small Business Program Eligibility, or Other Non-Compliance - How? Most Common Pitfalls (1) Affiliation (2) (Un)conditional Control (3) Work Percentage Requirements
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Who is in the Joint Venture: (1) Two Small Businesses (2) A Large Business and a Small Business - Mentor-Protégé is a prerequisite
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Two Different Mentor-Protégé Programs: (1) 8(a) Mentor-Protégé Program (2) The “All Small” Business Mentor-Protégé Program (3) Who is eligible to be a Mentor? (4) Who is eligible to be a Protégé?
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates
Mentor-Protégé Program Requirements: (1) What are the requirements of the written agreement? (2) Application, Review, Approval/Reconsideration (3) On-going evaluation and reporting requirements
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates Benefits of the Mentor-Protégé Programs: (1) A mentor and protégé can form a JV as a small business for any Government prime contract provided the protégé qualifies as a small business (2) No determination of affiliation or control may be found between a mentor and protégé based solely on the agreement or any assistance provided pursuant to the agreement (3) Protégé firm may agree to sell an equity interest of up to 40% to the mentor order to raise capital
firm in
2019 – Fed Gov Con Webinar Series - Washington DC JSchaus & Associates Specific Mentor-Protégé Program Requirements: (1) WOSB/EDWOSB: 13 CFR 127.505 (2) HUBZone: 13 CFR 126.616 (3) SDVOSB: 13 CFR 125.18(b) (4) 8(a): 13 CFR 124.513(c) (5) VA VOSB & SDVOSB: Must be separately registered in VETBiz
THANK YOU! JSchaus & Assoc. Washington DC hello@JenniferSchaus.com www.JenniferSchaus.com +1–202–365–0598 Speaker: Timothy A. Furin Email: tim@wardberry.com Phone: (202) 331-8160