Every few years, we reach out relative to the importance of a government contractors’ response to audits performed by the Defense Contract Audit Agency (DCAA), the Defense Contract Management Agency (DCMA), the Department of Labor (DOL) or, for that matter, any other government audit function.
Government regulation requires costs to be classified as either a direct cost or an indirect cost. As we know, indirect costs, in the aggregate, represent the largest class of expense incurred on government contracts. Direct costs, by definition, are identifiable with a specific “final cost objective” while indirect costs are associated with common or joint cost objectives.
Labor recording is the basis for the valuing and allocating the efforts of you and your employees and a critical process for government contractors who depend on it for their product and services costing (read billing/cash flow) and pricing.
While a contractor’s forward pricing rates may sometimes get confused with their provisional billing rates, by the contractor and even the government, they are completely different rates developed for completely different purposes.
FAR (Federal Acquisition Regulations) is one of the most important laws to know for any company looking to work with the federal government. In this blog post, we'll cover some key points so you can get started on understanding your responsibilities as a contractor!
It is important for government contractors in developing their business systems and offering them up to the government as representative of their compliance with the published requirements to understand what a “system” is in the context of government compliance.
DCAA compliance is an essential component of government contract administration. The key for government contractors is to know what rules and regulations they are subject to, implement the necessary processes to ensure compliance, and maintain that compliance.
The Federal government uses special programs to help small businesses win at least 23 percent of all federal contracting dollars each year. Small businesses should take advantage of these programs to give them a competitive edge in the government contracting arena.
Should you accept government work if you are a technology firm? Yes, if you want to increase your revenue. Here are some tried-and-true tactics for winning government contracts that will help tech businesses succeed in the extremely competitive business world.
Learn about service centers and cost allocation methods, specifically direct allocation and step allocation, that can help you understand the "true" cost of your products and services so you can price them for a profitable return.