The government is one of rules. They follow their rules whether they make sense or not. One of the rules that can trip up a potential 8(a) contractor is that you cannot qualify if your business is economically dependent on one commercial client for 70% or more of its revenue during the last months. The Federal Government is excluded as a “commercial client”. If, however, you are a business that deals with a large construction manager like United Space Alliance or Lockheed Martin in order to access Federal Work, that could disqualify you if 70% or more of your work was with one of those firms. If you find that you follow one General Contractor for much of your work, you could be in trouble. We work with a lot of 8(a) contractors. Give us a call if you would like to discuss getting set up as a bondable 8(a) in your future.
Why Were You Declined As an 8(a) Contractor?
By Cheryl Foley| 2012-02-13T01:53:04+00:00 February 13th, 2012|Surety Blog|Comments Off on Why Were You Declined As an 8(a) Contractor?