In the business world everyone is paid in two coins: cash and experience. Take the experience first; the cash will come later. ~Harold Geneen
Winning a contract award is exciting! Being able to do what you do best for the federal government can be very profitable. Our government provides an evergreen environment of opportunity to continue business through whatever the economic terrain is of the times. Very few industries can claim the same type of “recession proof” access, so being sure you are navigating this business accurately is essential so you don’t alienate yourself from the next contract award.
Are you paying attention to what insider experts are saying? You should be following them on any platforms where they divulge their expertise. We utilize the access LinkedIn provides to learn more and share with you the quality information and tips that our expert connections impart. One of our favorite experts is Constance Jackson. You are missing out if you are not already following her. She has 20 years of experience in contract management and acquisition and you are literally missing the boat if you are not tracking her daily/weekly insights! Most recently on her LinkedIn page, she shared information concerning getting paid on your contract work. It is pretty important, so we felt it necessary to share!
Ms. Jackson shares that,
“Most payment language in government contracts states that you will be paid after receipt of a proper invoice. You must follow the invoice instructions. If you submit an improper invoice, your invoice will be rejected, you will be required to make the necessary corrections and resubmit. Once this happens getting paid can take time, small businesses cannot afford payment delays. You would be amazed how often payments are held up because invoice instructions were not followed or not understood because it may be a company’s first time invoicing the government. When you win a contract ask the CO if you can submit a test invoice, before the actual invoice is due to ensure that you understand how to invoice properly and any issues are worked out well before you submit your first invoice.”
If you have never invoiced the government before you may not know exactly what is expected. Given that getting paid is paramount, you should be using the above advice to be sure you know how the agency you’re working with wants to see the invoice. Utilizing the assistance ahead of time to submit a “test invoice” could eliminate getting paid late(r).
One of the best parts of this industry is the guarantee that the government will pay, but ask any tenured contractor and they will tell you that delays can and will occur. Knowing the proper invoice standards and procedures can mitigate any error on your part creating further delays. There are some things you can’t control, but those you can, you should! Your payment literally depends on it!
Thank you, Constance Jackson, for all of your expertise and insight! We value you and appreciate all you do!