Beyond Cash: How to Build a Generational Inheritance with Government Contracts
A 2-minute read
We all dream of leaving a legacy for our children, and even our children's children. For many, that means a financial inheritance. But what if you could leave something more? What if you could bequeath a thriving business, a source of security and opportunity for generations to come? You can, and the path is one many overlook: government contracting.
Sell Solutions, Not Products
Forget the old model of chasing customers and trying to convince them they need what you're selling. The beauty of government contracting lies in a simple, powerful truth: the U.S. government is the largest customer in the world, and it has needs it already wants to pay to have fulfilled.
From IT services and construction to office supplies and janitorial work, government agencies at the federal, state, and local levels have a constant demand for goods and services. Your job isn't to create demand; it's to select a need that matches your skills and fulfill it. This provides a level of stability and predictability that is hard to find in the commercial market. You're not just making a sale; you're providing a solution.
Your 5-Step Blueprint to a Legacy Business
So, how do you build this engine of generational wealth? Here are the essential steps:
Establish Your Business: The first step is to create a legal entity for your business, such as an LLC or corporation. This protects your personal assets and is a crucial step for professionalizing your operations.
Get Registered to Do Business: To work with the federal government, you'll need to get a Unique Entity ID (UEI) and register your business in the System for Award Management (SAM.gov). This is your official entry into the federal marketplace.
Find Your Niche: You can't be everything to everyone. Identify a specific product or service you can provide exceptionally well. The government has special programs (called "set-asides") for small businesses, as well as those owned by women, veterans, and socially and economically disadvantaged individuals, which can give you a competitive edge.
Find and Bid on Contracts: With your registration complete, you can use government portals like SAM.gov to search for contracting opportunities that fit your niche. Start small, build a reputation for excellent work, and grow from there.
Plan for Succession: This is key to creating a lasting legacy. Work with legal and financial professionals to structure your business in a way that allows for a smooth transition to your children or grandchildren. This might involve creating a trust or a detailed succession plan.
By following these steps, you're not just building a business; you're creating an asset that can provide for your family for generations. You're leaving behind a legacy of entrepreneurship, security, and the knowledge of how to build something of lasting value.