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Time for a 'tude change where small business is concerned

Posted By Guy Timberlake, The American Small Business Coalition, LLC, Tuesday, June 12, 2007
Updated: Sunday, June 29, 2008

Infotech & the law: Small businesses on the block should explore ESOPs

Although this is a relevant and overall good piece of information for those companies and professionals in the federal contracting arena, I can't help but take some offense at the general attitude that I feel is conveyed in articles of this ilk.

Let me preface that I don't know Matt Swartz or his firm, and this is not an attack directed specifically at him or they, but I guess in a way it sort of is.

Here's some of what I mean.

His article starts off with:

It has always been easier to sell a large business than a small one. Large businesses attract buyers because their size allows buyers to get more of whatever they are looking for in terms of revenue, contractors or employees than small businesses can offer. Large businesses also usually have less customer concentration and more administrative support than small ones.

Then, in the next paragraph, he gets in an uppercut.

Smaller companies do have strengths, though. They typically are more nimble and, until recently, had some advantages in obtaining certain government contracts.

Now, if he had just left out the word "though" I would not have anything to write about for this article. "Though" is a kick in the ribs. Why not "Smaller companies do have strengths."

Let me restate, it is a good article that provides some solid information. The fact that Mr. Swartz emphasizes the fact that the market for selling smaller companies will dry up somewhat is taken.

Not all small businesses want to sell.

While we're at it, why not talk about some of the real issues the recertifications are here for in the first place.

Opportunists.

Opportunists are not bad people. They're just opportunistic. Some of the opportunity associated with buying small businesses is going to go away now and that is not neccessarily a bad thing.

What do I mean?

If the recertifications keep procurement dollars in the small business program going to small businesses (what a concept!) then that is a good thing. It's not always an intentional act when small businesses are swallowed up and the dollars that were intended to benefit a "small business" end up being received by a non-small business.

In some cases it is.

The flip-side of the recertification that we hope will prevail, is that small businesses will have opportunities to do responsible quality business with the Government, and grow their companies to whatever end they choose.

Now if they could only do something about how NAICS Codes are assigned to requirements like ITES-2H.

-The CVO

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