How do Government Subcontractors Work in Federal Business Process?
Prime contractors are typically those who work directly for the government, which in this instance is the federal government. In order for the prime contractor (prime) to complete the contract, the subcontractor would enter into an agreement to provide goods and/or services to the prime contractor. Government subcontractors can take advantage of this opportunity to gain valuable experience working with government agencies while building relationships with multiple government agencies at the same time. Ensure your business is protected by subcontract provisions Taking into account that Government subcontracts are commercial agreements between private parties is essential before discussing the specific provisions of your subcontract. Because every contract is unique, it is important to pay close attention to the details in your subcontract. Following that, here are the key considerations to keep in mind: Changes – According to most subcontracts, the prime contractor has the optio...