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by ineedasername 1762 days ago
If you're successful, the ideal scenario might be that the government acquires you to use your system instead. They couldn't just hire you since the end result would be the end of your business, at least as it pertains to the federal government.

There are other cumbersome procurement "markets" at the state and local level, but each of those would probably be essentially a new product, each designed to the idiosyncracies of each jurisdiction. However, that also could be an opportunity to be an aggregating middleman rather than a 1-to-1 middleman with like with the Feds. Any regional or national company too small to have clout & an insider track would probably kill for the ability to use a single portal as a one-stop-shop for dealing with state, county, and city municipalities.

That's where your value as a true positive middleman is hidden. Because even if they all fixed their cumbersome opaque systems (which is unlikely) there is still enormous value in aggregating them all in one place for contractors.

I know, it might look like your current plan is a "platform" but it's really kind of just middleware. Aggregation makes you a platform.

That also keeps you from trying to compete directly with something like Workday Finance/Procurement and their portals for suppliers and contract fulfillment: this has helped a decent amount in streamlining procurement even in places trying to map unnecessarily cumbersome practices derived from legacy systems onto it. If you're merely aggregating, you don't have to compete with that.

As a caveat to all of this, while I'm a well informed outsider, I'm still an outside observer of the tech startup scene and might be speculating above my pay grade here.

1 comments

Agreed on all accounts. Slowly but surely we'll start gather the State / Local / Education level opportunities in our long road to be the unifying platform. In the end we do want a more efficient government and if that is selling the platform to them, great, we are in - I definitely don't want to become a government employee...
Best of luck! With a roadmap that builds out your offerings beyond just the Feds if you're successful there, I'll wish you well. And give a final note that, with some limited experience on state-level procurement, I can say that states may be an easier nut to crack in terms of the small companies having a chance without special relationships, IF they can navigate the process. If you find a state balanced nicely between opaque processes and high annual procurement budgets, that could be a good test case: Solid value-add and enough RFPs (or purchases below the RFP threshold) to have sufficient volume. Top 5 states by budget, choose the one with the hardest procurement hurdles.

Also I'll send you an invoice for the consulting and analysis I performed in these comments. I'll call it even at $100k, or a single meaningless internet point. I'd prefer the internet point, but if you feel the need to send cash then I guess that's okay too. But not both! That would be over paying. The internet point can take any form you'd like, but I prefer to receive it in D&D-style "+1" units.