Wednesday, February 2, 2011

First Real Step

The team met today and we are leaning heavily towards subcontracting on an existing Schedule—the right Schedule—as our first real step in this effort.  The points favoring this approach are:
1.      Cheaper cost of entry – whether it is measured as opportunity cost or hard dollars to bring in a consultant, the cost to join an existing Schedule appears to be much cheaper than getting our own.
2.      Time to market – even the best case for getting our own Schedule will be measured in months, whereas joining a existing Schedule should be transacted in weeks.
3.      Less risk – while we are not novices to using a Schedule (we have reseller status on several manufacturer Schedules), we lack experience in managing one.  Leveraging an existing Schedule will allow us to learn the intricacies.
We are open to the possibility that we may prefer subcontractor status and stay that way indefinitely.  This could also be a tester for getting our own Schedule, and a partner will have our services to generate revenue until that happens at some future time.  The search is now on for Schedule holder with whom we can partner.  We are looking to join the team of a Schedule holder with complementary and related services.  If you are a Schedule 70 holder and think we might be a good fit for you, send me an email: dketchen@crosstelecom.com.  You can learn more about what we do at www.crosstelecom.com.

1 comment:

  1. This is suicide. Never take the sub route because you lose total control over your products and services. Why? Because it is NOT your contract.
    You cannot accept orders nor payments.
    You can only fill orders that the prime decides to give you.
    Your cost to entry and time to market is less when you are direct.
    Your risk is the same or more by being a sub. You are still subject to audit.

    Most importantly, when you sub, this is your direct price to GSA when you decide to get your own contract.

    I have been in this business for over 24 years and see this situation all the time.

    GO DIRECT.

    Michael Price
    marketus.com

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