Federal government contractors have never faced as many significant changes as they will experience over the next few years. With flat-to-down budgets, dramatically increased oversight, higher costs of doing business, significant new rules and regulations and severely squeezed profit margins, government contractors absolutely must rethink what they’re doing and how they’re doing it. Given the enormous changes that are taking place in the government contracting marketplace, Aronson has released a new white paper designed to help you succeed.
1. Federal priorities are shifting in today’s very tight appropriations environment. Contractors who don’t quickly recognize and anticipate the changes will be left behind.
2. The General Services Administration has a mandate to increase its market share. This means big procedural changes and lower prices for contractors.
3. Strategy and positioning for both big and small contractors will be more important in the next few years than ever before.
4. The need for diversification will increase the opportunities and value for government contractors to consider mergers and acquisitions.
5. Compliance will be an even bigger focus over the next few years than it has been in the recent past. Noncomplying contractors will be in for some very unpleasant surprises.
6. Tax planning will be critical. Congress will soon consider comprehensive tax reform that will challenge many of the provisions most important to contractors.
7. Contractors face serious problems with talent recruitment and continuity as the Millennial generation fully moves into the workforce.
8. Protecting sensitive data and information has become one of the highest priority demands the government makes of all contractors.
9. There will be major changes in the next two to three years in the accounting standards that will apply to companies that do business with the federal government.
The challenge for contractors will be the willingness to reconsider everything they are currently doing. The government contractors who will be the most successful in the years ahead will be those that see the changes as real opportunities.
Aronson LLC provides innovative services to government contractors for every phase of the business life cycle. Offering services in tax, assurance, compliance and contract consulting, business accounting systems and M&A, Aronson goes beyond basic compliance to identify opportunities and mitigate risk, while allowing you to focus on your core business.