FOR ALL MY FELLOW DVBE'S, PLEASE NOTE: MY PERSONAL KNOWLEDGE TO USE OR DISREGARD AS YOU SEE FIT.
SOME BASIC INSIGHT INTO MY dvbe EXPERIENCES:
IT'S SEPTEMBER 2008,
I HAVE BEEN STRIVING FOR SUCCESS FOR OVER 9 YEARS AS A DVBE, I HAVE NO BRAGGING RIGHTS ON SUCCESSES AS A DVBE, MY 23 YEARS OF MILITARY SERVICE AND A 30% DISABILITY GOT ME INTO THIS BUSINESS. I HAVE MADE SOME SUCCESSES BY TAKING THE LEAD AND BEING A PRIME ON MOST CONTRACTS, BUT DON'T COUNT ON YOUR DVBE CERT TO GIVE YOU MUCH OF AN ADVANTAGE, EITHER YOUR LOW BIDDER OR NOT, AFTER ALL THE dvbe PERCENTAGE AND small BUSINESS PERCENTAGE IS FACTORED IN. SOME WILL LOWBALL AND YOU LOSE EVERY TIME, SOMETIMES THERE ARE JUST 1 OR 2 WHO ATTEND A JOB WALK MINIMIZING THE NUMBER OF BIDS/COMPETITION. ONCE IN A GREAT WHILE YOU MAY BE THE ONLY BIDDER IN ATTENDANCE ON A JOB WALK, IF YOUR BID IS IN REASON, 99% OF THE TIME YOU CAN GO CA-CHING... MOST SUCCESS IS A RESULT OF CONTINUING TO GO AFTER PROJECTS UNDERSTANDING, YOU WILL LOSE MORE THAN YOU WIN, BUT THE GOAL SHOULD BE TO LINE UP SEVERAL PROJECTS FAR ENOUGH IN ADVANCE THAT YOU CAN PROJECT FUTURE EARNINGS. MOST WILL NEVER ACCOMPLISH THIS, I CAME CLOSE BUT FAILED SHORT BECAUSE MY BASE OF OPERATIONS WAS NOT STRUCTURED PROPERLY. THE SAME ALMOST EXIST WHEN YOU ARE A SUB ON A CONTRACT TO ACHIEVE THE DVBE OBJECTIVE, YOU HAVE A PRODUCT OR SERVICE TO PROVIDE AND IF YOUR WILLING TO DO TAKEOFFS AND YOUR PRICE COMES IN RIGHT YOU GET THE WORK, BUT IT IS VERY DIFFICULT AND CHALLENGING TO LINE UP A LOT OF WORK AS A SUB. EITHER GOING AFTER PROJECTS AS A PRIME OR A SUB THE DVBE STATUS MAY OPEN DOORS THAT MAY NOT OTHERWISE BE OPEN, BUT THERE IS A NEVER ENDING PROCESS OF SECURING OPPORTUNITY.
I HAVE HAD SOME SUCCESSES IN SALES, SOME STATE AGENCIES, THE FEDERAL GOVERNMENT, BUT MOSTLY, THE CALIFORNIA DEPARTMENT OF CORRECTIONS, THEY ACTIVELY SEEK QUOTES ON PRODUCTS THAT YOU CAN PROVIDE, OR SOURCE, NO ONE REALLY CARES WHERE YOU GET THE PRODUCTS, AS LONG AS THEY MEET THE SPECIFICATIONS AND THEY ARE DELIVERED AS REQUESTED IN PURCHASE ORDER. AS FAR AS WARRANTY IS CONCERNED, USUALLY THE MFR WARRANTY IS ALL THAT THE CUSTOMER WANTS, UNLESS YOU ARE ALSO INSTALLING A PRODUCT WHICH HAS OTHER RAMIFICATIONS. HAVING SAID THAT, IT IS NO EASY TASK TO SET UP ACCOUNTS WHERE YOUR WHOLESALERS, DISTRIBUTORS AND VENDORS WILL GIVE YOU A NET 30 AS WELL AS DISCOUNTS ON THE PRODUCTS YOUR LOOKING TO RESALE. IN MANY CASES YOU MAY HAVE TO PUT UP YOUR OWN MONEY, OR BORROWED MONEY TO GET THE PRODUCT THAT THE CUSTOMER WANTS. THERE IS A LOT OF PAPER WORK IN SALES AND IT BECOMES A REAL PAPER TIGER: GENERATING QUOTES, RESEARCHING PRODUCTS, GETTING THE BEST VALUE, INVOICING, PAYMENT FOLLOW UP, CREDITOR PAYMENTS, SALES TAX CALCULATIONS, REPORTING TO FRANCHISE TAX BOARD MONTHLY QUARTERLY OR YEARLY, DEALING WITH RETURNS, REJECTS, AND MUCH MORE. DOING SALES FOR MOST DVBE'S IS MORE ALONG THE LINE OF A JOBBER, A PERSON WHO SIMPLY PURCHASES PRODUCTS FOR THE PURPOSE OF RESALE, UNLIKE A RETAILER, WHOLESALER, DISTRIBUTOR WHO STOCK OR DISPLAY PRODUCTS. SALES FOR ME HAS BEEN A ROLLER COASTER RIDE THAT IS VERY DEMANDING AND UNFORGIVING. IN OTHER WORDS IF SALES SLOW DOWN, AND YOUR DEPENDENT ON IT FOR A LIVELY HOOD, NO ONE CARES. MANY TIMES THE ONLY REASON YOU CAN MAKE A SALE IS BECAUSE YOU ARE A dvbe AND IF YOU RUN INTO RECERTIFICATION PROBLEMS, YOUR SALES WILL STOP IF YOUR SELLING ONLY TO STATE AGENCIES.
NOTHING GOOD COMES EASY:
WHETHER YOUR IN CONSTRUCTION, NON MANUFACTURE, OR SERVICE CAPTURING DVBE OPPORTUNITY IS VERY CHALLENGING, IN AND OF ITSELF SOUNDS VERY PROMISING, BUT, IT IS MY HUMBLE OPINION THAT IS ONLY THE BEGINNING OF THE END, IF YOU PUT ALL YOUR EGGS IN ONE BASKET.
MY RECOMMENDATIONS FOR THE BEGINNERS AND THOSE THAT ARE SEASONED WOULD BE, CONSIDER GETTING CERTIFIED BY CALTRANS AS A MINORITY, COMPLETION IS NOT AN ISSUE, IT IS ALSO BASED ON FINANCIAL DISADVANTAGES, AND THOSE WHO MAY BE DENIED OPPORTUNITY BECAUSE SIMPLY AS A dvbe THERE ARE CONNOTATIONS THAT BECAUSE YOU ARE DISABLED ARE YOU REALLY THE PERSONS OR COMPANY WE WANT ON THE JOB.Race-neutral Implementation Agreement Disadvantaged Business Enterprise (DBE) THIS WILL GARNER MORE OPPORTUNITY FOR ANY DVBE.
ANOTHER CONSIDERATION THAT WILL GET YOU FEDERAL OPPORTUNITIES IS
A. LOOK FOR THEM, ON LINE AND AT MILITARY INSTALLATIONS, GET REGISTERED ON THE CCR OR PRONET
B. CONSIDER BECOMING 8A CERTIFIED WITH THE SMALL BUSINESS ADMINISTRATION
ANOTHER CONSIDERATION IS ESTABLISH A NOT FOR PROFIT ACTIVITY (NFP)
I BELIEVE THERE ARE 11 NFP ORGANIZATIONS AFFILIATED WITH THE DVBE ALLIANCE EACH IS AN INDEPENDENT ENTITY.
WHAT EVER YOUR BUSINESS IS, IT CAN BE CONVERTED TO A NON PROFIT ORGANIZATION
THE DVBE ALLIANCE AND ALL THE AFFILIATED ACTIVITIES DO A SERVICE, NON-MANUFACTURING OR CONSTRUCTION
I ATTENDED MEETINGS FOR A FEW YEARS IN THE BEGINNING AS A DVBE AND AGAIN A FEW YEARS LATER AND I HAVE ATTENDED keep THE pROMICE Galas...
THERE IS ALWAYS A LOT OF HYPE ABOUT LEGISLATION CHANGES AND POTENTIAL OPPORTUNITIES THAT SEEM TO DO MORE FOR THE CLUB AND POLITICS THAN IT DID FOR THE MEMBERS.
NONE THE LESS, THESE NFPs ARE IMPORTANT BECAUSE THERE ARE MORE AND MORE DISABLED VETERANS LOOKING FOR GUIDANCE AND UNDERSTANDING AND NO OTHER PLACE DO DVBES COME TOGETHER FOR A COMMON CAUSE. - THE AMERICAN LEGION HAS A PRETTY GOOD MEMBERSHIP, BUT THEY SUPPORT ALL VETERANS.
THERE ARE A LOT OF ORGANIZATIONS YOU CAN BELONG TO - CONSIDER - STARTING ONE THAT MEETS YOUR DESIRES.
AS WITH ANY BUSINESS, INCLUDING NFP, BASE OF OPERATIONS IF NOT STRUCTURED PROPERLY WILL FAIL.
BE ADVISED THAT GETTING INFORMATION FROM A NFP ON HOW THEY MAKE THEIR MONEY IS VERY SECRETIVE. I HAVE NOTICED THAT SOME OF AFFLUENCE CREATE NFP ACTIVITY AND SEEM TO DO VERY WELL.
PUTTING ALL YOUR EGGS IN ONE BASKET IS PUTTING ALL YOUR EFFORTS INTO SEEKING OPPORTUNITY ONLY AS A DVBE, DON'T BUILD A BUSINESS SPECIFICALLY AROUND THE CONCEPT OR OPPORTUNITIES AS A DVBE, ALTHOUGH OPPORTUNITY EXISTS AND YOU SHOULD GO AFTER THEM, KEEP YOUR BUSINESS ACTIVITIES TIED INTO THE PRIVATE, PUBLIC AND COMMERCIAL CUSTOMER BASE.
ASIDE FROM THIS, DEVELOP A PLAN, REVIEW IT, UPDATE IT AS NEEDED, STAY TRUE TO YOUR PLAN, AND ESTABLISH A STRONG BASE OF OPERATIONS, WHICH INCLUDES AS A MINIMUM, A LAWYER, CPA AND BANKER, THESE THREE ELEMENTS CAN NOT BE OVER EMPHASIZED!
GOOD LUCK ON ALL YOUR ENDEAVORS AND DON'T FORGET TO TOSS SOME SALT OVER YOUR SHOULDER FOR GOOD LUCK!
BROUGHT TO YOU FROM THE SCHOOL OF HARD KNOCKS.
dvbe# 20401