Small government contractors are trying to figure out how sequestration will affect their businesses and what they can do to be prepared.
“The potential reality is hitting home” as January edges closer and industry officials see it as unlikely that a deal could be made before the presidential election, said Stan Soloway, president and chief executive of the Arlington-based industry group Professional Services Council. Contractors are already seeing some federal agencies ready for sequestration by delaying awards or moving more slowly, he said, and many companies “expect that to become more acute.” Source: Washington Post
According to some of the smaller contractors interviewed by Marjorie Censer they are less concerned than their larger counterparts. Perhaps they have less downside, or perhaps because small businesses are better at handling adversity than the more bureaucratic GovCon behemoths around town. I suspect it’s a bit of the latter and a case where the rhetoric is exaggerated to help prevent the draconian cuts in the first place. Whatever the case, this will be interesting to watch as we inch closer to the Presidential election.
More recent news as this heats up:
Excerpt from the CNN Blog: The Specter of Sequestration
Sequestration will cause its greatest disruptions immediately in early 2013, when mechanistic and severe cuts have to be imposed overnight.