During times of crisis, now more than ever, the government needs capable companies to help with the increased demand for critical products and services. Selling to the government can help small and large businesses alike by providing them with a steady revenue stream. The government has proven to be a reliable customer, and from February 1 - April 23 of 2020, the government has already spent $6.4 billion on COVID-19 response. So, what is the government buying during the COVID-19 crisis and how can you help?
Federal Government Spend
In March of 2020, Congress passed three bills providing over $2.2 trillion to help with the government’s COVID-19 response. The bills allocated:
- $8.3 billion to develop vaccines and diagnostics, procure medical products, and provide a safety net for small business;
- $2.5 billion to expand support for nutrition and food programs, expand disease exposure control plans, expand employee paid leave benefits, and increase medical assistance;
- And $2.2 trillion to provide financial and food assistance to individuals and businesses, additional funding to hospitals and healthcare workers, resources for stockpiling medical equipment, and more.
Additionally, the Coronavirus Aid, Relief, and Economic Security Act (CARES) provides funding in the following areas, many of which require support from contractors (aka businesses that sell to the government).
- Medical Equipment
- Personal Protective Equipment
- Medical Research
- Testing and Diagnostics
- Health Worker Training
- Telehealth Capabilities
- Operational Support
- Telework Capabilities
- Admin / Program Support
- Cleaning Services
As of April 23, 2020, government spending in some of those areas in relation to COVID-19 response has been reported as follows:
- Medical and surgical instruments, equipment, and supplies: $2.3 billion.
- Drugs and biologicals: $1.3 billion.
- Basic biomedical research and development: $453 million.
- Financial management support: $359 million.
- IT and telecom software maintenance service plans: $300 million.
How Can You Help?
The government needs capable companies to help with the increased demand for products and services. Your company doesn’t have to fit into the categories above to be successful in selling to the government. The government buys anything from boxes to construction services, and your company could be an integral part of the solution that helps stop the spread of COVID-19. Learn more.
We're here to support your business.
If you’re ready to sell to the government or want to learn how your company fits into the government contracting space, contact us. These times are tough, and we know that uncertainty can be scary. Our team provides expert guidance and can lead you through the right steps to winning contracts with the government, resulting in a strong revenue stream for your business. The government is buying, and you can be part of the solution that helps stop the spread of COVID-19.
About the Author
Vanessa is the Marketing Manager at JetCo Solutions. She leads the company’s strategic marketing, communications, and advertising initiatives while creating compelling content for all marketing channels.