About Entrepreneurs

Author: Pat Kiggins

Corporate America is missing a HUGE opportunity! Most
companies, regardless of the improved economy, are still
searching for ways to reduce their costs and become more
competitive.

Many companies have outsourced several functions to reduce
costs. Of course, the most obvious outsourcing activity has
been the customer relations call centers. How many of us have tried to call a customer service number only to find that we have difficulty understanding the person at the other end of the line.

Now, here's the opportunity that has been wasted. The largest customer for most of our Fortune 1000 companies is the Federal Government. Ask any of them and they will tell you that each one offers their "most favored" pricing to the Government.

Even when jobs were scarce, many companies still recruited
skilled sales people who knew how to sell to the government.

Many of those job requisitions preferred a military background. Of course, most of those same companies have Veterans on their payroll, yet they overlook the obvious.

Now, for the "profound" mistake made by all of those companies: They should "outsource" their Veterans!

Here's why:

·The Federal Government currently sets aside 3% of its annual contracting budget to be spent with "Veteran-owned" companies.

·That measly 3% equals $9 Billion a year in lost revenue to the Fortune 1000. It gets even worse because the Fortune 1000 companies are also given incentives to spend 3% of their revenues with Veteran-owned businesses. Most companies try to achieve that goal by searching for Veteran-owned sub-contractors. That adds up to a total of $84 Billion per year that the government wants to spend with Veterans.

·Currently, the government is considering legislation that will
increase the percentage of their contracting budget to 9% that
will be spent with Veterans.

·That will be $27 Billion a year that the Fortune 1000
companies won't be able to get their hands on. When you add in the 9% of the Fortune company "targets", the amount increases to a staggering $252 Billion every year!

Now, how can the Fortune 1000 companies capitalize on these
facts? Easy! Outsource their Veterans!

What do I mean by that? I suggest they "spin off" their
Veterans into a company that is at least 51% owned by Veterans.

The Fortune companies can still be a "minority" investor and in fact, should make that kind of investment to ensure there is
enough capital to make the "spin off" successful.

The Veterans already know the product. They know the company processes for ordering and servicing the product.

More importantly, many of them know the government process for ordering and purchasing!

Now, the Fortune company would have a business that they could supply product to which is qualified to aggressively bid for the $252 Billion of business that they couldn't bid on before. Let the Veteran-owned business become a distributor for their products and let them sell direct to the government!

Everybody wins in this situation.

·The Fortune companies further reduce headcount and associated costs.

·The Veterans can take advantage of their benefits to build a
company that can make them wealthy.

·The "spun off" company can be well capitalized, yet still
owned by a majority of Veterans.

·The Veteran-owned business gets an automatic "preference" from the Government.

·The Veteran-owned company can operate profitably.

·The Fortune 1000 company generates more revenue.

·The Veteran business can actually expand the market for the
Fortune business products by selling to others in addition to
the government.

When you start putting a sharp pencil to the opportunity, you
could actually grow our entire economy much faster by simply
"outsourcing" one of your most valuable assets, your Veterans!

If Veterans want to learn more about how they can use their
benefits to start a business that is capable of selling products
and services to the government, they should sign up for their
free copy of Veteran Business News at
http://www.veteranbusinessnews.com.

Pat Kiggins
The Veteran Business Opportunity Advocate
http://www.veteranbusinessnews.com