Selling to government agencies can be a valuable practice, as long as vendors have a full understanding of the various rules and regulations that accompany B2G purchases and payments.
The fact is, every government agency needs products and services and these departments - whether they be federal, state or local - can vary in size. That means virtually any vendor can be successful in selling to government customers.
Doing so can be beneficial businesses, because many government purchases are made using a p card, which can require level 3 data and line-item detail. Accepting these kinds of payments can save vendors on processing fees.
Now, when selling to government agencies, particularly in the federal sector, there are regulations that must be followed. Agencies of different sizes have different rules pertaining to the cost of their purchase, and suppliers must be cognizant of this.
An article in the online publication The Daily Ranger examines this a little further. Natasha Stahla, the author of the article, suggests for vendors to read up on the various requirements pertaining to each government transaction they process.
"If you are interested in doing business with the federal government, one thing you will want to learn is how to market your business to the different agencies," Stahla writes. "Marketing to the federal government is a whole different ball game than marketing to the general population. The federal government must purchase products, services and construction in accordance with the Federal Acquisition Regulations. Agencies must follow a process that the FAR provides at different dollar thresholds."
Ultimately, if these rules are followed, vendors that acquire the proper payment solutions can enjoy a wealth of benefits while processing government transactions.