Why is Accounting System Compliance
so Important for Government Contractors?
The federal government demands that its agencies
purchase the goods and services they need at a fair and reasonable cost.
To receive a flexibly priced contract or one that includes incentive fees,
the FAR 16.301(3) requires you to maintain
an adequate accounting system for determining costs.
This covers many types of contracts, including:
In addition, all federal contracts exceeding the $750,000
Truthful Cost or Pricing Data (formerly Truth in Negotiations Act)
threshold require certified cost or pricing data unless an exception applies.
Your accounting system is essential to proving that your costs are
reasonable, allowable and allocable to your contract.
Failure to comply with accounting standards carries severe penalties,
which can include suspension of payments and ineligibility for future government contracts!
Robert E. Jones
Robert E. Jones knows government contracts: How to qualify for them. How to manage them. And how to profit from them.
With over 14 years of Department of Defense contract and accounting experience, he helps companies successfully navigate the complex legal and regulatory framework of federal contracting.
As a consultant to small and mid-sized businesses, Robert offers expert input into strategic planning, cost and pricing models, financial analysis, negotiation strategies and regulatory compliance.
He designs and implements DCAA-compliant ERP and accounting systems for service, manufacturing, and aerospace companies.
His proactive, decisive approach to finding opportunities and solving problems is based on experience in managing more than $30 million in federal contracts.
Led by a CPA with nearly 15 years of success in managing
government contracts compliance, our services include:
Protect your contracts and payments!
Call us today to discuss how the right accounting system goes beyond compliance
to manage your business more profitably