GOVCON TIP: You can go broke trying the middleman strategy This “strategy” that ppl talk about in government contracting has a lot of flaws that you need to be aware of. #governmentcontracting #govcon #governmentcontracts #BusinessTips #middleman

That's insane. So again, just as some all of this up, the middle man strategy could be a cash flow nightmare, if the government does not pay you net 30 and then that gets pushed to net 60 net 90 net 120. And your contractor are waiting for their money or you didn't stop work fast enough like I did that can become a huge problem for your business and put you at a big financial risk. Do you know what managing 36 middle man contracts would be like hell you're dealing with 36 different subcontractors 36 different contracting officers. Potentially, I don't know many different payment systems or ways you have to submit invoices 36 different agencies that's insane and you're a solar manure. You're by yourself or you have one or two real employees that is not a business. That is full time managing chaos. I'm just here to tell you, but you're going to trust a $450,000 H bet contract to someone you found on Facebook marketplace. The same place where people sell $5 hula hoops. Okay, do what you want means you know nothing about everything. You're going to be a middle man that just got caught in the middle at net 30 can easily be pushed to net 120 because someone lost your invoice. There's turnover in the contracting office and nobody knows what to do. So if you don't have three to six months of operating reserve, you can drown. You can get a subcontractor that does shitty work that shows up late. That doesn't have a good work ethic and you don't find that out into there on the job. So what do you do. We don't want these people back on base. You are responsible. It is going to be hard for you to scale a business that has 36 different contracts with 36 different subs and 30 some odd industries that you don't know anything about. You're not building a business. You're not building equity. You're not building expertise. You're not building a team. You're just bidding and hoping and praying. That's not a business.