Smaller Defense Agencies Leverage Power of Lobbying to Win Big Contracts

When Competing With Defense Industry Leaders, Smaller and Medium Defense Companies Are Often Locked Out of the Conversation. Lobbying Can Put These Companies Back on the Map

TAMPA, FL / ACCESSWIRE / March 27, 2023 / As the Ukraine-Russian war slogs towards its 14^th month, tensions are rippling into other countries. Last November, NATO rushed to action and bolstered its arms supply after a rogue missile hit Poland. Meanwhile, some worry we may soon face a US war with Russia after the US announced it would dispatch $2.98 billion dollars of weapons and military equipment to the Ukraine Security Assistance Initiative. And with China now in talks with Russia, others caution the world could soon see a China US war.

Some experts warn that now more than ever, the United States must arm itself with powerful defense companies to prepare for the next global crisis. But despite the current uptick in global tensions and a hearty fiscal 2024 budget, small and medium defense companies often have difficulty striking deals with the federal government.

It's not from a lack of options; though the exact number is unknown, there are hundreds of thousands of small defense companies vying for contracts and deals within the defense industry.

However, typically most contracts are awarded to larger defense companies. In 2022, three companies alone received $92.3 billion in prime contracts.

All too often, smaller companies become lost in the noise. Gene Moran, the founder of Capitol Integration, has a possible theory on why. "The system is geared to drive these lesser-known companies toward the small business offices or executive branch entry points," he points out. As a result, companies vanish in the federal labyrinth and acquisition maze. Meanwhile, he continues, "mid-tier companies that are successful know how to engage the US government to fast-track better outcomes and earn contracts."

By leveraging underutilized tools like lobbying, Moran says that smaller defense companies can achieve large-scale federal sales 12-24 months faster than they otherwise would.

Studies prove just how effective lobbying can be when securing entrepreneurial opportunities. Top military contractors continually outspend competitors on lobbying. In the first nine months of 2022 alone, the top five defense companies spent a mammoth $44.5 million on federal lobbying. As a result, these companies earned more money from the federal government than any other government contractor.

Clearly, there is a strong connection between lobbying and winning contracts. Though lobbying is such a persuasive tool, "fewer than one percent of defense companies use formal lobbying in their sales strategy," Moran notes. "Most companies lack awareness of the process and don't know how to effectively participate across the federal budget and acquisition process."

The more that smaller defense companies use sophisticated sales tactics and better understand the federal contract landscape, the more they can compete at a level playing field and gain access to Washington. As the Ukraine war news worsens and global tensions continue to rise, experts forecast that there's no better time for them to act than now.

A​bout Capitol Integration

Capitol Integration is a firm that helps small to medium-sized defense companies gain access to federal contracts. Founder Gene Moran is an award-winning independent lobbyist and advisor, and he uses his experience to help smaller contractors obtain lucrative federal defense contracts. Over his years in Washington, Gene has developed methods and strategies to help outsiders become insiders and level the playing field in the national defense contracting world. For more information, visit capitolintegration.com. For additional information, visit Capital Integration on LinkedIn, or Twitter.

CONTACT
Gene Moran
703.895.2761
Gene@capitolintegration.com

SOURCE: Capital Integration