Expand Your Federal Sales with a Contractor Team Agreement (CTA)
Under a Contractor Team Agreement (CTA), two or more GSA Schedule contractors work together to meet ordering activities by providing a total solution that combines the supplies and/or services from each team members’ separate GSA Schedule contracts.
What are the benefits of a Contractor Team Agreement?
One major benefit that GSA Schedule holders under a CTA hold is the opportunity for vendors to compete for orders that they would not qualify for alone. These CTA partnerships provide quick and easy total solutions, which would otherwise be impossible under individual GSA Schedule contracts. For instance, large and small businesses can work together to achieve the contract requirements: large businesses can leverage past government experience, meet the demand of a large scoped project, and pull together resources quickly, while small businesses can qualify for small business set-aside opportunities, and often times serve an important niche that large business can’t fulfill. This can increase the vendor’s competitive edge, market shares and visibility while sharing the risk and rewards with others.
Is a Contractor Team Agreement the same as a Subcontractor Agreement?
A CTA is different from a subcontractor agreement as each team member must have a GSA Schedule Contract and each team member has certain privileges for their specific contract. In prime/sub-contractor arrangements, the relationship is very tightly defined and controlled by the prime contractor and only the prime contractor has the benefits of the contract; whereas under a CTA, each team member is also responsible for duties addressed in the CTA document and the ordering activity is invoiced at each team member’s unit prices or hourly rates as agreed.
Visiting the GSA eLibrary website is a great way to find GSA Schedule contractors who match the supply or service criteria of a Federal opportunity. A CTA cannot conflict with the underlying terms and conditions of each team member’s GSA Schedule Contract and GSA Schedule contractors are responsible for crafting the CTA document. Even though the government is not involved in this process, there are certain elements that should be included on the CTA. Prospective CTA contractors should consider particular areas of interest such as specific team activities, duration of agreement, terms of arrangement, open market items and liabilities.