This is the end…of the federal fiscal year.
While most of us consider the fiscal year and the calendar year to be one-and-the-same (beginning in January, ending in December, just like we all learned in kindergarten), government entities operate on a completely different schedule. If you’re selling to the government—and you should be selling to the government—it’s important that you know how this calendar functions. Once you understand your target’s fiscal year, you can tailor your sales strategy to match… which means you can swoop in with the right product or service, at the right time.
The federal government’s budget cycle runs from October 1st to September 30th. Meaning, this month is the end of the fiscal year for all federal agencies. What this means for you and your company is a HUGE opportunity to win some serious sales.
At the end of a fiscal year, the government has what we like to call “use it or lose it funds”. In essence, if the government doesn’t use any remaining available funds by the end of their year, they will not be awarded these same funds in the following year.
So what do they do? They make sure to spend as much money as possible and use the remaining funds by the end of September.
You should be highly conscious of these budget cycles because in the month of September, the federal government spends DOUBLE what they typically do in any other month of the year. This is a great opportunity for you to get your product or service into the hands of the government right now.
By being aware of the budget cycle, you are helping your sales team to plan their strategy to best win a sale. Your team needs to know when budget cycles start and end because that is when the majority of money is spent.
If you want more information, reach out to me directly, or check out our comprehensive learning system to get you started: www.govsalesuniversity.com