If you are looking forward to procure
a government contract that will help you add laurels to your cap, you are in
for some serious accounting business. The auditing body, the DCAA is known for it’s stringent stipulations and the strict
clauses that it maintains in it’s
pre-contract audit system. The body is
hired by all defense as well as other government departments before the
awarding of the contracts to ensure that the public money is being well spent and prevent squandering on
impertinent contracts.
Complying
with stringent clauses
The cost reimbursable types of contracts have some
of the most stringent clauses on the accounting system. In this kind of contract, the contractors will be required to make the incurred cost submissions within the stipulated period. This kind of cost submission has to
comply with the strict accounting
standards of the DCAA, and any kind of failure to do so is likely to incur severe penalties. This then becomes heavy for the small and the medium-sized businesses that have to reel under
the impact of these fines and at times imprisonment.
Making use of professional
help
A secure way
of avoiding such hassles and making accurate incurred cost submissions is to take the help of the
professionals that have adequate knowledge about the system. There are experienced people that have served
the DCAA for several years and are now engaged in drawing up of adequate
accounting systems for businesses that need support. There are specific clauses
and ways that the costs have to be
segregated and presented apart from their proper documentation.
