Originally Posted by Minte

We tend to steer clear of government contracts. We like to actually get paid for the products we manufacture.

Without giving to much away, recently a division of the federal government approached us to purchase a product we make. Non-military hardware so we bit. Had all the testing done went through the mountain of paperwork to be a tier one supplier. Then waited.

After a month our sales manager called the man that he was dealing with. The man was terribly embarrassed. It seems that congress mandated to this department that the product we hope to sell them was not funded. So the law says they have to do this but they don't have any money to pay for it. Right now, just the cost of the testing data we were required to submit was well into 5 figures. I haven't asked, because I really don't want to know. But it would not shock me if with travel ,engineering, packaging, administration costs that we could be into this for 6 figures.