Magellan Integration is a joint venture of KSA Integration and Magellan Federal. As a service-disabled, veteran-owned small business (SDVOSB), the joint venture is eligible to receive:
- Sole-source contracts up to $I00M (for DoD contracts; Section 823 of the 2020 NDAA) are exempt from justification or authorization requirements
- Sole-source contracts up to $22M (for non-DoD contracts)
- (I JCFR § I 24.506(b)(5)). Awards cannot be protested [I JCFR § 124.51 l(a)J
What is a JV?
Joint ventures allow certain businesses to compete together for government contracts reserved for small businesses. Mentor-Protégé Joint Ventures (MP-JVs) have a Small Business Administration (SBA) approved Mentor Protégé Agreement (MPA) as their foundation document. A mentor and its protégé can joint venture as a small business for any small business contract, provided the protégé individually qualifies as small. The joint venture may also pursue any type of set-aside contract for which the protégé qualifies, including contracts set aside for 8(a), service-disabled veteran-owned, woman-owned, and HUBZone businesses.
Advantages of a JV for the Government
The SBA program is designed to help small contractors engage in federal contracting by allowing larger, more experienced mentor firms to provide assistance to protégés. Generally, the proteges receive financial, technical, or management aid from mentors, and the mentors may receive subcontracting goal credits, reimbursement of expenses, and other incentives in return. One of the key concepts behind these programs is to increase the capacity of small business concerns to compete for contracts they would not ordinarily qualify for otherwise.