vienna va united states key people joseph jordan ceo president ted leonsis vice chairman mark costanzo chief financial officer jeff shrader general counsel chief compliance officer jonathan swain chief administration officer & svp external relations 1 website www.fedbid.com fedbid inc. is a privately held company based in vienna virginia that operates a fully managed online marketplace designed to optimize how federal state and local governments and educational institutions purchase simple goods and services such as it products office supplies and lab equipment through a reverse auction based platform . 2 contents 1 history 2 operational model 3 customers 4 controversies 5 references 6 external links history edit fedbid was founded in 1999 as a division of privately owned procurement technologies inc. of gaithersburg maryland and initially raised more than 5 million in equity funding garage.com harvard investment group sun capital partners and other equity funds to launch the fedbid website . the idea came to phil fuster a fedbid founder when he became frustrated with the process of bidding on an rfq . 3 the company ceased operations in december 2000 when it could not secure a second round of financing . 4 in 2001 the fedbid online marketplace reopened under the ownership of advance technology inc. which changed its name to fedbid inc. in 2004 . the new fedbid expanded the focus of its online marketplace from u.s. federal orders to purchase order po transactions for bigger purchases of commercial items including commodity type goods and simple services . 5 according to company officials transaction volume through fedbid.com grew from 31 million in 2003 to 94 million in 2004 and 204 million in 2005 . 6 in 2007 fedbid was awarded a business method patent 7 272 579 for its auction based procurement system . us 7272579 in october 2009 fedbid announced that a record 875 million worth of purchases had been conducted though its site in fy2009 a 20 % increase over fy2008 . 7 for fy2010 the company reported that 1.15 billion worth of purchases were conducted through its site in the prior fiscal year a 30 % increase over fy2009 and a 50 % increase over fy2008 . 8 in january 2012 fedbid won a major investment from the newly launched december 2011 revolution growth fund . headed by steve case ted leonsis and donn davis revolution growth is now the largest investor in fedbid . as part of the agreement leonsis was named vice chairman of the board of fedbid . the fedbid board also includes general george casey the former chief of staff of the u.s. army ; kim cooke founder and managing director of blue water capitol ; susan bostrom former cmo of cisco ; and scott hilleboe also with revolution growth . 9 10 11 originally created to respond to federal government purchasing needs in 2013 fedbid expanded its reach to include state and local government education institutions and commercial markets with greater market expansion expected in as a result of the revolution growth investment . 12 13 on january 20 2015 fedbid announced that joseph jordan has assumed the role of chief executive officer effective january 1 2015 . under jordan s leadership in 2014 fedbid has helped its public sector customers drive greater competition and efficiency in the purchasing process while also saving taxpayer dollars . 14 operational model edit fedbid offers a fully managed reverse auction marketplace where government and commercial buyers anyone in a position to purchase post purchase requirements and then sellers of those commodity products and services bid on those requirements . 15 16 buyers save an average of 11 % on purchases which average 45 000 . the company gets a small percentage fee on top of the contract price . if the transaction doesn t save the buyer money they re not obligated to make the purchase . 2 while bidding sellers can not see other bidders prices but can tell whether they have the leading i.e. lowest bid in the auction and they can improve their bid if not . buyers can select any or none of the bids offered and they can cancel or repost the auction at any time . buyers are not charged and the winning seller is assessed a transaction fee that is automatically built into the bidding process . this entire process is supported by a comprehensive suite of marketplace management services . 15 17 a study released by the reverse auction research center in december 2010 found that the reverse auction services provided by fedbid for the u.s. customs and border protection bureau saved the agency roughly 10 percent annually over the past four years on more than 500 million in purchases made through the site . more than 90 percent of the acquisition professionals surveyed at the agency gave the reverse auction marketplace positive reviews citing lower acquisition costs greater competition and a more streamlined buying process . 18 customers edit fedbid s marketplace community includes over 75 000 sellers serving thousands of commercial federal state and local government and education sector buyers including ; the american red cross monumental sports and entertainment sungard detroit public schools the departments of the air force army commerce defense energy health and human services homeland security interior justice labor navy state transportation and treasury . 19 in october 2010 the u.s. navy u.s. marshals service and u.s. department of the interior all announced multi year contracts to use the service . 20 fedbid is now used by more than 16 000 buyers in all of the major federal agencies . 21 22 23 more than 8 500 government agencies from state department to homeland security shop for everything from boots and uniforms to laptop computers and network services using fedbid . 9 controversies edit on january 29 2015 the united states air force moved to have fedbid debarred for a time from future contracts with the federal government of the united states on the grounds that there was adequate evidence of a lack of business honesty or integrity at the company . 24 25 at the time of these actions fedbid already had been under investigation by the office of the inspector general of the united states department of veterans affairs and the united states department of justice for some time . 26 27 on february 20 2015 u.s. air force officials notified fedbid that they have removed the company from the excluded parties list system epls and the company was no longer suspended nor facing debarment proceedings . this decision was based on the terms of an administrative agreement signed between the company and usaf . 28 while the administrative agreement was initially for a three year period on march 7 2016 usaf notified fedbid that it had decided to end administrative agreement and monitoring requirements after only one year stating given the excellent progress achieved by fedbid i am satisfied there no longer exists a need for the aa administrative agreement . 29 references edit fedbid executive leaders retrieved on 2015 13 2 . a b fedbid s big plans techbis now 2013 03 11 . fedbid.com raises more than 5 million in first round internetnews.com 2000 07 25 . wakeman nick . capital markets grow cold for once sizzling e gov startups washington technology 2001 02 02 . fedbid corporate history retrieved on 2009 12 01 . boland rita . online government auction benefits buyers and sellers afcea newsletter 2006 05 15 . fedbid announces record 875 million worth of purchases by government buyers in fy2009 business wire 2009 10 21 . fedbid reverse auction business booms washington technology 2010 12 07 . a b revolution growth invests in vienna based fedbid washington post 2012 01 16 . revolution growth fund makes first investment in fedbid as company continues growth into new government and corporate markets retrieved on 2012 08 12 . fedbid board of directors retrieved on 2013 11 22 . billionaire tedleonsis how fedbid is going to save governments and companies 10 12 % on almost everything they buy venturebeat 2012 11 28 . fedbid as company continues growth into new government and corporate markets 2012 01 17 . fedbid announces joseph jordan as new chief executive officer 2015 02 13 . a b loudin kathlyn . fedbid.com reverse e auctioning ethernet cards to explosives in two easy steps contract management march 2005 . fedbid as company continues growth into new government and corporate markets revolution growth january 2012 . fedbid faqs 2013 11 03 . study hails use of online reverse auctions government executive 2011 01 03 . fedbid gives small businesses chance to connect to government el paso spotlight october 2008 . us navy takes aim at reverse auctions to improve procurement procurement leaders 2010 10 07 . billionaire tedleonsis how fedbid is going to save governments and companies 10 12 % on almost everything they buy venturebeat 2012 10 28 . fedbid gives procurement a reverse ebay washington post 2010 11 29 fedbid customers accessed 2013 11 22 air force moves to debar fedbid federal computer week accessed 2015 01 30 fedbid barred from new government contracts after watchdog report washington post accessed 2015 01 30 va rips fedbid questions value of reverse auctions federal computer week accessed 2015 01 30 administrative investigation conduct prejudicial to the government and interference of a va official for the financial benefit of a contractor veterans health administration procurement & logistics office washington dc u.s. department of veteran affairs office of the inspector general accessed 2015 01 30 statement from fedbid ceo joe jordan on usaf decision to lift suspension not pursue debarment http www.fedbid.com articles citing excellent progress achieved by fedbid air force ends monitoring requirements external links edit fedbid s website retrieved from https en.wikipedia.org w index.php title fedbid & oldid 742697769 categories companies based in virginiacompanies based in vienna virginia navigation menu personal tools not logged 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