Gov to English translation: A fixed price contract, so the price you bid, is the price you’ll get
What is FFP: When pricing your bids there are two basic ways to price your solution Cost and Fixed price. Fixed price is very simple, the government wants a price for 10 laptops, you bid $10K. Thats the price, easy peasy
Why you care:
1) Because the bidder takes the risk of cost overruns you can usually get more profit on FFP contracts
2) Because the pricing is transparent the government doesn’t require vendors to have as much government accounting weirdo systems in-place (e.g you con’t need to be DCAA).
3) Bottom line, FFP is great for new vendors