Texas DIR Cooperative Contract Partnership

RFO COOP2025SOL-00003 - End-User IT Outsourcing Services

VeAssis LLC (Prime) + Tekgration LLC Partnership Overview

🎯 Tekgration LLC's Role in the Partnership

✓ VetHUB CERTIFIED
✓ EXISTING DIR VENDOR
Your Allocation: 15-20% of total contract value
Service Category Coverage: Categories 2.1.2, 2.1.3, 2.1.4, 2.1.6
Primary Work Types:
  • IT Asset Management (ITAM) - Hardware/software inventory, license management, lifecycle
  • Desktop Outsourcing & Management - Endpoint management, desktop support, patch management
  • Hardware Procurement Services - Equipment sourcing and deployment
  • Endpoint Security - Device security, access management, firewalls
  • COTS Software Solutions - Commercial off-the-shelf software implementation
Revenue Model: 80% of billable work goes to Tekgration, 20% to VeAssis for prime contractor administration
Competitive Advantage: Already familiar with DIR requirements from existing contracts - you understand the system!

Contract Overview

Contract Detail Information
Contract Type Texas DIR Cooperative Contract (5-year statewide master agreement)
Contract Value $3.2M - $5.6M estimated over 5 years across all partners
Eligible Customers 6,200+ Texas state agencies, universities, school districts, local governments
Proposal Due Date February 18, 2026 (2:00 PM CT)
Estimated Award March/April 2026
Contract Duration 5 years (2026-2031) with potential extensions

Complete Team Structure & Work Allocation

Partner Role Allocation Certifications Service Categories
VeAssis LLC Prime Contractor 35-40% DBE/HUB/WBE/MBE 2.1.2, 2.1.6 - Program management, help desk, custom AI development
Mavros LLC Cloud Infrastructure Subcontractor 20-25% DBE - NCTRCA 2.1.2, 2.1.5, 2.1.6 - Cloud infrastructure, DevOps, network management
Drupal Connect LLC Web Development Subcontractor 15-20% - 2.1.6 - Web development, CMS platforms, IT staff augmentation
Tekgration LLC ITAM & Desktop Support Subcontractor 15-20% VetHUB DIR Vendor 2.1.2, 2.1.3, 2.1.4, 2.1.6 - ITAM, desktop support, hardware, cybersecurity
DBE/HUB Participation: VeAssis + Mavros = 100% DBE participation (far exceeding 26% goal)
VetHUB Participation: Tekgration = 27% VetHUB participation (exceeding 26% goal)
Combined Advantage: 100% DBE + 27% VetHUB = Exceptional small business participation

Detailed Work Breakdown - Tekgration's Service Areas

Category 2.1.2: End-User IT Management Services

Work Type Tekgration's Role Allocation
Desktop Support Primary - All desktop support 100%
On-Premise System Administration Traditional infrastructure 40%
Cloud System Administration Mavros - Cloud-based systems 60%
Endpoint Security & Access Management Primary - Device/endpoint security 80%
Cloud Security & Access Management Mavros - Cloud security 20%

Category 2.1.3: IT Asset Management (ITAM) - Tekgration Primary

Work Type Tekgration's Role Allocation
Hardware Inventory Tracking Primary - All hardware asset management 100%
Software License Management Primary - License compliance, tracking 100%
Asset Lifecycle Management Primary - Procurement through disposal 100%
Procurement Coordination Primary - Vendor management, purchasing 100%

Category 2.1.4: Desktop Outsourcing and Management - Tekgration Primary

Work Type Tekgration's Role Allocation
Endpoint Management Primary - Device configuration, deployment 80%
Endpoint Management Oversight VeAssis - Program management 20%
Desktop Support Primary - All desktop support services 100%
Patch Management On-premise systems 70%
Patch Management Mavros - Cloud systems 30%
Remote Troubleshooting Primary - Desktop/endpoint issues 90%
Remote Troubleshooting VeAssis - Help desk coordination 10%

Category 2.1.6: Miscellaneous Services (Subcategories)

Subcategory Work Description Tekgration's Role Allocation
G. Procurement Services Hardware equipment, peripherals, devices Hardware procurement 60%
G. Procurement Services Software, cloud services procurement VeAssis - Software/services 40%
K. Security Services Endpoint security, device protection, firewalls Endpoint security 60%
K. Security Services Cloud security, identity management Mavros - Cloud security 40%

Tekgration's Expertise & Existing DIR Experience

Why Tekgration Is Valuable to This Partnership:

Already a DIR Vendor: Tekgration currently has active DIR contracts, which means:
  • You understand DIR reporting requirements and compliance
  • You have existing relationships with Texas agencies
  • You know how cooperative contracts work operationally
  • You can provide DIR-specific references for our proposal
  • Agencies may already know and trust your company

Tekgration's Service Specializations:

VetHUB Certification - Competitive Advantage:

Service-Disabled Veteran Woman-Owned Business: Tekgration's VetHUB certification gives our team:
  • 27% VetHUB participation (exceeds DIR's 26% goal)
  • Veteran-owned business preference in evaluations
  • Combined with 100% DBE participation = exceptional small business engagement
  • San Antonio location provides geographic diversity in team

Revenue Projections for Tekgration LLC

Year Conservative Estimate Moderate Estimate Primary Revenue Source
Year 1 (2026) $300,000 - $450,000 $450,000 - $640,000 ITAM implementations, desktop support contracts
Year 2 (2027) $480,000 - $640,000 $640,000 - $900,000 Ongoing support + new ITAM projects
Year 3-5 (2028-2031) $480,000 - $720,000/year $640,000 - $1,000,000/year Steady state recurring support
5-Year Total $2.4M - $3.2M $3.2M - $4.8M Total to Tekgration LLC
Note: These are Tekgration's revenue numbers (after 80/20 split). Actual billing to agencies will be 25% higher (the 20% VeAssis keeps for prime contractor duties).

Typical Project Scenarios for Tekgration

Scenario 1: ITAM Implementation Project

Customer: School district with 2,000 devices
Need: Complete IT asset management system implementation
Project Value: $150,000
Agency pays VeAssis: $150,000
VeAssis pays Tekgration (80%): $120,000
Tekgration scope: Asset discovery, ITAM software setup, training, documentation
Duration: 4 months
Tekgration gross margin: ~25-30% ($30,000-36,000)

Scenario 2: Desktop Support Contract (Recurring Revenue)

Customer: State agency with 300 employees
Need: Ongoing desktop support and endpoint management
Monthly Value: $12,000/month
Agency pays VeAssis: $12,000/month
VeAssis pays Tekgration (80%): $9,600/month
Annual to Tekgration: $115,200
Duration: Multi-year recurring
This is the most valuable - recurring monthly revenue!

Scenario 3: Hardware Procurement & Deployment

Customer: University department refresh
Need: 200 laptops, deployment, configuration, asset tracking
Project Value: $220,000 (hardware + services)
Agency pays VeAssis: $220,000
VeAssis pays Tekgration (80%): $176,000
Tekgration scope: Procurement, imaging, deployment, ITAM entry
Duration: 2 months
Tekgration margin on services portion: ~30%

Scenario 4: Cybersecurity Implementation

Customer: Local government entity
Need: Endpoint security rollout across 500 devices
Project Value: $180,000
Agency pays VeAssis: $180,000
VeAssis pays Tekgration (80%): $144,000
Tekgration scope: Security software deployment, configuration, monitoring setup
Duration: 3 months

How the Partnership Works

Workflow for a Typical Project:

  1. Agency Contacts VeAssis: Texas agency needs ITAM, desktop support, or hardware services
  2. VeAssis Engages Tekgration: We bring you in to assess and scope the technical work
  3. Joint Proposal: Tekgration provides technical scope and pricing, VeAssis submits to agency
  4. Agency Awards: Agency issues task order/purchase order to VeAssis
  5. Tekgration Performs Work: Your team delivers the technical implementation
  6. Tekgration Invoices VeAssis: You bill VeAssis for work completed
  7. VeAssis Pays Tekgration: Within 30 days of receiving your invoice (80% of project value)
  8. VeAssis Invoices Agency: We handle all government invoicing and compliance

What VeAssis Handles (The 20%):

Key Advantages for Tekgration LLC

  • VetHUB Certification Value: 27% VetHUB participation exceeds goals - competitive edge
  • Combined Team Strength: 100% DBE + 27% VetHUB = Exceptional small business participation
  • No Additional RFP Work: Already won - agencies order directly, no more proposals
  • 5-Year Revenue Stream: Long-term recurring income vs project-by-project hunting
  • 6,200+ Potential Customers: Access to entire Texas government market
  • Familiar Territory: You already understand DIR requirements and reporting
  • No Administrative Burden: VeAssis handles government paperwork and compliance
  • Focus on Technical Work: Do what you do best - ITAM, desktop support, hardware
  • Recurring Support Contracts: Monthly desktop support = steady predictable revenue
  • San Antonio Presence: Geographic diversity strengthens team coverage
  • Hardware Margins: Procurement services provide additional revenue opportunities

What We Need from Tekgration LLC (By Feb 17, 2026)

For Proposal Submission:

  1. Letter of Intent (LOI): Signed commitment to partner (we'll send via DocuSign)
  2. Company Information:
    • Legal business name: Tekgration LLC
    • DUNS number
    • UEI number
    • VetHUB certification number and expiration
    • Physical address and contact info
    • Key personnel availability (Staci and team)
    • Confirmation of your 15-20% work allocation
  3. Rate Structure: Hourly rates for key services or blended rate
  4. Reference Contacts: 1-2 clients from your existing DIR contracts who can provide references
    • Ideally from government or education clients
    • Who can speak to your ITAM, desktop support, or hardware services
    • Who understand DIR contract performance requirements
Timeline: We need the above by Tuesday, February 17 EOD to finalize our proposal for the February 18, 2:00 PM deadline.

Common Questions

Q: Can I work on multiple DIR contracts as both prime and subcontractor?

A: Yes, absolutely! DIR explicitly allows companies to hold their own prime contracts AND serve as subcontractors to other primes. Your existing DIR contracts can continue alongside this partnership.

Q: How does VetHUB certification benefit this partnership?

A: Tekgration's VetHUB certification gives us 27% VetHUB participation, exceeding DIR's 26% goal. Combined with our 100% DBE participation (VeAssis + Mavros), we have exceptional small business engagement that will score very well in evaluations.

Q: What if there's overlap between my existing DIR contracts and this one?

A: No conflict. Agencies can choose which DIR contract to use for their needs. You can offer services under your own contracts AND as part of our team. This actually expands your market reach.

Q: Are the revenue projections realistic?

A: DIR End-User IT Outsourcing did $27M in FY2025. If VeAssis captures 5% ($1.35M annually), Tekgration's 15-20% share would be $202-270K per year. Our projections assume conservative 3-5% market capture.

Q: What about insurance requirements?

A: As prime contractor, VeAssis carries the master insurance and bonding. Tekgration should maintain standard business insurance (general liability, professional liability), but doesn't need the higher government contract requirements that VeAssis carries.

Q: How quickly will work start after contract award?

A: Typically 30-60 days after award. Agencies may already have projects queued up, especially those who know Tekgration from your existing DIR work. Year 1 is ramp-up, Years 2-5 are steady state.

Q: Can I suggest agencies I already work with to use this contract?

A: Yes! If you have existing relationships with agencies through your DIR contracts, you can let them know about additional services available through VeAssis's End-User IT Outsourcing contract. This benefits both parties.

Next Steps

  1. Review This Presentation: Understand the partnership structure and your role
  2. By Feb 17: Tekgration provides company info, rates, and reference contacts
  3. By Feb 17: VeAssis sends LOI via DocuSign for Staci's signature
  4. Feb 17-18: VeAssis completes proposal submission package
  5. Feb 18, 2pm CT: VeAssis submits complete proposal to DIR
  6. March/April 2026: DIR evaluates proposals and conducts negotiations
  7. April/May 2026: Contract award and execution
  8. May 2026 onward: Begin receiving task orders from Texas agencies