LMDefense

  • About
    • Services
    • What They Say About Us
  • Guide to Defense Exports
    • About Foreign Military Sales
    • About Direct Commercial Sales
    • The FMS Timeline
    • FMS vs. DCS
  • Our Clients
  • Contact
You are here: Home / Foreign Military Sales / The FMS Timeline

The FMS Timeline

The FMS process has specific phases and time limits.

 

Phase Time limit Description
Preliminary Phase Indefinite The Customer determines their procurement requirements.  The Customer obtains specific systems information from multiple sources, including the potential Vendors.
Definition Phase Indefinite Customer and U.S. DoD exchange technical information.  The DoD may contact the potential vendor for additional information.
Request Indefinite Customer prepares and submits a Letter of Request (LOR).
Development of Offer USG has 120 days to respond to LOR Congressional review may take 15 – 50 additional days. The DoD Implementing agency receives the LOR and develops price and availability (P&A) data or a Letter of Offer and Acceptance (LOA). The DoD offices gain necessary USG and Congressional approvals. The DoD issues Letter of Offer and Acceptance (LOA) to the Customer.
Acceptance of the Offer  Customer has 60 – 85 days to accept LOA. The Customer signs the LOA and returns it to the DoD with their initial deposit.
Implementation 15 days average to open active case The DoD offices issue obligational authority (OA) and implementing directive (the official procurement notification to the Vendor).  The DoD activates FMS computer software for case management.
Execution Depends on delivery schedule established in LOA The Customer completes payment according to schedule established in LOA.  The Vendor delivers goods according to schedule.
Reconciliation and Closure 2 years after final delivery The DoD and the Customer reconcile records. The  DoD sends closure certificate and issues final bill to the Customer.

Notes and abbreviations:

  • U.S. DOD – U.S. DOD refers to any U.S. military office. There are various DOD offices involved in the FMS process.
  • Vendor – the Vendor refers to the U.S. defense company seeking to sell their product overseas.
  • Customer – the Customer refers to the Foreign Government purchaser of the U.S. defense products.

 

My consulting services are designed to help your company determine how FMS fits in your international sales strategy.  Check out my About page or Contact Me to learn more.

 

Share this:

  • Facebook
  • Twitter
  • Print

Welcome to LMDefense

LMDefense provides consulting and brokering services to help U.S. defense companies do business overseas. Our services are designed to demystify the international sales process, identify opportunities, connect with potential customers, and navigate the logistics of international sales.

New Here?

Check out my overview of the benefits of FMS vs. the benefits of DCS.

From there, you might want to see the rest of my posts on FMS.

Or, learn more about LMDefense and our consulting services.

Search LMDefense:

LMDefense, LLC is a registered broker for defense articles and services.

Arlington, VA | 703-200-2409
maloberti@lmdefense.com

LMDefense | 703-200-2409 | About | Contact