New Company FCL - Multi-part Question


A friend and I have access to a really nice contract with a DoD entity that is willing to sponsor us for FCL, and have several more likely to follow because of our unique capabilities. He currently has Secret (although not active on a contract) and I am not cleared (but am pretty sure I could be). An AFSO at a big FSI/Prime told me that DSS is turning away small companies (e.g. one to three person LLCs) that they sponsor from getting FCLs. I find nothing in the NISPOM or anywhere else to support this assertion in theory - but do any of you indeed see this occurring in practice?

He is the techie and I am the business guy. We have definite plans to scale but with just the 2 of us at this time, him having clearance, I planned on listing him on the sponsorship application as the FSO and as part owner he would be a KMP and as part owner I would be a KMP (although requesting a clearance exception because I don’t need access to any sensitive info to do the business/contracting stuff). All work is done on agency site, we’d hold no data.

Does this sound like a suitable plan for FCL submission? Is there any reason to think that DSS won’t approve us? Realizing of course that it will take however long it takes - but does anyone see any showstoppers or have suggestions that could help streamline things?

Thanks in advance!