Win Federal Contracts for Your Small Business

Win Federal Contracts for Your Small Business

The United States Federal Government spends more than $600 billion dollars each year on buying goods and services from the private sector. The federal government is the world biggest consumer of goods and services, and advanced technology systems. The government purchases an array of products and services in nearly every category. The federal government spends billions of dollars yearly on training and development, information technology, telecommunication products, law enforcement, fire safety, management consulting, medical services, environmental services, just to name a few.

Are there real federal opportunities for your small business? I can’t tell you with certainty that it does but I can tell you that federal policy actively encourages agencies to give procurement preferences to small, small disadvantaged and women owned firms by establishing annual procurement goals. The enormous federal marketplace offers potentially lucrative business opportunities.

The Small Business Administration negotiates annual procurement goals with each agency to ensure that small, minority and women owned firms get their fair share of federal procurement contracts.

Example of Federal Procurement Contract Award Goals for Fiscal Year 2005

• 23 percent of prime contracts for small businesses
• 5 percent of prime and subcontracts for small disadvantaged businesses
• 5 percent of prime and subcontracts for women-owned businesses
• 3 percent of prime and subcontracts for HubZone small businesses
• 3 percent of prime and subcontracts for service disabled veteran owned businesses

Under the Small Business Act all federal government contracts under $100,000 must be targeted to small, small disadvantaged, small women-owed and small service disabled
owned companies. This federal law creates very distinct marketing advantages and business opportunities for small, minority, and women owned businesses seeking to to business with the federal government.

The Federal Government provides small businesses with procurement resources within Federal Agency Offices and Specialize Programs.

Here are some of the Small Business Procurement resources:

• Offices of Small and Disadvantaged Business Utilization (OSDU) within federal agencies is responsible for promoting the use of small, small disadvantage and special status businesses.
• Small Business Administration’s Office of Government Contracts administers programs and services designed to help small businesses meet the requirement necessary to compete for and receive contracts.
• Mentor-Protégé Program is designed to encourage federal prime contractors to form a partnership and provide technical assistance to Small Business Administration certified women-owned, small disadvantaged and small businesses owned and controlled by service disabled veterans.
• WomenBiz.gov is an online gateway for women owned business seeking to do business with the federal government.

Minority Business Development Agency which is part of the United States Department of Commerce offers assistance to minority owned businesses.


The Federal Government is a major and growing marketplace. With over 2500 buying offices nationwide and expanding budgets buyers are waiting to hear from your small business. The financial rewards are well worth the time and efforts. Don’t sit on the sidelines recession proof your small business and start marketing your products and services to the federal government. Get your slice of the $600 billion dollar federal contracting pie.