Federal Set-Aside Programs
The federal government has a statutory goal of awarding 23% of all contract dollars to small businesses. To meet it, agencies use a series of "set-aside" programs that restrict competition on certain contracts to qualifying firms. Knowing which programs you qualify for is the single highest-leverage thing a small business can do in federal contracting.
8(a) Business Development Program
8(a)A nine-year SBA program reserved for small businesses owned by socially and economically disadvantaged individuals. Participants compete for sole-source and competitive set-aside contracts unavailable to non-participants.
Read full details →HUBZone Program
HUBZoneA federal set-aside program for small businesses located in Historically Underutilized Business Zones with the majority of employees living in those zones. Provides set-aside contracts and a 10% price evaluation preference on full-and-open competitions.
Read full details →Women-Owned Small Business
WOSBA federal set-aside program for small businesses that are at least 51% owned, controlled, and managed by women. Provides set-aside opportunities in industries where the federal government has identified women-owned firms as under-represented.
Read full details →Economically Disadvantaged Women-Owned Small Business
EDWOSBA more restrictive subset of the WOSB program for women-owned small businesses whose owners also meet economic disadvantage criteria. Eligible for additional set-asides reserved exclusively for EDWOSB-certified firms.
Read full details →Service-Disabled Veteran-Owned Small Business
SDVOSBA federal set-aside program for small businesses that are at least 51% owned and controlled by one or more service-disabled veterans. Eligible for SDVOSB-only set-asides and sole-source contracts.
Read full details →Veteran-Owned Small Business
VOSBA small-business program for firms 51% or more owned by veterans (without the service-disabled requirement of SDVOSB). The VA's Vets First program prioritizes VOSB firms on VA contracts.
Read full details →Small Business Set-Aside
Small BusinessA federal contracting requirement that restricts competition on certain contracts to small businesses, as defined by the SBA size standard for the contract's NAICS code. The most common federal set-aside type.
Read full details →Sole-Source Contracts
Sole SourceA contract awarded without competition because the agency has determined only one source can perform the work — a procurement method, not a small-business program. Several set-aside programs allow sole-source awards within certain dollar thresholds.
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