Are you a small business seeking to break into the world of government contracting and access the lucrative opportunities provided by GSA Schedules? Picture this: a program designed specifically for businesses like yours, offering a chance to overcome hurdles and secure federal agency contracts. Enter the Small Business Set Aside Program, a compelling strategy facilitated by the Small Business Administration (SBA). Let’s explore how this program can be the key to unlocking success in government contracting for small businesses like yours.
Navigating Government Contracting:
While government contracting opens new revenue streams, the reality is that only approximately 40% of businesses successfully secure a share of the billions spent annually on GSA Schedules by federal agencies. This can be attributed to fierce competition, pricing challenges, and a lack of understanding of the complex bidding process, especially for first-time users.
The Role of the Small Business Set Aside Program:
The Small Business Set Aside Program increases the chances of small businesses winning bids by reserving portions of purchases, typically between $3,000 and $150,000, specifically for small businesses. The “Rule of Two” ensures that at least two competitive small businesses in the industry are available for automatic set-asides.
Certification Requirement:
To participate in the Small Business Set Aside Program, businesses must be certified. Various certifications, such as SBA 8(a), Service Disabled Veteran Owned Small Business (SDVOSB), Veteran Owned Small Business (VOSB), Women Owned Small Business (WOSB), and HUBZone, open doors to specific opportunities within the program.
Types of Small Business Certifications:
SBA 8(a) Certification: For businesses demonstrating socio-economic disadvantage.
SDVOSB Certification: For service-disabled veterans.
VOSB Certification: For veteran-owned businesses.
WOSB Certification: For women-owned businesses.
HUBZone Certification: For businesses located in historically underutilized business zones.
Benefits of Certification:
Being certified under one of these programs enables businesses to participate in the Small Business Set Aside Program once approved for a GSA Schedule. Specific set-asides may be designated for each certification type, opening avenues for targeted opportunities.
Government Contracting with a GSA Schedule:
With a GSA Schedule, businesses can expand their customer base and revenue by offering products or services to the government. Approximately 10% of government spending flows through GSA Schedules, presenting substantial opportunities for businesses.
Leveling the Playing Field:
The Small Business Set Aside Program levels the playing field, ensuring small businesses can secure federal bids without competing with larger companies on costs. It guarantees opportunities with similar-sized competitors.
For small businesses eyeing GSA Schedules, the Small Business Set Aside Program is a gateway to success in government contracting. With the right certification and understanding, any small business can tap into GSA Schedules, contributing to 10% of government spending. Explore Small Business Set Aside for government contracting success
