Breaking into federal contracting can seem daunting for businesses without prior experience. However, the U.S. government actively seeks new vendors, particularly small businesses, to provide goods and services. Understanding how federal contracts work and leveraging available resources can help even first-time contractors successfully compete for government opportunities.
Can a Business Without Experience Win a Federal Contract?
Yes, It’s Possible!
Many small businesses win their first federal contracts by leveraging set-aside programs, teaming arrangements, and subcontracting opportunities.
Why the Government Seeks New Vendors
- Encourages competition and innovation
- Supports small businesses and minority-owned firms
- Ensures a diverse supplier base for government needs
Steps to Get Started in Federal Contracting
Step 1: Register in SAM.gov
The System for Award Management (SAM.gov) is the federal government’s official vendor database. Registration is free and required for bidding on contracts.
Step 2: Identify Your NAICS Code
The North American Industry Classification System (NAICS) code categorizes businesses based on industry. Choosing the right NAICS code helps agencies match your business with relevant opportunities.
Step 3: Get a Unique Entity Identifier (UEI)
Replacing the DUNS number, the UEI is a requirement for federal contractors and is assigned upon SAM.gov registration.
Step 4: Research Contract Opportunities
Use platforms like SAM.gov, FPDS-NG, and SBA’s Dynamic Small Business Search (DSBS) to find relevant opportunities.
Step 5: Prepare a Capability Statement
A one-page marketing document that highlights your company’s strengths, services, and past performance (even from private sector work).
Leveraging Small Business Programs for Federal Contracts
Small Business Set-Asides
The federal government reserves a percentage of contracts for small businesses, making it easier for new entrants to compete.
SBA Certification Programs
- 8(a) Business Development Program
- HUBZone Certification
- Woman-Owned Small Business (WOSB)
- Service-Disabled Veteran-Owned Small Business (SDVOSB)
Winning Your First Federal Contract
Start as a Subcontractor
Partnering with experienced prime contractors allows you to gain experience and build credibility.
Bid on Simplified Acquisitions
Lower-value contracts (typically under $250,000) have simpler requirements, making them easier for new businesses to win.
Leverage Mentor-Protégé Programs
The SBA’s Mentor-Protégé Program helps small businesses team up with experienced federal contractors to learn the ropes.
Common Challenges and How to Overcome Them
Navigating Complex Requirements
Solution: Work with procurement specialists or attend SBA training workshops.
Understanding Government Procurement Terminology
Solution: Familiarize yourself with federal contracting terms through online resources or industry events.
Building Past Performance Without Prior Federal Contracts
Solution: Showcase private-sector work, subcontracting experience, and customer testimonials in your capability statement.
FAQs About Federal Contracts for New Businesses
- Can I bid on federal contracts without experience? Yes, through set-aside contracts, subcontracting, and simplified acquisitions, new businesses can compete.
- What are my chances of winning a federal contract as a first-time bidder? Success depends on preparation, research, and leveraging small business resources.
- How do I prove past performance if I haven’t worked with the government before? Use private-sector projects, testimonials, and subcontracting experience as references.
- What are the easiest federal contracts for new businesses? Simplified acquisitions, micro-purchases, and subcontracting opportunities are great starting points.
- How long does it take to win a federal contract? It varies, but most businesses see success within 6-12 months of consistent effort.
Excited to Start Your Federal Contracting Journey? Let’s Talk!
Winning federal contracts without experience is possible with the right approach. A free consultation with us can help you:
- Register and set up your business correctly
- Identify the best contract opportunities
- Develop a strategy to build credibility and compete successfully
Get started today—book your free consultation and take the first step toward winning federal contracts.
Conclusion
Breaking into federal contracting without prior experience is achievable with strategic planning and persistence. By leveraging small business programs, subcontracting, and set-aside opportunities, new businesses can successfully secure government contracts. Take the first step by booking a free consultation and start building your path to federal contracting success.
