How to Find Government Contracts for Your Small Business
2026-03-19 · GovContractData Team
The U.S. federal government awards over $700 billion in contracts every year. State and local governments add hundreds of billions more. A meaningful share of that spending is reserved for small businesses by law. Yet most small business owners never pursue government work because the process seems opaque and complex.
It is not. This guide covers where contracts are posted, what types exist, how set-aside programs work, how to read a solicitation, and what registrations you need to get started.
Where Government Contracts Are Posted
Federal Contracts
SAM.gov (formerly FedBizOpps) is the single official source for federal contract opportunities above the micro-purchase threshold ($10,000 for most agencies). Every federal agency must post solicitations here. You can search by keyword, NAICS code, place of performance, set-aside type, and agency.
Agency-specific portals supplement SAM.gov. Some examples:
| Agency | Portal | What They Buy | |--------|--------|---------------| | Department of Defense | Defense Logistics Agency (DLA Internet Bid Board System) | Supplies, equipment, logistics | | General Services Administration | GSA eBuy | IT, professional services, supplies | | Department of Veterans Affairs | VA eCMS | Healthcare, construction, IT |
USAspending.gov does not list active opportunities, but it shows every awarded contract. Studying past awards tells you which agencies buy what you sell, who wins, and at what price point. Search past awards on GovContractData for faster filtering by agency, NAICS code, and state.
State and Local Contracts
Every state has its own procurement portal. A few of the largest:
| State | Portal | |-------|--------| | California | Cal eProcure | | Texas | Electronic State Business Daily (ESBD) | | New York | New York State Contract Reporter | | Florida | MyFloridaMarketPlace |
Many cities and counties post on their own websites or through aggregators. The National Association of State Procurement Officials (NASPO) maintains links to all state portals.
Types of Government Contracts
Understanding contract types helps you evaluate risk and pricing strategy.
Fixed-Price Contracts
The government pays a set amount for defined deliverables. You bear the cost risk: if your costs exceed the price, you absorb the loss. If you come in under, you keep the difference. Most common for well-defined commercial goods and services.
Cost-Reimbursement Contracts
The government reimburses your allowable costs plus a fee. Used when the scope of work is uncertain or research-oriented. Requires an adequate accounting system approved by DCAA (Defense Contract Audit Agency) for DoD work.
Indefinite Delivery/Indefinite Quantity (IDIQ)
An umbrella contract with minimum and maximum values. The government issues task orders as needs arise. IDIQs are popular because they give agencies flexibility and reduce procurement lead time. GWACs (Government-Wide Acquisition Contracts) and BPAs (Blanket Purchase Agreements) are variations on this model.
Time and Materials (T&M)
You bill for labor hours at negotiated rates plus materials at cost. Used when the scope is not defined enough for fixed-price but the government wants more cost control than cost-reimbursement.
Set-Aside Programs for Small Businesses
The government sets annual goals for small business participation. Several certification programs reduce competition for qualifying firms:
| Program | Target | Key Benefit | |---------|--------|-------------| | Small Business Set-Aside | Any qualifying small business | Contracts restricted to small firms only | | 8(a) Business Development | Socially/economically disadvantaged owners | Sole-source contracts up to $4.5M (services) or $7M (manufacturing) | | WOSB/EDWOSB | Women-owned small businesses | Set-asides in underrepresented industries | | HUBZone | Businesses in underutilized areas | 10% price evaluation preference, sole-source eligible | | SDVOSB | Service-disabled veteran-owned | Set-asides, especially at the VA |
If your business qualifies for any of these programs, get certified. The reduced competition significantly improves your odds of winning. Read our detailed guide to set-aside programs.
How to Read a Solicitation (RFP/RFQ)
A federal solicitation can run dozens or hundreds of pages. Focus on these sections first:
Section B (Supplies or Services and Prices): What the government wants to buy and the pricing structure. This tells you whether the contract is fixed-price, cost-reimbursement, T&M, or IDIQ.
Section C (Description/Specifications/Statement of Work): The detailed scope of work. Read every word. This is what you will be evaluated on.
Section L (Instructions to Offerors): Exactly what your proposal must include, how it must be formatted, and the submission deadline. Follow these instructions precisely. Proposals that deviate get disqualified.
Section M (Evaluation Criteria): How the government will score proposals. Common factors include technical approach, past performance, price, and management plan. Weight your proposal effort toward the highest-weighted criteria.
NAICS code and size standard: Listed in the solicitation. Determines whether you qualify as a small business for this specific contract.
Registration Requirements
Before you can bid on any federal contract, complete these registrations:
1. Get a UEI (Unique Entity Identifier). This replaced the DUNS number in 2022. You obtain a UEI through SAM.gov during registration. It is free.
2. Register in SAM.gov. This is mandatory for all federal contractors. Registration takes about an hour to complete but can take one to three weeks for approval. You need your EIN, bank account details, and NAICS codes. Registration expires annually.
3. Identify your NAICS codes. Every solicitation has a primary NAICS code that determines eligibility and size standard. Most businesses have two to five relevant codes. Use the GovContractData NAICS Lookup tool or the Census Bureau search to find yours.
4. Get certified (if eligible). If you qualify for 8(a), HUBZone, WOSB, or SDVOSB programs, complete the SBA certification process through certify.sba.gov.
5. Register for state/local portals. Each state has its own vendor registration. Start with the states where you operate or want to perform work.
Start With Research, Not Bidding
Before writing your first proposal, invest time in research:
- Search past contract awards in your NAICS codes to understand the market
- Identify which agencies buy what you sell and who the incumbents are
- Attend agency industry days and pre-solicitation conferences
- Connect with your local PTAC (Procurement Technical Assistance Center) for free counseling
- Consider subcontracting with an established prime contractor to build past performance
The businesses that win government contracts consistently are the ones that do their homework before the solicitation drops. Use data to target the right opportunities instead of chasing everything.
Next Steps
Search government contract awards on GovContractData to research your market. Filter by NAICS code, agency, state, and set-aside type to find the contracts most relevant to your business. For programmatic access to award data, check our API plans.
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