The figures are astounding.
$694 billion. That is the total estimated dollars the federal government awarded in contracts in fiscal year 2022.
What about the $163 billion in contracts awarded to small businesses during this period?
That’s an $8.7 billion increase from the previous fiscal year. Agencies awarded an all-time high 26.5% of federal contract dollars to small businesses.
Government spending is on the rise.
According to a HigherGov report, the total contract dollars reached a record $765 billion in fiscal year 2023.
If you want to expand your business opportunities, federal contracting is a game-changer. However, getting started can be complicated and mind-boggling.
Hundreds of non-government websites pose as official government websites to sell information you can get for free. Which websites are legit, and which ones should you use?
In this article, we’ll discuss 6 websites you should know and use to help you navigate the federal contracting landscape.
From finding contracting opportunities to understanding the registration process, the following resources provide valuable insight and guidance to help you tap into the federal marketplace:
- System for Award Management
- Dynamic Small Business Search
- Acquisition.gov
- Census.gov/NAICS
- Small Business Size Standards
- USASpending.gov
System for Award Management (SAM)
The first and most important website to know is SAM.gov.
If you are serious about federal contracting, you’re already familiar with SAM. It’s where you register to do business with the federal government.
SAM.gov is an official U.S. Government website and is always FREE to use. For small businesses pursuing federal contract opportunities, you will primarily use this site to:
- Register to do business with the U.S. Government.
- Update, renew, and check your company’s registration status.
- Search for contract opportunities and wage determinations.
- Access publicly available contract data reports.
- Research information about other companies.
This website is the official governmentwide point of entry. It is the single place to access federal contract opportunities greater than $25,000. Federal agencies do not use third-party websites to publicize contract actions or opportunities.
In addition to identifying contract opportunities, you can use SAM.gov to understand your market segment, research competitors, qualify potential teaming partners, and position your company as a potential source early in the acquisition process.
SAM is not a “set it and forget it” database. You must maintain an active registration to receive federal contracts. Contracting Officers use SAM.gov to identify companies capable of meeting government requirements.
It’s important to keep your company’s information active and current. A complete and comprehensive profile improves your chances of landing on your ideal buyer’s radar.
Dynamic Small Business Search (DSBS)
One of the most underutilized websites is the Small Business Administration (SBA) DSBS database. This system allows you to search entity information for small businesses registered in SAM, and it’s also FREE to use.
The DSBS database is a tool Contracting Officers use to identify small businesses for potential contract opportunities and set-asides.
This system retrieves information for certified small businesses directly from SAM.gov. To get the most out of the database, make sure your company’s profile is complete and comprehensive.
Use the DSBS database to research other small businesses for teaming and joint venture opportunities.
Also, take the time to research your company to see if there’s any information missing that can enhance your position in the market. Your Capabilities Narrative should be detailed and clearly convey the type of product or service you provide.
Here are the top fields you should ensure are complete and up-to-date:
- Point of Contact
- Capabilities Narrative
- Email Address
- Website
- SBA Federal Certifications
- Bonding Levels
- NAICS Codes
- Keywords
- Performance History
Leveraging this free online directory of small businesses is key to positioning your company for contracting and subcontracting opportunities. A comprehensive small business profile attracts federal buyers and prime contractors. Therefore, you must keep your company’s information on SAM.gov active and up-to-date.
Acquisition.gov
To succeed in federal contracting, you must be familiar with the Federal Acquisition Regulation, or the FAR.
Often referred to as the “federal contracting bible,” the FAR can be accessed through Acquisition.gov.
It’s designed to support procurement professionals, contractors, and stakeholders involved in the federal acquisition process.
Acquisition.gov is a central hub for federal acquisition-related guidance, resources, and tools to help you navigate the complex landscape of federal procurement, such as:
- The FAR and agency-specific supplemental guidance.
- Additional acquisition policies and data initiatives.
- Procurement forecasts and business opportunities.
- Resources to improve small business participation in federal contracting.
The tools and resources available through Acquistion.gov are FREE to use.
The Product and Service Code (PSC) Manual is another resource accessible through Acquisition.gov that provides codes to describe products and services purchased by the federal government.
Like NAICS codes, PSCs classify and organize the various goods and services agencies purchase. These two procurement codes are critical to clearly understanding your ideal buyer’s needs.
Whereas the NAICS code identifies “WHERE” an agency spent its dollars, the PSC indicates “WHAT” the agency bought.
Acquisition.gov is an essential resource for procurement professionals, federal contractors, and subcontractors. On-demand access to comprehensive guidance, policies, and tools will help you navigate the acquisition process more efficiently.
Pro Tip: Adding PSCs to your company’s SAM.gov profile clearly defines your capabilities. Also, use PSCs with NAICS codes in your market research to identify contract opportunities that best match your expertise.
Census.gov/NAICS
Do you understand the North American Industry Classification System (NAICS)? Do you know how to find and select the right codes for your product or service?
The U.S. Census Bureau provides an online NAICS Code Lookup Tool that allows you to search for NAICS codes by keyword, industry title, or code number.
And…you guessed it—this tool is FREE to use.
You must be able to navigate NAICS codes strategically and methodically to properly position your company in the federal marketplace. You must know what they are, why they are important, and how to use them.
What are NAICS codes?
NAICS codes provide a standardized framework for classifying business establishments and industries. They are used to collect, analyze, and publish statistical data related to the U.S. economy. These six-digit codes represent specific industries and correspond to a particular industry or business activity.
Why are NAICS codes important?
In federal contracting, NAICS codes identify the businesses and industries from which agencies buy. They are used to assess potential sources, their capabilities, and market trends. NAICS codes play a vital role in determining set-aside opportunities for small business programs.
How to Use NAICS Codes
You use NAICS codes to align your capabilities with your ideal buyer’s needs.
When registering your business on SAM.gov, you’ll use the NAICS Code Lookup Tool to select codes that match your capabilities.
As a small business, you should have at least one primary NAICS code on your SAM profile. However, adding other codes within your industry and expertise will increase your chances of finding contract opportunities.
The best way to select NAICS codes for your SAM profile is to figure out which NAICS codes your ideal buyer(s) used to classify previous purchases for similar products or services.
USASpending.gov and FPDS.gov can help you identify the NAICS codes federal agencies use to classify the type of product or service you sell.
Selecting NAICS codes is not an exact science. You may find two contracts for the same product or service with different NAICS codes.
If you offer a similar product or service, you’ll add both codes to your SAM profile. You’ll add other codes as you expand your capabilities.
Finding and selecting the right NAICS codes will help you align your capabilities with your ideal buyer’s needs and identify contract opportunities within your expertise. It also keeps you from pursuing the wrong opportunities.
Small Business Size Standards
Selecting the right NAICS code requires understanding Small Business Size Standards. The two go hand-in-hand. Every NAICS code has a size standard associated with it.
The SBA establishes size standards to identify the maximum size a business can be and still be considered small. They vary between industries and are usually based on your average annual revenue or number of employees.
Small business size standards can influence the set-aside opportunities for which you qualify.
The purpose of size standards is to ensure that small businesses receive fair access to federal contracting opportunities and assistance programs.
It’s possible to be considered a small business under some NAICS codes but not qualify as small under others. Therefore, knowing whether you meet the small business classification requirements upfront is critical.
The SBA offers two resources to help you determine if you meet the small business classification requirements for each applicable NAICS code:
- Size Standard Tool: This interactive tool helps you identify the size standard for the NAICS codes you enter.
- Table of Small Business Size Standards: For a holistic view of NAICS codes and their applicable size standards, use this table to compare and select the right codes.
You may be wondering, “Are these tools FREE to use?” Yes, there is no cost or stipulation for using either option.
“But which is better—the Tool or the Table?” It depends on your situation.
If you’re unsure of your eligibility to compete for a set-aside, use the Size Standard Tool to see if your company qualifies as a small business under the applicable NAICS code.
But if you don’t know which NAICS codes to select, the Table of Small Business Size Standards is an excellent tool to help you choose the right codes.
Of course, you must also meet any applicable small business certification requirements.
Small Business Size Standards define your eligibility for federal contracting opportunities and assistance programs. You must understand and adhere to these standards to maximize your access to federal contracts and support services.
Pro Tip: Make sure your SAM profile accurately reflects your company’s size for each NAICS code you select.
USASpending.gov
Looking for procurement data and previous acquisition history? USASpending.gov offers insight and transparency into federal spending.
Since spending data is readily available, this website allows citizens, policymakers, researchers, and businesses to track government spending, identify trends, and hold federal agencies accountable for how taxpayer dollars are used.
Other websites offer similar information, but USASpending.gov allows you to navigate, analyze, and refine your search results with ease.
Did I mention that this website is also FREE to use?
USASpending.gov is a centralized platform for accessing information on how taxpayer dollars are allocated and spent by federal agencies.
If you are struggling to identify your ideal buyer, the information on this website can show you which agencies buy similar products and services. Additionally, you can see which agencies and subagencies spend the most.
Some of the common uses of USASpending.gov include:
- Researching existing federal contracts and their recipients.
- Conducting competitive analyses to identify potential competitors.
- Analyzing spending data to identify trends, market demand, and areas of growth.
- Identify potential teaming opportunities with prime contractors.
Ready to take your research to the next level? Use USASpending.gov with the following websites for a clearer picture of federal spending and potential opportunities:
USAspending.gov is a valuable resource for understanding and navigating federal contracting. It can help you identify potential contract opportunities and access critical information to support your company’s growth and success.
Final Thoughts
Navigating the world of federal contracting can be daunting, but with the right tools and resources, it becomes much more manageable. The government websites discussed in this article can help you secure federal contracts if you know how to use them.
These websites give you access to valuable information and resources to help you grow a sustainable business in the federal marketplace.
As you continue on your federal contracting journey, stay informed and updated on the latest trends, regulations, and resources to help you land contract opportunities.
What about you? What other websites do you find useful?
Let me know your thoughts. Leave your comments below.
Other Websites to Know
- sba.gov/federal-contracting – Learn about the small business programs designed to help you compete for federal contracts.
- Data.gov – Access thousands of government datasets for market research and industry trend analyses.
- certify.sba.gov – Apply for and manage 8(a) Business Development Program and All Small Mentor-Protégé Program certifications.
- WOSB.certify.sba.gov – Apply for and manage Woman Owned Small Business (WOSB) certifications.
- veterans.certify.sba.gov – Apply for Service-Disabled Veteran-Owned Small Business (SDVOSB) certification.
- acquisitiongateway.gov – Access a forecast of federal contracting opportunities with federal agencies.
- gsaelibrary.gsa.gov – Research the latest award and pricing information for GSA schedule holders.
Derek Sampson
Federal Contracting Coach
Derek is a 12-year Air Force veteran and former Contracting Officer with an extensive background in federal procurements. He has experience supporting several federal agencies, including the Air Force, Army, FBI, and DOE. He helps small businesses win federal contracts. Derek is also a Dream Vacations franchise owner. He enjoys traveling and experiencing other cultures.
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