How to find government contracts for your small business
The U.S. government is the world’s largest buyer, and your business could benefit. Presented by Chase for Business.
JPMorgan Chase & Co. does not warranty the information in this article, and it is updated only as of September 19, 2025.
Picture it: a steady stream of revenue and growth opportunities for your business. That’s what government contracting can do. And as the world’s largest buyer of goods and services, the U.S. government can offer you plenty of opportunities. Each year, the government aims to award at least 23% of its contracts to small businesses, creating a huge marketplace for companies like yours.
Maybe you’re thinking that government contracting sounds complicated. Yes, the federal marketplace has its own rules and processes, but you can figure them out just like other businesses have, especially with programs built to help small businesses like yours learn how to get into government contracting. Consider this guide a starting point for navigating the process, from finding an opportunity to winning your first government contract.
Successfully navigating government contracting involves paying close attention to established rules and processes. For example, the federal government may ask your business to obtain certain certifications, and it’s important that you understand those requirements and their potential implications to exercise appropriate due diligence.
Government contracting is also an area where the requirements can change rapidly. Before deciding to pursue a government contract, you should carefully consult the most up-to-date rules and regulations. Certain government contracting programs and requirements have been or may be the subject of litigation in courts, which means it may be important to confirm how, if at all, a contracting opportunity has been impacted by that litigation or any related regulatory developments.
What qualifies as a small business for government contracting?
Before you jump into the world of government contracts, you’ll need to figure out if your business is considered “small” by the government. The Small Business Administration (SBA) sets size limits for each industry, based on either how many employees you have or how much money you make each year. These limits change by industry because different types of businesses work differently. For example, a software development company with dozens of employees and millions in revenue may be considered small, while a local construction firm with hundreds of employees could also qualify.
The key is to identify your specific industry code (known as the NAICS code) and check the current standards for your business type. The SBA provides tools to help you determine your business size status, and it’s worth checking this regularly as your business grows. Remember, you need to qualify as small only at the time you submit your bid on a contract. If you win the contract, you’re generally considered small for the entire contract term, even if your business grows beyond the size standard.
What types of government contracts can a small business bid on?
Government contracts come in all shapes and sizes. Some of these contracts are open for any small business to bid on, while others are reserved for businesses that participate in SBA-run contracting assistance programs. These programs are designed to level the playing field for small businesses like yours.
To get started, here are two key terms you should know when applying for government contracts:
- Set-aside contracts: These contracts are reserved specifically for small businesses, allowing them a fair chance to compete.
- Sole-source contracts: These contracts are awarded without a competitive bidding process to a specific small business, usually within designated categories.
Now, let’s look at a few different examples of contracting assistance programs you may be able to take advantage of as a small business.
Women-owned small businesses (WOSBs)
Women who manage day-to-day operations, control their company and own at least 51% of their business may qualify for the WOSB Federal Contract Program. This certification is designed to support women entrepreneurs and help them compete in industries where they previously lacked opportunities.
8(a) small disadvantaged businesses
The 8(a) Business Development program helps business owners who have faced social and economic barriers. If you qualify, you also get access to sole-source contracts. But the 8(a) program goes well beyond contracts. It’s more like a partnership with the government that helps you grow your business skills through training, mentorship and business counseling.
Service-disabled veteran-owned small businesses (SDVOSBs)
If you’re a service-disabled veteran who owns at least 51% of your business, this program is for you.
As an SDVOSB, you can compete for contracts for veteran-owned businesses and receive sole-source awards. This program helps ensure that service-disabled veterans have meaningful opportunities to compete in the federal marketplace to help them build a successful business.
HUBZone-certified businesses
The historically underutilized business zone (HUBZone) program supports businesses located in economically disadvantaged areas. If your business is in a HUBZone and you hire people who live there, you can qualify for special contracts.
Where can you find federal, state and local government contracts?
Now that you know about the different types of set-asides, let’s talk about where to find government contracts that are a good fit for your business.
- Federal contracts: Start your search at SAM.govOpens overlay, the official website for all federal contract bids and opportunities. You can search for contracts by keyword, agency or location. Don’t forget to check agency-specific websites, and reach out to the Office of Small and Disadvantaged Business Utilization for guidance. Be sure to confirm you’re looking over the latest requirements, so you can check whether any litigation or new regulatory developments have impacted program rules.
- State and local contracts: Each state and local government has its own procurement process and website. Research your state’s procurement agency, and attend local outreach events to learn about upcoming opportunities and meet decision-makers. You may also wish to consider the effect that state and local requirements could have on federal government contracting.
- Subcontracting opportunities: Don’t overlook the potential of subcontracting partnerships with larger contractors. Many larger contractors must meet certain goals for working with small businesses. Check out the SBA’s SubNet databaseOpens overlay to find government contractors looking for partners.
Getting started with government contracting
If you want to learn how to get a government contract, it pays to focus on compliance first. That’s because compliance isn’t just a box to check off your application list — it’s fundamental to your success. More importantly, getting this right helps you build trust with the hiring agency and position your business as a reliable contractor. Compliance may seem challenging at first, but becoming well-versed in the following areas can set you apart from the competition.
- Federal Acquisition Regulation (FAR): FAR is the government’s official rulebook for buying goods and services. At over 2,000 pages, it’s big — but don’t panic. As a small business, you could start with Part 19, which covers small business programs. From there, focus on the sections that matter most for your industry and the types of contracts you’re pursuing.
- Cost Accounting Standards (CAS): Government accounting is its own world, and many small businesses stumble here because they try to adapt their commercial accounting methods to government work. Every pricing decision needs documentation, and you’ll want regular reviews to ensure you’re following your own procedures. Consider working with an accountant who knows government contracting and can help you set up systems that work from day one.
- Defense Contract Audit Agency (DCAA) requirements: If you’re eyeing defense contracts, DCAA compliance becomes crucial. The DCAA will want to see detailed timekeeping systems and clear separation of direct and indirect costs. Your internal audits need to be regular and thorough, and all your policies and procedures must be in writing. Staff training isn’t optional — it’s essential. Even if defense contracts aren’t your immediate goal, following DCAA guidelines makes good business sense, because it’s often the standard that other agencies follow.
- Cybersecurity Maturity Model Certification (CMMC): The CMMC framework helps ensure that contractors can protect sensitive government data. While the CMMC framework sounds technical, it’s actually quite simple. You start with a strong foundation of basic security practices, like good passwords and regular updates. Then you add layers of protection through security assessments and clear plans for handling security issues as they come up.
- Executive orders or agency guidance: Be sure to consult any executive orders or pertinent agency guidance that contains requirements associated with the government contracting opportunities you’re interested in.
Steps in winning your first government contract
Winning government contracts isn’t about submitting the lowest bid and crossing your fingers. It’s about positioning your business for success from the start.
Build key relationships
Your connections can play a valuable role in your success with government contracting. Attend industry events and outreach sessions hosted by government agencies. These gatherings are prime opportunities to meet experts who can give you insights into upcoming contracts and what agencies are looking for.
Work with an experienced mentor
The SBA Mentor-Protégé Program will pair you with seasoned contractors who can guide you through the government contracting process. Their expertise and experience will help you navigate the contracting landscape and improve your proposals. Plus, their connections may help open doors to partnerships that could allow you to bid on larger contracts.
Seek out compliance experts
Worried about tackling compliance alone? Consider tapping into these resources:
- Work with consultants who specialize in government contracting.
- Attend training sessions and workshops offered by the SBA and other organizations.
- Join industry associations that provide compliance guidance.
- Consider working with experienced mentors through SBA programs.
- Think about seeking legal advice.
Remember, good compliance practices aren’t just important for submitting a bid. They’re also crucial for building a foundation of long-term success in government contracting.
Ready to take the next step?
Finding and winning government contracts as a small business can take a lot of effort and planning. By understanding the types of programs available to you and knowing where to look for opportunities on sites like SAM.gov, you’re taking the first steps toward winning a government contract.
FAQs: Government contracting
How do I get into government contracting?
Getting started in government contracting is easier than you might think. First, make sure your business qualifies as “small” by checking the SBA’s size standards. Then register your business on SAM.gov, and obtain any mandated governmental certifications. Research government agencies that need what you’re selling, and attend their outreach events. And don’t forget to build relationships with agency representatives and procurement officers along the way.
How do I bid for government contracts?
Once you’ve checked the requirements and your business is ready to go, you can submit a bid on the SAM.gov platform. Look for additional opportunities on the Dynamic Small Business Search website, the General Services Administration (GSA)Opens overlay site or the GSA subcontracting directory site, SubNetOpens overlay.
How do government contracts work?
Government contracts let businesses compete to become a vendor for a government agency. Once selected, most contracts typically last between one and five years. Special programs are available for small businesses including, without limitation, those owned by women, veterans, or socially or economically disadvantaged individuals. Before deciding to pursue a government contract, you should carefully consult the most up-to-date rules and regulations. Certain government contracting programs and requirements have been or may be the subject of litigation in courts, which means it may be important to confirm how, if at all, a contracting opportunity has been impacted by that litigation or any related regulatory developments.
How do I apply for government contracts?
Applying for government contracts is a multi-step process. After registering your business on SAM.govOpens overlay and undertaking the necessary prerequisites, find relevant contracting opportunities on SAM.gov and agency-specific websites. Review the solicitation documents (like the request for proposal) to understand what they’re looking for. Attend any pre-bid conferences or meetings to gather more info and ask questions. Then put together a compelling proposal that showcases your capabilities, experience and value. Submit your proposal before the deadline, and follow up with the contracting officer as needed. If you’re awarded the contract, negotiate the final terms and conditions and then get to work.
What is an RFP in government contracting?
A request for proposal (RFP) is a solicitation by the government for goods and services from public contractors. Essentially, it’s the process detailed in this article, by which the government posts its contracts and lets businesses bid publicly. The main goal of this public process is to prevent insider bidding, create competition and support small businesses.
What about U.S. military contracts?
Military contracts offer unique opportunities for small businesses, particularly in specialized fields like defense technology, logistics and support services. While you’ll find these opportunities on SAM.gov, the Department of Defense (DoD) has specific programs and resources for small businesses. The DoD’s Office of Small Business Programs offers specialized guidance, including workshops and training programs to help you understand military contracting requirements. The office can also connect you with prime contractors looking for small business partners.
How long does it usually take to win a government contract?
The timeline varies significantly, based on several factors. Simpler contracts might take just a few weeks from bid to award, while complex opportunities could take several months or more. The process typically includes the initial response period (usually 30–60 days), proposal evaluation time and any clarification or negotiation periods. Your first contract often takes the longest as you learn the process, but many businesses find the process goes more quickly as they gain experience and build relationships with contracting officers.
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