How to bid on a U.S. federal contract
The government buys from businesses of every size, and the process is more approachable than it looks. Here are the steps in plain English, in the order most businesses go through them.
- 1
Register in SAM.gov (it's free)
SAM.gov is the U.S. government's official system for contractors. To be awarded a federal contract you need an active registration, which also gives you a Unique Entity ID (UEI).
Registration costs nothing. Approval can take several weeks, so start before you find a contract you want. Be wary of anyone charging a fee to register you.
- 2
Pick your NAICS codes
NAICS codes are industry codes. Agencies tag every opportunity with one, and you list the codes that describe your business in your registration. For example, 561720 is janitorial services.
The code also decides what counts as a "small business" for that work, because the size limit depends on the industry.
- 3
Check whether you qualify for a set-aside
Some contracts are reserved ("set aside") for particular kinds of businesses, such as small businesses, women-owned, service-disabled veteran-owned, 8(a) or HUBZone firms. Only eligible businesses can bid on those.
Many contracts have no set-aside and are open to everyone. If you may qualify for a program, the SBA explains how to certify.
- 4
Know what kind of notice you are looking at
Not every listing is a bid you can submit today. The label tells you where it stands:
- Sources Sought: the agency is researching who can do the work. It is not a bid, but responding puts you on their radar.
- Presolicitation: a heads-up that a solicitation is coming. Use the time to prepare.
- Solicitation: the real call for offers. You can submit before the deadline.
- Special Notice: general information, often not a bid.
- 5
Read the whole solicitation
The listing is a summary. The real requirements are in the attachments. Look for:
- What the work is (the scope or statement of work) and where it happens.
- How offers are judged (price only, or price plus experience).
- The deadline, the deadline for questions, and how to submit.
- Required forms, certifications and any site visit.
- How long the contract runs and whether there are option years.
- 6
Ask questions before the deadline
The listing names a contracting officer or point of contact. If something is unclear, ask in writing. Questions usually have their own cutoff date, earlier than the bid deadline, and answers are often shared with every bidder.
- 7
Prepare and price your offer
Follow the instructions exactly. Offers that skip required parts can be rejected, however good the price is.
Price for the whole contract term, including labor, materials, travel, insurance and your margin. Show relevant past work, even small jobs for private customers.
- 8
Submit on time, the way they ask
The solicitation says how to submit: through SAM.gov, by email, or through an agency portal. Submit early. Late offers are generally not accepted.
- 9
After you submit
The agency evaluates the offers and announces an award. If you do not win, you can usually ask for a debriefing to learn how to improve next time. Many winners bid more than once.
Common mistakes
- Starting SAM.gov registration only after finding a contract.
- Bidding on a set-aside you are not eligible for.
- Reading only the listing and not the attached documents.
- Missing the question cutoff or the submission method.
- Pricing for the first year only when options extend the work.
Official resources
- SAM.gov for registration and every official contract notice.
- SBA federal contracting for size standards, set-aside programs and certifications.
Frequently asked questions
Do I need to register in SAM.gov before I can bid?
You need an active registration to be awarded a federal contract, and some solicitations ask for it when you submit. Registration is free and can take several weeks, so start early.
Do I have to be a small business to win a federal contract?
No. Many contracts are open to businesses of any size. Small businesses can also bid on set-aside contracts that larger companies cannot.
What is a NAICS code and which one do I use?
A NAICS code is a number that classifies an industry, such as 561720 for janitorial services. Choose the codes that best describe the work you do and list them in your SAM.gov registration.
What is the difference between Sources Sought and a Solicitation?
A Sources Sought notice is the agency researching the market and is not a bid. A Solicitation is the formal request for offers that you can respond to before its deadline.
Find contracts that fit your business
Describe what you do in plain English and BidFederal matches you to open opportunities from SAM.gov.
Get Started FreeThis guide is general information, not legal advice. Always follow the instructions in the specific solicitation you are responding to.