Set-Aside BriefFederal contracts for small business

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How to Bid on Government Contracts: 7 Steps, 2026 Costs

By Aoba Works · Published · 16 min read

How this guide was made: drafted with AI assistance from the official sources linked below, then passed an automated editorial check before publishing. Our process

To bid on government contracts, first register your business for free in SAM.gov. That gives you a Unique Entity ID (UEI) and a CAGE code. Next, look up the NAICS codes and size standards that fit your work. Then search SAM.gov Contract Opportunities for notices you can win, and send exactly what the solicitation asks for before the deadline. Many first awards go to small businesses through set-asides, so check whether you qualify for an SBA certification before you start chasing larger contracts.

Which option is right for you?

Where you should start depends on what's stopping you right now, so pick the row that fits.

Which option is right for you?. Source: SAM.gov
Your situationWhat to pick firstFirst page to open
Beginner with no registrations yetFull SAM.gov entity registration ("All Awards")SAM.gov Entity Registration
Already registered, want work this monthSmall-dollar notices and set-asides in your NAICS codeSAM.gov Contract Opportunities search
Owner is a woman, veteran, or in a HUBZoneSBA certification (free)MySBA Certifications
Tight budget, want guidanceA local APEX Accelerator (free or nominal cost)APEX Accelerators
You sell mostly to one stateThat state's vendor portalMyFloridaMarketPlace, Cal eProcure, or Texas CMBL (table below)
You already hold a GSA ScheduleGSA eBuy RFQs under your SINsGSA: Research active solicitations

Why each row: SAM.gov registration comes before anything else on the federal side. Set-asides reduce your competition. SBA certifications cost nothing to apply for. APEX counselors are free or nominal-cost. And state portals run separately from SAM.gov.

How to Register to Bid on Government Contracts

To register, get a UEI, finish a full SAM.gov entity registration, and list NAICS codes that match your services. All of it is free.

SAM.gov describes four phases: review your options, create a SAM.gov account through Login.gov, gather your information, and submit. You also have to pick between two outcomes. With a UEI only, you can do limited things like sub-award reporting, but you can't pursue federal awards. To bid on prime contracts you need full registration. Getting a UEI, registering, and keeping the registration active all cost nothing, according to GSA and the SAM.gov Entity Registration Checklist.

Registration steps with the on-screen labels

  1. Go to SAM.gov and select Sign In. Create or link a Login.gov account with multi-factor authentication.
  2. Open your Workspace. In the Entity section, select Get Started, then Register Entity.
  3. When it asks about the purpose of registration, choose All Awards (not "Financial Assistance Awards Only"). Only the first option lets you bid on contracts.
  4. Enter your legal business name and physical address exactly as the IRS has them. This creates your UEI.
  5. Fill in the core data: TIN, EFT banking details, NAICS codes, PSC codes, and points of contact. All of these are on the checklist.
  6. Complete Representations and Certifications. This is where you state your size and socio-economic status for each NAICS code.
  7. Submit. The checklist notes that IRS TIN validation alone takes several days. A CAGE code is assigned as part of the process, and you may be asked for a notarized letter.

For the screen-by-screen version, see our SAM.gov registration guide: 7 steps from UEI to active.

Common registration mistakes and fixes

What Is Needed to Bid on Government Contracts

To bid you need an active SAM.gov registration, a UEI and CAGE code, any certifications the notice requires, and a response that meets its technical and pricing terms.

Registration only lets you in. The solicitation decides everything else. Here's what a typical bid packet contains:

What Is Needed to Bid on Government Contracts. Source: SAM.gov
ItemWhere it comes fromRequired when
Active SAM.gov registration (UEI + CAGE)SAM.govNearly all federal prime contracts
Correct NAICS code and size statusYour SAM reps and certsAny small business set-aside
SBA certification (8(a), WOSB/EDWOSB, HUBZone, VetCert SDVOSB)MySBA CertificationsSet-asides reserved for that program
Technical response / capability narrativeYouRFPs, and many RFQs
Price or quote (often a pricing sheet the agency provides)YouEvery solicitation
Past performance referencesYour prior customers (public or private)Most best-value RFPs
Signed forms (e.g., SF 1449, SF 33, amendments)The solicitation packageWhen the notice says so
BondsA surety companyMany construction contracts

Example: a small janitorial RFQ

Say a VA medical center posts a total small business set-aside RFQ for janitorial services under NAICS 561720 (this is an illustration, not a real notice). A complete quote would include the signed SF 1449, every acknowledged amendment, the completed price schedule, a short technical approach, and the past performance references the RFQ asks for. You'd also need an active SAM.gov registration where your size for 561720 is "small." If any of those pieces is missing, the quote can be rejected before anyone looks at your price.

Before you have a live notice to answer, write a one-page capability statement. Agencies and primes ask for it during market research. Our capability statement example shows the five sections buyers read first.

What Is Bidding on Government Contracts

Bidding on government contracts means submitting a formal offer, called a quote, proposal, or sealed bid, in response to a government solicitation that states the requirements and the evaluation method.

The kind of solicitation sets how you respond. The FAR uses three main formats:

Federal agencies post contract actions over $25,000 on SAM.gov, per the SBA. Smaller buys can happen without a public notice. Notices also come in stages. A Sources Sought or RFI is market research and not yet a solicitation. A Presolicitation gives advance notice. A Solicitation or Combined Synopsis/Solicitation is where you actually bid.

For example, a "Combined Synopsis/Solicitation" for office furniture under $350,000 is typically an RFQ. You'd answer it with a priced quote and the listed forms, not a 50-page proposal. Our guide to RFQ vs RFP: 5 FAR clues shows how to tell the two apart from the notice text.

What Does Bidding on Government Contracts Mean

Government bidding isn't an auction. You compete on compliance, qualifications, and price against criteria written into the solicitation, and the lowest number doesn't always win.

Only sealed bidding under FAR Part 14 comes close to "lowest price wins," and even then the bid has to be responsive and the bidder responsible. Under FAR Part 15, the agency may use a best-value tradeoff and pay more for a stronger technical approach. It may also use "lowest price technically acceptable," where you have to pass every technical factor before price counts at all.

Pitfalls that cost first-time bidders the award

What Is the Website to Bid on Government Contracts

SAM.gov is the main federal website for finding and answering contract opportunities. GSA Schedule holders also get RFQs through GSA eBuy, and some agencies use their own portals.

How you submit depends on the notice. Some say to email the contracting officer, some say to upload through SAM.gov, and some point to an agency system. Whatever the "Contact Information" and instructions sections say is the rule. If you hold a GSA Multiple Award Schedule, GSA explains that eBuy RFQs are visible only to contract holders in the matching Special Item Numbers (SINs). That's the main limitation of eBuy: if you don't have a Schedule, you won't see those RFQs at all.

How to find a bid you can win on SAM.gov

  1. Go to SAM.gov, open Search, and select the Contract Opportunities domain.
  2. In the keyword box, enter your primary NAICS code (example: 238210 for electrical contractors).
  3. Under Status, keep Active selected.
  4. Under Notice Type, check Solicitation and Combined Synopsis/Solicitation for bids you can submit now. Add Sources Sought and Presolicitation to see what's coming.
  5. Under Set Aside, select Total Small Business Set-Aside (FAR 19.5) or your certification type.
  6. Under Place of Performance, enter your state so you only see jobs you can staff.
  7. Sort by Response Date and save the search while you're signed in.

Sources Sought notices are often where small businesses can shape whether a contract gets set aside at all. Our 5-step sources sought response template covers what to send.

Two other free federal tools are useful. USASpending.gov shows who won earlier versions of a contract and at what price. SBA's SubNet lists subcontracting opportunities from large prime contractors, which is a realistic first step if you have no federal past performance yet.

The 7 Steps From SAM.gov to a Submitted Bid

Here is the full sequence in order. Each step depends on the one before it.

  1. Confirm your size. Find your NAICS codes and check your revenue or employee count against SBA's size standard for each. → SBA size standards
  2. Register in SAM.gov ("All Awards"). Allow time for IRS TIN validation. → SAM.gov Entity Registration
  3. Apply for any SBA certification you qualify for. It's free, and you can apply for up to four at once. → SBA certifications
  4. Build a capability statement and fill out your SBS profile. Agencies search the Small Business Search database, which is filled in from your SAM data. → SBA: How to win contracts
  5. Search SAM.gov daily and shortlist notices. Bid only where you meet the requirements, can perform at the place of performance, and can price competitively.
  6. Build a compliance matrix and write the response. List every "shall," "must," required form, and amendment, then answer each one in the order the notice uses.
  7. Submit early, then confirm receipt. Use the exact method the notice names. Keep the email timestamp or upload confirmation.

A bid/no-bid rule helps here. For example, you might pass on any notice where you can't name a similar past project, or where the response window is shorter than the time you need to get subcontractor quotes. Pick a rule that matches how big your team is.

How Much Does It Cost to Bid on Government Contracts

Registering in SAM.gov and applying for SBA certifications both cost nothing. What you actually spend is time, plus bonds for some construction work and any optional consultants or state fees.

How Much Does It Cost to Bid on Government Contracts. Source: SAM.gov
Cost itemOfficial price (as of October 2026; check the official page)Source
UEI + SAM.gov registration + annual renewal$0GSA
SBA certifications (8(a), WOSB, HUBZone, VetCert)$0 to applySBA
APEX Accelerator counselingFree or nominalSBA
Texas CMBL registration$70 per yearTexas Comptroller
MyFloridaMarketPlace registration$0, plus a transaction fee on payments (0.7% currently)Florida DMS
Cal eProcure registration and SB/DVBE certification$0California DGS
Proposal preparationYour staff time; varies by solicitationn/a
Surety bonds (construction)Set by the surety, based on your credit and the jobn/a

Federal dollar thresholds affect how much paperwork a contract involves. On , the FAR's inflation adjustment raised the micro-purchase threshold from $10,000 to $15,000 and the simplified acquisition threshold (SAT) from $250,000 to $350,000 (Centre Law Group summary; Pillsbury). Buys under the SAT use simplified procedures, which usually means shorter quotes. That's why they make a good first target.

Pitfall: the SBA's own "how to win contracts" page still says set-asides apply automatically to most contracts under $150,000, which is an older threshold. Go by the current FAR numbers and by what the notice itself says about set-asides.

How to Bid on Government Contracts as a Small Business

Small businesses can bid on set-aside contracts reserved for small firms. SBA certifications (8(a), HUBZone, WOSB, SDVOSB) open up even smaller pools that large companies can't enter.

The government's goal is to award 23% of federal contract dollars to small businesses. Separate goals cover women-owned small businesses (5%), service-disabled veteran-owned small businesses (5%), and HUBZone firms (3%), per the SBA's goaling page. The "rule of two" survived the Revolutionary FAR Overhaul. When contracting officers reasonably expect offers from two or more responsible small businesses at fair market prices, they still have to set the buy aside. One change: for task and delivery orders under multiple-award contracts, set-asides are now discretionary (SmallGovCon; PilieroMazza). As of mid-2026, agencies are using the new Part 19 text through class deviations, and formal Part 19 rulemaking hasn't been published yet. Check the clause list in each solicitation.

How to Bid on Government Contracts as a Small Business. Source: SAM.gov
ProgramCore eligibility (summary)Main contracting benefit
Small business (no certification)Under the SBA size standard for the NAICS codeTotal and partial small business set-asides
8(a)51%+ owned by socially and economically disadvantaged U.S. citizens; personal net worth $850,000 or less; 9-year term (SBA 8(a) program)Sole-source awards up to $8.5M (manufacturing) / $5.5M (other) after the October 2025 inflation adjustment (Centre Law Group summary; check the SBA 8(a) program page)
HUBZonePrincipal office in a HUBZone; 35% of employees live in one (SBA HUBZone program)10% price evaluation preference; HUBZone set-asides (SBA HUBZone program)
WOSB / EDWOSB51%+ owned and controlled by women who are U.S. citizensSet-asides in eligible NAICS codes (SBA WOSB program)
SDVOSB (VetCert)51%+ owned and controlled by service-disabled veteransSDVOSB set-asides and sole-source awards (SBA veteran contracting programs)

Small business steps

  1. Check that you're small under the NAICS code on the specific notice, not just your primary code.
  2. In MySBA Certifications, select Get Started, then choose the programs you want. You can apply for up to four at once.
  3. While you wait, bid on Total Small Business Set-Aside notices. They don't require a certification.
  4. If you'd be the prime, read the limitations on subcontracting clause. For services, you generally can't pay more than 50% of the amount paid to you to non-similarly-situated subcontractors (SBA).

The 8(a) program doesn't fit everyone. It has net-worth and income caps, requires two years in business in most cases, and has a nine-year limit (SBA 8(a) program). If your firm doesn't meet those, a WOSB or HUBZone certification may fit better. For program-specific checks, see our 8(a) pass/fail checklist, SDVOSB eligibility checklist, and total vs partial set-aside checklist.

How to Bid on Government Contracts by State (Florida, California, Texas)

Each state runs its own procurement portal, separate from SAM.gov, and you have to register there as a vendor too. Being registered in SAM.gov doesn't register you with a state.

How to Bid on Government Contracts by State (Florida, California, Texas). Source: SAM.gov
StatePortalRegistration cost (as of October 2026; check the official page)Notable rule
FloridaMyFloridaMarketPlace (MFMP); bids posted on the Vendor Bid SystemFreeTransaction fee on payments, currently 0.7% (Florida DMS)
CaliforniaCal eProcure (caleprocure.ca.gov)FreeCertified SB/DVBE firms get a 5% bid preference; goals are 25% SB and 3% DVBE (DGS)
TexasCentralized Master Bidders List (CMBL); bids on ESBD via Texas SmartBuy$70 per yearCMBL is the list agencies use to send bid notices (Texas Comptroller)

State registration steps

  1. Florida: Register at the MFMP vendor site, enter your commodity codes, and then watch the Vendor Bid System for solicitations. Your quote should account for the transaction fee, since it's taken out of payments.
  2. California: On Cal eProcure, select Sell to the State, then Register Now. If you're eligible, apply for SB or DVBE certification through the SB/DVBE page. California SB status requires 100 or fewer employees and average annual gross receipts of $19M or less, with principals living in California (DGS).
  3. Texas: Register in the CMBL, pick NIGP commodity codes, pay the $70 fee, and keep your email address current so bid notices reach you.

One common mistake: California's DVBE program uses its own state rules, which are different from federal SDVOSB rules, so one certification doesn't count for the other. The same goes for Texas HUB and federal HUBZone, which are separate programs. Cities and counties often run their own portals as well. Reddit threads and "how to bid in Guyana, Canada, or the UK" searches lead to entirely different systems. This guide covers only U.S. federal work and these three states.

Next steps

Pick one federal action and one state action you can finish this week.

Do it yourself today:

  1. Open SAM.gov Entity Registration, download the checklist, and put your EIN letter and bank routing details in one folder.
  2. Look up your NAICS size standard and write down every code you qualify for.
  3. Run one SAM.gov Contract Opportunities search with your NAICS code, Active status, and a small business set-aside filter. Save the three notices closest to work you've already done.

If you'd rather not do it alone:

Related guides on Set-Aside Brief:

FAQ

How do you register to bid on government contracts?

Create a Login.gov-linked SAM.gov account. Then select Get Started and Register Entity in your Workspace, and choose All Awards. Enter your IRS-matched legal name, TIN, banking, NAICS codes, and reps and certs. Registration is free and has to be renewed every 365 days.

What is needed to bid on government contracts?

You need an active SAM.gov registration with a UEI and CAGE code, and you need to be small under the notice's NAICS code if it's a set-aside. Some notices also require an SBA certification. After that, the solicitation lists the rest: signed forms, acknowledged amendments, a price schedule, and usually a technical response and past performance.

What is the website to bid on government contracts?

For federal work it's SAM.gov, under the Contract Opportunities search. GSA Schedule holders also receive RFQs on GSA eBuy, and only for their awarded SINs. States use their own portals, such as MyFloridaMarketPlace, Cal eProcure, and the Texas CMBL/ESBD.

How much does it cost to bid on government contracts?

SAM.gov registration and SBA certification applications are free. Your main costs are proposal-writing time, bonds for some construction work, and optional consultants. State fees vary: Texas CMBL is $70 a year, and Florida takes a transaction fee (currently 0.7%) from payments (as of October 2026; check the official pages).

Sources

Spotted something out of date or wrong? Tell us at shigoto.ai.note@gmail.com. Guides are re-checked against official sources on a rolling schedule.