The federal contracting world is about to undergo a significant change, and veteran-owned businesses need to be ready. Signed on March 20, 2025, Executive Order 14240 is set to consolidate federal procurement under the General Services Administration (GSA). The goal is to eliminate waste, reduce redundancy, and save taxpayer dollars by centralizing common goods and services procurement within one agency—GSA
For Veteran-Owned Small Businesses (VOSBs) and Service-Disabled Veteran-Owned Small Businesses (SDVOSBs), this order could have a major impact. It promises a more predictable contracting environment, but it also introduces new challenges that businesses must be prepared to navigate.
Executive Order 14240, titled "Eliminating Waste and Saving Taxpayer Dollars by Consolidating Procurement," directs federal agencies to centralize procurement functions under the GSA. This change moves procurement responsibilities from numerous agencies to one central authority, aiming to simplify and streamline the process.
The executive order emphasizes that consolidating procurement will:
Reduce duplication across multiple agencies, saving taxpayer dollars.
Allow federal agencies to focus on their core missions instead of procurement tasks.
Improve IT acquisitions by designating GSA as the executive agent for government-wide IT contracts, reducing inefficiencies and ensuring consistency.
By consolidating procurement under the GSA, the government aims to return to the original purpose outlined in the Federal Property and Administrative Services Act of 1949—to provide an economical and efficient procurement system.
This shift is more than just internal restructuring—it directly affects how veteran-owned businesses approach federal contracting.
Benefits:
More Predictable Contracting Processes: With GSA handling procurement, businesses can better understand the requirements and streamline their bidding strategies.
Increased Visibility: Centralized procurement means VOSBs and SDVOSBs can more easily find opportunities through a single source.
Reduced Administrative Burden: Streamlined processes and fewer redundant requirements make compliance more manageable.
Challenges:
Stiffer Competition: As contracts become more centralized, businesses may face increased competition.
Adapting to New Processes: Adjusting to GSA-led procurement may require learning new procedures and adapting marketing strategies.
Success Story: One business that has successfully navigated the federal contracting landscape is CW Financial & Management Group, LLC. After becoming SDVOSB certified through USFCR and completing their SAM registration, they secured their first contract within three weeks. By the end of the year, they had landed seven federal contracts. With GSA consolidating procurement, being proactive and well-prepared will be more important than ever.
Staying on top of deadlines is essential for veteran-owned businesses to remain competitive. Here are the critical dates related to EO 14240:
April 3, 2025: OMB Director to issue a memorandum implementing the IT procurement strategy.
April 19, 2025: GSA Administrator designated as the executive agent for government-wide IT acquisition contracts.
May 19, 2025: Agency heads to submit proposals for consolidating procurement with GSA.
June 18, 2025: GSA Administrator to submit a consolidation plan to the Office of Management and Budget (OMB).
Missing these deadlines could mean lost opportunities, so it’s important to stay informed and prepared.
1. Update Certifications:
Ensure your SAM registration and SDVOSB certification are current. Delays or lapses could disqualify you from new opportunities.
2. Leverage USFCR Resources:
USFCR offers support to maintain compliance, update registrations, and use tools like the Advanced Procurement Portal (APP) to find relevant contracts. Taking advantage of these resources will help your business stay competitive.
3. Stay Informed on GSA Changes:
Regularly check updates from GSA and OMB to stay ahead of changes. Subscribing to relevant newsletters and government updates will help you keep up with the latest developments.
4. Sharpen Your Competitive Edge:
Investing in training, like through USFCR Academy, will help you improve your bidding strategies and understand how to navigate the new procurement landscape.
The move to centralized procurement under GSA could open doors to more consistent opportunities, but it will also create a more competitive environment. Veteran-owned businesses that maintain compliance, stay informed, and use every available resource will be the ones to succeed.
Now is the time to make sure your certifications are current and your strategy is solid. Contact USFCR today to ensure your business is ready for the new federal contracting landscape.
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