You've heard it a hundred times. You've probably said it yourself.
"I can't win federal contracts because I don't have past performance. And I can't get past performance without winning federal contracts."
It sounds like an unbreakable loop. A catch-22 that keeps new businesses locked out of a $700 billion federal marketplace while the same established contractors win the same contracts year after year.
Here's what nobody's telling you: that narrative is wrong.
Defense contractors face a critical verification challenge that most don't recognize until it costs them. When you hire someone who claims Secret clearance, you're operating on trust until the security office confirms their status. That gap between hire date and verification creates liability, delays contract staffing, and occasionally reveals candidates who've misrepresented their clearance history entirely.
Most federal contractors waste 60-70% of their business development time pursuing opportunities they'll never win. They're searching SAM with basic keywords, seeing thousands of results, and chasing contracts that don't match their capabilities, past performance, or competitive positioning.
In today's federal contracting environment, the difference between contractors who win consistently and those who struggle isn't capabilities; it's intelligence. Successful contractors know their competitors' contract portfolios, understand pricing trends in their market segments, track key personnel movements, and identify teaming opportunities before solicitations release.
Government contracts come in various forms, each designed to fit specific needs. Whether you're new to federal contracting or an experienced supplier, knowing the differences between contract types is crucial for success in this complex industry. In this guide, we break down the most common types of government contracts and how they might impact your business.
Firm-fixed-price contracts are the most widely used in government procurement. In this type of contract, the contractor agrees to deliver goods or services for a set price, regardless of actual costs. It’s often used when the project scope is well-defined and the risk of cost overruns is minimal.
Why It's Used: Fixed-price contracts offer predictability for both parties, making them ideal for projects with clear deliverables.
In today's federal contracting environment, winning requires understanding not just what agencies need, but who's currently providing it, how much they're paying, and which relationships matter most. Competitive intelligence gathering separates contractors who respond reactively to published solicitations from those who position proactively for opportunities before RFPs are released.
No single business has everything it takes to cover every opportunity, and agencies often prefer a mix of capabilities, past performance, and certifications. Teaming structures give contractors a way to combine strengths, fill gaps, and pursue awards they couldn't win alone. The challenge is that not all teaming models are created equal. Each comes with different costs, rules, and risks, and the wrong choice can eliminate your eligibility before the evaluation even begins.
When and Why the Rebrand Happened
On July 9, 2025, the SBA replaced the long-standing Dynamic Small Business Search with the new Small Business Search platform. This was more than a name change. It retired a tool that had been in place for over 15 years and introduced a modern system that buyers and prime contractors now use as the default directory for finding small businesses.
SDVOSB certification gives veteran-owned businesses access to billions in set-aside contracts, but the process is rarely straightforward. Applications face significant rejection risks, and success depends less on veteran status itself and more on whether your documents align to show ownership and control. The good news: the SBA cleared its VetCert backlog in late 2025 and reduced processing times to an average of just 12 days, down from the 60 to 90 days that was typical throughout most of 2024 and early 2025.
Got a Site Visit Coming Up? Here’s What to Do
Site visits can make or break your position on a government contract. We have seen contractors lose awards because they missed key details in the field and others secure multi year deals because they knew what to watch for. After helping thousands of contractors prepare for these visits, we know the difference between simply showing up and making it count. Here is how to get the most out of your next site visit.
