Government contracts don't always work on an open competition basis. Sometimes, there's a clear choice for a contract, and it's here that sole-source contracting comes into play.
The Value of Sole-Source Contracts for You
If your business offers a unique product or service or enjoys a small business set-aside status, you could win sole-source contracts—contracts awarded without competition. There are at least seven scenarios where a contract may be sole-sourced, with some specific to small businesses. Understand these, and you'll find new federal market opportunities and be able to make compelling cases to contracting officers or during bid protests.
The Seven Scenarios for Sole-Sourcing
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Unique Capability or Product: If your business offers a product or service that no other business can provide, the government may award you the contract without going through a competitive process.
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Single Source Availability: Sometimes, only one business can provide the necessary goods or services, either because of patents, proprietary knowledge, or market conditions.
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Urgent Requirement: If there is an urgent requirement that could lead to serious injury, financial loss, or other significant adverse outcomes, a contract may be awarded non-competitively.
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Public Interest: In some cases, competition is not in the public interest, and a contract is awarded to a single source.
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National Security: A contract may be awarded without competition to protect sensitive information or processes in national security cases.
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Follow-on Contract: If an initial contract was awarded competitively, and the current contract is a logical follow-on to the initial contract, the government can opt for sole sourcing.
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Set-Aside Programs: Contracts can be sole-sourced under specific Small Business Administration programs such as 8(a) Business Development Program, Service-Disabled Veteran-Owned Small Business Program, Women-Owned Small Business Program, and HUBZone Program.
Understanding Sole-Source Contracting
There's a lot to grasp about sole-source contracting. Here's what's important:
Notice Types: Certain notices, like Justification & Approval and Sources Sought, often result in sole-source contracts.
Bypassing Competition: Several situations allow the government to sidestep the usual competition process. These include the "Rule of Two," specific technical capabilities, and urgent needs.
Effective Response: Spotting a sole-source contract opportunity is one thing; responding effectively is another. Understand what these opportunities need in response.
Before you jump into the world of sole-source contracting, ensure your business is properly qualified with a Registration & Contracting Specialist.
This is a critical step to winning federal contracts without competition.
The world of federal contracting isn't just about competing. Sometimes it's about being the only fit. Navigate the sole-source contracting process, discover opportunities, and seize them with confidence.
To speak with a Registration and Contracting Specialist, Call: (866) 216-5343
Anna Rose
