Veteran-owned businesses enter Veterans Day 2026 with a government-wide SDVOSB goal of at least 5 percent of federal contract dollars and a VA program that puts certified veteran-owned firms first. Access to those set-asides now requires SBA VetCert certification, so the practical moves are confirming your certification and renewal date, then targeting agencies whose award history shows they use the veteran lanes.
Veteran-owned businesses head into Veterans Day with a wider federal contracting lane than they've had in years. The FY2024 National Defense Authorization Act (NDAA) raised the government-wide goal for service-disabled veteran-owned small businesses (SDVOSBs) from 3 percent to at least 5 percent of prime contract and subcontract dollars each fiscal year. In FY2025, SDVOSBs received $32.5 billion in prime contracts, which SBA reported as above the 5 percent target. At the Department of Veterans Affairs (VA), certified veteran-owned firms get priority ahead of other small businesses. The rules for entering the lane changed too, so the strategy starts with getting certification right and then putting the status to deliberate use.
To compete for veteran set-asides and count toward federal goals, a business now needs certification through SBA's Veteran Small Business Certification program, known as VetCert. Self-certification ended in two steps. SDVOSB set-aside and sole-source awards have required SBA certification since January 1, 2024. The last grace period for counting self-certified firms toward federal goals ended December 22, 2024.
Documentation is often where applications stall, especially on ownership and control questions. USFCR's Set-Aside Services help veteran-owned businesses prequalify, prepare that documentation, and keep certification and SAM registration aligned. Our SDVOSB certification guide covers the process in detail.
Certification opens different doors at different agencies, and strategy means knowing which door is yours.
The status opens the lane, and capability wins the work. Set-aside competitions are still competitions, and veteran-owned firms that compete well tend to bring the same evidence as other strong contractors. That means documented past performance ready to cite, a capabilities statement that leads with delivery proof, pricing grounded in market research, and relationships with small business specialists at target agencies built before solicitations post.
Certification gets a firm into the competition. From there, evaluators weigh the delivery record.
Do VOSBs and SDVOSBs still self-certify?
No. For firms that hadn't applied by the end of 2023, SDVOSB set-aside and sole-source self-certification ended January 1, 2024. The last grace period for counting self-certified firms toward federal goals ended December 22, 2024. The VA's veteran set-asides never allowed self-certification. Certification now runs through SBA's VetCert program and lasts three years.
What's the government-wide SDVOSB contracting goal?
The goal is at least 5 percent of federal prime contract and subcontract dollars each year, up from 3 percent before the FY2024 NDAA. Every agency works toward it, which sustains set-aside and sole-source activity across government. Prime contractors with subcontracting plans also carry SDVOSB subcontracting goals.
Where does VOSB certification matter most?
It matters most at the VA, which gives certified SDVOSBs first priority and certified VOSBs second in its procurement. Outside the VA, government-wide set-aside authority belongs to SDVOSBs. A veteran-owned firm without the service-disabled designation gets the most direct benefit by targeting VA opportunities.
How long does certification last, and how fast is processing?
Certification is valid for three years, and renewal opens 90 days before expiration. In November 2025, SBA reported clearing its backlog and cutting average processing to 12 days. Timelines change with volume, so check SBA's current estimates when you plan an application or renewal.
If your business is veteran-owned and certification isn't in place yet, start there, and check SBA's current processing estimates before you apply. If you're already certified, put the status to work. Check your renewal date, pull award history for veteran set-asides in your industry, and build your target list around the agencies that actually use the lane. For businesses that want support with either step, USFCR's Set-Aside Services help veteran-owned firms prepare their certification documentation, keep it aligned with SAM, and position the status where it counts.