How to Get Started in Federal Contracting – Seizing Opportunities with New Economic Initiatives
With the new administration’s “Buy American, Hire American” initiatives shaping federal procurement in 2025, there has never been a better time to enter the government contracting market. The U.S. government’s renewed commitment to supporting American-made products and hiring U.S. workers has created a surge in opportunities for businesses across industries.
If you’re a new business considering federal contracting, this guide will help you navigate the essential steps to get started, align with these initiatives, and position yourself for success in this expanding marketplace.
Why Federal Contracting Is a Game-Changer
Federal contracting allows businesses to secure stable, long-term revenue streams while contributing to critical government projects. With billions of dollars allocated annually for goods and services, this market is open to businesses of all sizes. Whether your company specializes in manufacturing, technology, construction, or professional services, federal contracting can be a powerful growth driver.
The “Buy American, Hire American” policies emphasize sourcing products and services domestically, creating a competitive advantage for businesses that align with these principles. New companies entering the market can benefit from prioritizing compliance with these initiatives to stand out and secure contracts.
Steps to Get Started in Federal Contracting
Breaking into federal contracting may seem complex, but by following these foundational steps, your business can get registered and prepared to compete effectively:
1. Register with SAM.gov
The System for Award Management (SAM) is the federal government’s official contractor database. To compete for contracts, your business must be registered in SAM. During registration, you’ll need to:
- Provide your business’s information, including a DUNS or Unique Entity Identifier (UEI).
- Select appropriate NAICS codes that classify your industry and capabilities.
- Enter banking details for payment processing.
2. Obtain a Unique Entity Identifier
Your business needs a Unique Entity Identifier (UEI) to complete the SAM registration process. This identifier ensures your company can be accurately identified in federal procurement systems.
3. Develop a Capability Statement
A capability statement is your introduction to federal agencies. This one-page document highlights your business’s core competencies, past performance, and differentiators. Make sure to include how your business aligns with “Buy American, Hire American” principles.
4. Explore Small Business Certifications
Certifications such as 8(a), HUBZone, Women-Owned Small Business (WOSB), or Service-Disabled Veteran-Owned Small Business (SDVOSB) can give your company a competitive edge. These certifications provide access to set-aside contracts reserved for small businesses and socio-economically disadvantaged firms.
5. Understand the Federal Acquisition Process
Familiarize yourself with the Federal Acquisition Regulation (FAR), which governs how contracts are awarded and managed. Compliance with these regulations is essential to remain competitive and avoid disqualification.
Insights for New Contractors
As a new business entering the federal marketplace, here are key strategies to position yourself for success:
Optimize for American-Made Products
With “Buy American” policies in place, agencies prioritize vendors who can supply domestically sourced products. Review your supply chain and highlight your ability to meet these requirements in your proposals and capability statement.
Focus on Building Relationships
Success in federal contracting isn’t just about submitting proposals. Attend government vendor events, industry days, and networking sessions to connect with contracting officers and small business specialists. Building these relationships can help you understand agency priorities and upcoming opportunities.
Invest in Your Online Presence
Ensure your business’s website and SAM profile are complete, professional, and keyword-optimized. Agencies often search for vendors online, so a strong digital presence can improve your visibility and credibility.
Learn from Past Awards
Review awarded contracts in your industry on platforms like USAspending.gov. Understanding what agencies have purchased and how vendors were evaluated can provide valuable insights into tailoring your offerings.
Why Now Is the Time to Enter Federal Contracting
With the new administration’s focus on economic growth, “Buy American, Hire American” initiatives are creating unprecedented opportunities for businesses to contribute to federal projects. From infrastructure investments to defense procurement, the emphasis on sourcing domestically means new contractors have a unique chance to establish themselves in this market.
Take the First Step with GovPointe
Getting started in federal contracting doesn’t have to be overwhelming. At GovPointe, we specialize in helping new businesses navigate the registration process, develop winning proposals, and align with federal priorities. Our team provides tailored guidance to ensure your success in this lucrative market.
Ready to seize the opportunities of “Buy American, Hire American”? Visit GovPointe.com to schedule your free consultation and start your journey as a federal contractor today!