Fiscal Year 2025 Contracting Opportunities and What Small Businesses Need to Know

The U.S. Department of the Treasury has released its “Forecast of Contracting Opportunities” for Fiscal Year (FY) 2025. This forecast provides critical insights into upcoming federal contracts and initiatives aimed at increasing small business participation. With billions in contract opportunities available, small businesses must understand where the biggest opportunities lie and how to position themselves for success.
Key Sectors with Significant Contracting Opportunities
The FY 2025 forecast highlights several sectors with strong federal demand. Small businesses should focus on these industries:
- Information Technology (IT) and Cybersecurity: The federal government continues to invest in modernization, cloud computing, and cybersecurity enhancements.
- Infrastructure and Construction: With ongoing infrastructure investments, contracts for roadways, bridges, and federal facilities will be abundant.
- Professional Services: Consulting, financial management, and program support remain high-priority services.
- Health and Medical Services: Agencies are increasing spending on healthcare, telemedicine, and medical supply procurement.
- Defense and Aerospace: The Department of Defense (DoD) will continue contracting for advanced technologies, logistics, and manufacturing.
How Small Businesses Can Prepare
To take advantage of FY 2025 contracting opportunities, small businesses should focus on the following strategies:
- Register and Maintain an Updated SAM.gov Profile: Ensure your business is registered and compliant on SAM.gov.
- Identify Suitable NAICS Codes: Research past contract awards on USAspending.gov to align with high-demand NAICS codes.
- Leverage Small Business Certifications: SBA certifications such as 8(a), HUBZone, WOSB, and SDVOSB can open set-aside opportunities.
- Network with Federal Buyers: Attend industry days, matchmaking events, and agency-hosted outreach programs.
- Build Strategic Partnerships: Form teaming agreements and joint ventures with experienced federal contractors.
- Develop a Strong Capability Statement: Tailor your capability statement to highlight past performance and key differentiators.
The Government’s Focus on Small and Disadvantaged Businesses
Federal agencies are actively working to increase small and disadvantaged business participation. The Biden Administration has set goals to award at least 15% of federal contracting dollars to small disadvantaged businesses by 2025. Programs such as the SBA’s Mentor-Protégé Program and small business set-asides will be critical for businesses looking to secure contracts.
FY 2025 presents significant opportunities for small businesses ready to enter the federal contracting space. By identifying high-demand sectors, leveraging certifications, and engaging in proactive networking, businesses can secure a competitive edge.
For more details on upcoming contracts, visit SAM.gov and USAspending.gov.