Common Compliance Pitfalls in Federal Contracting—And How to Avoid Them
Entering or expanding in the world of federal contracting opens doors to consistent revenue and long-term growth. But with opportunity comes responsibility—and compliance is at the heart of it. From FAR regulations to cybersecurity mandates, maintaining compliance is not optional; it’s essential. At GovPointe, we specialize in helping businesses stay compliant, competitive, and contract-ready.
Why Compliance Matters in Federal Contracting
The federal government is the largest buyer in the world, and with that comes strict oversight. Regulations such as the Federal Acquisition Regulation (FAR), Cybersecurity Maturity Model Certification (CMMC), and other compliance frameworks are in place to protect taxpayer dollars and national interests. Failing to adhere to these rules can lead to penalties, contract loss, or even debarment.
Frequent Compliance Pitfalls for Federal Contractors
Many small and mid-sized businesses fall into similar traps when navigating federal requirements. Here are some of the most common issues:
- Misunderstanding or Ignoring FAR Clauses
FAR clauses are not just boilerplate—they’re enforceable rules. Contractors often misinterpret clauses related to pricing, labor laws, or performance standards. - Subcontracting Violations
Under FAR Part 44 and SBA size standards, failing to properly manage subcontractors or exceed allowed subcontracting thresholds can jeopardize your contract. - Poor Cybersecurity Hygiene
Especially for DoD contractors, noncompliance with NIST 800-171 and CMMC requirements can disqualify you from opportunities. - Incorrect or Outdated Registrations
Not maintaining accurate information in SAM.gov or USA.gov can delay awards or payments. - Inadequate Recordkeeping
Missing audit trails, timesheets, or purchase justifications can create red flags during government audits.
Proactive Steps to Avoid Compliance Issues
Compliance is easier when integrated into your operations. Here are key preventative measures:
- Conduct Regular FAR Reviews
Stay informed about updates and ensure your contracts include only applicable clauses. - Establish a Subcontracting Plan
Track performance, thresholds, and reporting to stay within regulatory limits. - Implement Strong Cybersecurity Policies
Follow the NIST 800-171 checklist, complete your SPRS score submission, and prepare for CMMC certification if required. - Keep Your SAM.gov Profile Current
Update points of contact, NAICS codes, and capability narratives regularly on SAM.gov. - Train Your Team
Build internal awareness of compliance standards through regular training and documented SOPs.
How GovPointe Keeps You Compliant
GovPointe is more than a compliance advisor—we’re your federal contracting partner. Our consultants help you:
- Optimize your FAR and DSBS presence to reflect accurate, contract-winning capabilities
- Build compliant subcontracting plans and tracking systems aligned with SBA rules
- Meet cybersecurity standards via tailored CMMC-readiness assessments and remediation plans
- Stay ahead of updates through ongoing monitoring and advisory services
With our GovPoint EDGE and Advantage Programs, you’ll gain a proactive compliance strategy designed for real-world contract success.
Compliance isn’t just paperwork—it’s protection. It ensures your business stays eligible, performs reliably, and wins again and again in the federal marketplace. Don’t wait for an audit or a contract issue to uncover gaps.
Stay safe, stay eligible. Let’s review your compliance gaps.