New Executive Order Puts Commercial Innovation First in Federal Contracts
On April 16, 2025, President Donald J. Trump signed the Executive Order titled “Ensuring Commercial, Cost-Effective Solutions in Federal Contracts”. This bold move sets a new standard for federal procurement by requiring government agencies to prioritize commercially available, cost-effective solutions over custom-developed alternatives.
At GovPointe, we welcome this order as a game-changing opportunity for businesses—especially those offering commercial off-the-shelf (COTS) products and services—to enter and thrive in the federal marketplace. Our mission has always been to bridge the gap between commercial innovation and government demand, and this directive directly aligns with our core values of efficiency, transparency, and economic opportunity for all.
What the Executive Order Means
This directive reinforces the principles outlined in the Federal Acquisition Streamlining Act of 1994 (FASA), by encouraging the use of proven, market-driven solutions in federal contracts. Key mandates include:
- Prioritizing Commercial Solutions: Agencies must give preference to commercial products and services, including those adaptable to federal needs, reducing dependency on costly custom developments.
- Review of Current Solicitations: Within 60 days, agencies are required to assess open solicitations for non-commercial offerings and justify them through thorough market research and cost analysis.
- Heightened Oversight: All proposed non-commercial procurements must receive approval from senior procurement executives to ensure compliance with the new order and federal acquisition laws.
Why This Matters for Your Business
Whether you’re a small business or an established enterprise, this order unlocks unprecedented access to the $600+ billion federal marketplace. At GovPointe, we believe in empowering commercial businesses to bring their innovations to government buyers—efficiently and compliantly. Here’s what this means for you:
- Broader Contracting Opportunities: Agencies are now actively seeking what you already offer. Your existing commercial products and services can be leveraged with minimal modification.
- Simplified Procurement Process: Reduced complexity means faster contracting cycles, more transparency, and fewer barriers to entry.
- Competitive Advantage: With the right guidance, your business can stand out as a commercially ready solution provider—saving time and costs for government agencies.
How GovPointe Can Help
As a trusted federal contracting advisor, GovPointe specializes in helping businesses navigate this evolving landscape. Our services are designed to align your commercial strengths with federal opportunities:
- Contract Readiness Support: We guide you through registration on SAM.gov, optimize your business profile, and prepare your capabilities for government review.
- Opportunity Matching: We help you track and identify solicitations through platforms like USAspending.gov and agency-specific portals—ensuring you never miss a potential contract.
- Proposal & Compliance Guidance: From interpreting solicitations to crafting compliant responses, our experts help position your business as a trusted commercial provider.
- Strategic Market Positioning: We align your offerings with agency missions and help you communicate your commercial value clearly and persuasively.
Moving Forward with Confidence
This Executive Order marks a pivotal shift in how the government does business—and GovPointe is here to help you lead the charge. Whether you’re already selling commercially or just beginning your federal journey, now is the time to take action.
Let’s build your pathway to federal success—backed by commercial innovation, streamlined strategy, and expert support from GovPointe.
Contact us at [email protected] or call (775) 502-1002 to learn how your business can capitalize on this federal contracting revolution.