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Registration, identifiers and set-asides

Sole-source set-aside (Sole-source award to a small or certified business)

Sole-source set-aside stands for Sole-source award to a small or certified business. A sole-source award is a contract given to one company without competing it. SBA programs such as 8(a), HUBZone, SDVOSB and WOSB allow contracting officers to make sole-source awards to eligible firms when certain conditions are met, usually including dollar limits and a finding that the firm can do the work at a fair price.

Sole-source awards are not a loophole. The contracting officer must document why the award is justified, and the firm still has to show it is responsible and that its price is reasonable.

Why it matters to a small contractor

Sole-source awards usually go to firms that already have relationships with an agency. Marketing your capability statement to small business specialists and program offices is how small firms get considered.

Example

A certified SDVOSB that has done good work on small jobs at a base is asked to submit a proposal for a sole-source award to repair the base's cooling towers.

Sole-source set-aside: common questions

Can I ask an agency for a sole-source award?

You can market yourself and explain your eligibility, but the decision belongs to the contracting officer and must follow program rules.

Are sole-source awards public?

Yes. Awards are reported to the government's contract data systems and appear in public databases like USAspending.

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