Federal IT Contracting for Small Business: Complete Guide 2025
Guide to winning federal IT contracts as a small business. Learn about IT contract vehicles, cybersecurity requirements, key agencies, and strategies for breaking into government IT.
Federal IT: A Major Opportunity
The federal government spends over $100 billion annually on IT products and services. Small businesses are well-positioned to capture this work through set-asides, subcontracting, and specialized contract vehicles. Key areas include cybersecurity, cloud computing, software development, and IT modernization.
The Federal IT Market
Federal IT encompasses a wide range of products and services, with different agencies having different needs and procurement approaches.
Key IT Service Areas
Development & Modernization
- • Software development
- • Application modernization
- • Legacy system migration
- • Agile/DevSecOps
Cybersecurity
- • Security operations
- • Vulnerability assessment
- • Incident response
- • Compliance (FISMA, FedRAMP)
Infrastructure
- • Cloud services
- • Data center operations
- • Network management
- • Telecommunications
Support Services
- • Help desk/service desk
- • IT project management
- • Training
- • Consulting
IT Contract Vehicles
Most federal IT procurement goes through pre-competed contract vehicles. Getting on these vehicles is key to accessing IT opportunities.
Major IT GWACs
8(a) STARS III
Small business GWAC for 8(a) firms. $50 billion ceiling. IT services, solutions, and emerging technologies.
Administered by GSAAlliant 2 Small Business
Small business IT solutions and services. Complex IT requirements across government.
Administered by GSAVETS 2
SDVOSB-exclusive IT GWAC. IT services and solutions for veteran-owned businesses.
Administered by GSAGSA MAS (IT Category)
Consolidated Schedule includes IT hardware, software, and services. Broad government access.
Open enrollmentGWAC Access
Getting on GWACs requires winning a competitive award—they're not open enrollment like GSA Schedule. Monitor GSA for new GWAC opportunities and be prepared with strong past performance and capabilities.
Key IT Requirements
Federal IT contracts come with specific compliance and security requirements that contractors must meet.
Cybersecurity Requirements
Cybersecurity Maturity Model Certification for DOD contracts
Required for cloud services sold to government
Federal Information Security Management Act compliance
Protection of Controlled Unclassified Information (CUI)
Common IT NAICS Codes
Major IT Buying Agencies
Top IT Spenders
Department of Defense
Largest IT buyer. DISA, service branches, and agencies buy everything from cybersecurity to enterprise systems.
Department of Veterans Affairs
Major IT modernization initiatives. Healthcare IT, benefits systems, and infrastructure.
Department of Homeland Security
Cybersecurity focus. Border systems, CISA, and component agency IT needs.
Health & Human Services
CMS, CDC, NIH, and other components with significant IT needs.
Getting Started in Federal IT
Steps to Enter Federal IT Market
Obtain relevant certifications (8(a), SDVOSB, etc.) and cybersecurity credentials
Pursue GSA Schedule and monitor GWAC opportunities
Start with subcontracting or smaller prime contracts
Actively market to agencies and pursue task order competitions
Frequently Asked Questions
Do I need security clearances?
Many federal IT contracts require personnel with security clearances, especially DOD and intelligence community work. Building a cleared workforce takes time and typically requires a contract needing clearances before you can sponsor employees.
What certifications help?
Industry certifications like CISSP, CompTIA Security+, AWS/Azure certifications, and PMP demonstrate capability. Company certifications like ISO 27001 and CMMC show organizational maturity.
How competitive is federal IT?
Very competitive—but small business set-asides reduce competition significantly. Strong past performance, competitive pricing, and being on the right contract vehicles are key to winning.
Find Federal IT Contracts
BidFinds helps you find IT contracts matched to your NAICS codes and capabilities. Filter by agency, set-aside type, and more.
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