Glossary · Government contracting

What is a federal set-aside?

A federal set-aside is a contract (or portion of one) reserved exclusively for competition among a defined category of small business — such as small business, SDVOSB, 8(a), HUBZone, or women-owned — rather than open to all offerors.

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Set-asides are how the government meets its small-business contracting goals. Solicitations on SAM.gov carry a set-aside type, and only firms meeting the socioeconomic criteria (and often a certification) can compete.

A firm's eligibility for a set-aside category — for example a newly-certified SDVOSB — opens a specific slice of federal demand to it, and identifies it as a teaming partner for primes.

Source: SAM.gov; Federal Acquisition Regulation (FAR); SBA.

FAQ

Common questions

What kinds of federal set-asides exist?

Common categories include total small-business set-asides, and socioeconomic set-asides for SDVOSB, 8(a), HUBZone, and women-owned small businesses.

Turn it into leads

Related lead types

Federal opportunity leads

A new SAM.gov contract or Grants.gov opportunity is posted

New SDVOSB leads

A firm is newly certified as a service-disabled veteran-owned small business

Related terms

Keep reading

Service-Disabled Veteran-Owned Small Business NAICS code

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