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Federal Set-Aside Program

Small Business Set-Aside (SB)

The foundational federal preference: contracts reserved exclusively for small businesses under the relevant NAICS size standard (FAR 19.5).

Who qualifies

  • Your business is small under the SBA size standard for the solicitation’s NAICS code (employee count or average annual receipts)
  • Registered and active in SAM.gov with the matching NAICS codes
  • Not affiliated in a way that pushes you over the size standard

How to get certified

Small Business status is self-certified in SAM.gov — no separate application. Just register, select your NAICS codes, and confirm your size. Contracting officers rely on your SAM.gov representations.

Key benefits

  • Acquisitions between the micro-purchase threshold and the simplified acquisition threshold are automatically reserved for small business
  • Above that, COs set aside when there is a reasonable expectation of 2+ capable small-business offers (the "Rule of Two")
  • Far less competition than full-and-open

Sole-source authority

Standard small-business set-asides are competed among small businesses; sole-source awards run through the socioeconomic programs (8(a), HUBZone, SDVOSB, WOSB).

Common questions

How do I know if my business is "small"?

Look up your primary NAICS code’s SBA size standard (an employee cap or a revenue cap). If you’re under it — counting affiliates — you’re small for that code. The same firm can be small under one NAICS and large under another.

Do I need a certificate to bid small-business set-asides?

No. Small Business is self-certified in SAM.gov. The socioeconomic programs (8(a), WOSB, SDVOSB, HUBZone) do require SBA certification.

Related programs

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See all federal set-aside programs, the NAICS code guides, or the contracting glossary.