SBA Releases FY 2025 Small Business Contracting Scorecard
What It Means for Government Contractors
The U.S. Small Business Administration (SBA) recently released its Fiscal Year 2025 Small Business Procurement Scorecard, and the results reinforce one important message for businesses considering government contracting:
The federal government continues to invest heavily in small businesses.
During FY 2025, small businesses received nearly 28% of all federal prime contract dollars, exceeding the government’s statutory goal of 23%. That represents approximately $179 billion in prime contract awards and nearly $273 billion when subcontracting opportunities are included.
For businesses looking to enter or expand within the government marketplace, these numbers demonstrate that federal agencies continue to rely on qualified small businesses across virtually every industry.
The Numbers Behind FY 2025
According to the SBA: ⭐ $179 billion awarded through prime contracts to small businesses ⭐ Nearly $273 billion awarded through prime contracts and subcontracts combined ⭐ 28% of all federal prime contract dollars awarded to small businesses ⭐ More than 1.2 million American jobs supported through small business contracting ⭐ The federal government received an overall A grade for meeting small business goalsThese awards supported businesses involved in:
| • Construction • Manufacturing • Information Technology • Research & Development • Defense | • Professional Services • Transportation • Engineering • Healthcare • Facility Support Services |
Federal Contracting Continues to Create Opportunity
One of the biggest takeaways from this year’s scorecard is that federal agencies continue to prioritize working with qualified small businesses. Whether your company provides professional services, construction, janitorial services, cybersecurity, logistics, manufacturing, staffing, or specialized consulting, there are contracting opportunities available throughout the federal marketplace. However, winning contracts requires more than simply finding opportunities.Businesses must first be properly positioned to compete.
Being Eligible Isn’t the Same as Being Contract Ready
Many business owners assume they can register in SAM.gov and immediately begin winning contracts. In reality, agencies evaluate vendors based on much more than a registration.Successful contractors typically have:
✔ An active and optimized SAM registration ✔ Proper NAICS and PSC code alignment ✔ A professional Capability Statement ✔ Relevant past performance ✔ Appropriate certifications when applicable ✔ A clear understanding of where opportunities exist ✔ A strategy for marketing to government agencies and prime contractors Without these foundational elements, many qualified businesses never receive serious consideration.
Changes Within SBA Programs
The FY 2025 scorecard also highlights several policy and administrative changes affecting certain SBA contracting programs, including updates involving the 8(a) Business Development Program and Veteran Small Business Certification (VetCert).
The SBA reported increased oversight, compliance reviews, and administrative changes aimed at strengthening program integrity while continuing to support qualified small businesses participating in federal procurement. Businesses participating in SBA certification programs should stay informed about evolving program requirements and ensure they remain compliant with all applicable regulations.