Subcontracting
As mentioned before, the government sets out to spend a predetermined sum of their contracting budget on small businesses. One of the methods they employ is setting small business subcontracting goals for larger contracts.
This means that prime contractors, much like federal agencies themselves, have an incentive/requirement to work with small businesses.
Besides getting work for your business, one of the benefits of subcontracting is that it counts toward your past performance rating with the federal government.
Plus, there are fewer administrative responsibilities since these matters are handled between you and the prime contractor, instead of a federal agency.
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