Key Takeaways
- Find upcoming federal procurement opportunities by digging into the General Services Administration (GSA) Schedule and SAM.gov forecasts.
- Write a complete capability statement that tells government agencies exactly what your Veteran-Owned Business (VOB) does, your past performance, and what makes you the right choice.
- Get out there and network with prime contractors and government contracting officers at industry events and through small business liaison offices to build the relationships you’ll need.
- Stay on top of federal acquisition regulations and VOB certification requirements to avoid the common mistakes that sink contracts.
- Use the Small Business Administration’s (SBA) resources, like PTACs and the Veteran Small Business Certification Program, for direct guidance.
The Pentagon’s projected 2026 spending increase puts a lot of money on the table for Veteran-Owned Businesses (VOBs), but many struggle to actually win those federal contracts. Knowing how to position your business within the complex federal procurement world is what separates the winners from the losers, because the path from a budget increase to a signed contract is anything but clear. So, how can VOBs actually win a piece of that defense spending?
1. Register and Certify Your VOB Status with the SBA
First things first: you must get your business registered and certified. This certification is the gateway to set-aside contracts reserved specifically for VOBs. The Small Business Administration (SBA) now runs the Veteran Small Business Certification Program, which took over from the VA’s VetCert program back in January 2023. This is the system that certifies your business as a Service-Disabled Veteran-Owned Small Business (SDVOSB) or Veteran-Owned Small Business (VOSB) for federal work. To get started, go to the SBA’s certification site at veterans.sba.gov. You’ll have to create an account and then work through the application, uploading documents like your DD Form 214, articles of incorporation or partnership agreements, and business financials. A huge part of this is proving unconditional veteran ownership and control, meaning the veteran must own at least 51% of the company and run the day-to-day operations. Plan for the application to take several weeks, and possibly longer if they need more info from you.
Pro Tip: Before you even start the application, get all your business documents in order and make sure they clearly show the veteran is in charge. Any little discrepancy, like an outdated operating agreement, can cause delays or get you rejected. Over-prepare.
Common Mistake: Thinking your state-level VOB certification works for federal contracts. It doesn’t. You absolutely must have the federal certification from the SBA to qualify for federal set-asides.
2. Complete Your SAM.gov Registration and Profile
The System for Award Management (SAM.gov) is the government’s master database for contractors. If you want to do business with the feds, you have to be in it. Businesses cannot bid on federal contracts or receive payments without a complete and active SAM.gov registration. Go to sam.gov, create an account, and start the “Register Your Entity” process. When you register, the system will automatically assign your Unique Entity Identifier (UEI). You’ll need to provide details about your business’s legal structure, finances, and, importantly, your NAICS codes. For a VOB, picking the right NAICS codes is everything. An IT consulting firm run by a veteran, for instance, might choose 541512 (Computer Systems Design Services) or 541519 (Other Computer Related Services). Make sure the “Representations and Certifications” section is filled out carefully, especially where you attest to your VOSB or SDVOSB status, which links back to your SBA certification. A detailed profile makes you more visible to contracting officers hunting for specific skills.
Pro Tip: Your SAM.gov profile isn’t a set-it-and-forget-it document. Keep it updated, especially your contact info and NAICS codes. An outdated profile means you’re definitely missing out on relevant solicitations.
| Aspect | SBA Veteran Small Business Certification Program | SAM.gov Registration |
|---|---|---|
| Purpose | Certifies VOB/SDVOSB status for set-asides | Primary database for all federal contractors |
| Administered By | Small Business Administration (SBA) | U.S. Government |
| Replaced Program | Department of Veterans Affairs’ VetCert (Jan 2023) | N/A |
| Key Requirement | Proof of veteran status (DD Form 214), 51% veteran ownership | Unique Entity Identifier (UEI), NAICS codes |
| Website | veterans.sba.gov | sam.gov |
| Application Time | Several weeks | N/A (registration process) |
3. Research Federal Procurement Forecasts and Opportunities
You have to know where the Pentagon plans to spend its money to target your efforts effectively. Federal agencies publish procurement forecasts that show what they expect to buy. The General Services Administration (GSA) Schedule is a massive, long-term contract vehicle that lets agencies buy commercial products and services, and getting your VOB on a GSA Schedule can open up a firehose of opportunities. Start digging through the GSA eLibrary and Acquisition.gov’s Forecast of Contracting Opportunities. You can search these sites by agency, NAICS code, and keyword. For example, a search for “Department of Defense” and a NAICS code like 561210 (Facilities Support Services) will show you what they plan to buy. Pay attention to the projected award dates and dollar values. This intelligence lets you prepare proactively instead of just reacting to last-minute solicitations. Don’t forget that SAM.gov itself has a “Contract Opportunities” section where agencies post live solicitations (RFPs, RFQs, IFBs). Set up email alerts in SAM.gov for your NAICS codes and keywords so notifications land right in your inbox.
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Common Mistake: Too many VOBs just sit back and wait for solicitations to be posted. The smart money is in proactive forecast research. Being reactive means you’ve already missed the pre-solicitation phase where requirements are shaped and key relationships are formed.
4. Develop a Compelling Capability Statement
Think of your capability statement as your VOB’s one-page resume for government agencies. It has to be a sharp, one-to-two-page document that tells them exactly what you do, what you’ve done, and what makes you different. You’ll use this document everywhere, at networking events and when responding to sources sought notices. A good one must include:
- Core Competencies: Use a bulleted list to show your key services. Be specific. Don’t say “IT Services.” Say “Cybersecurity Risk Assessments,” “Network Infrastructure Design,” or “Software Development for Logistics Systems.”
- Past Performance: List relevant projects, especially any you’ve done for other government agencies or big prime contractors. Put in the contract numbers, describe the work, and show the results. For example: “Successfully deployed secure cloud solutions for [Agency Name], improving data integrity by 15%.”
- Differentiators: What makes you special? It could be deep expertise in a niche technology or specific security clearances. For a VOB, your veteran status is a powerful story, but you need to connect it to your business’s reliability and discipline.
- Company Data: This is the boring but essential stuff. Include your UEI, CAGE Code, NAICS codes, all your SBA certifications (VOSB/SDVOSB), and contact info.
Tailor your capability statement for different agencies. The one you send to the Air Force might need to emphasize different skills than one for the Defense Logistics Agency.
Pro Tip: Put a short, hard-hitting “value proposition” right at the top. It should immediately answer the question “Why should we pick you?”
5. Network and Build Relationships
Government contracting runs on relationships. Yes, there are formal processes, but knowing the agency’s needs and building rapport with contracting officers and prime contractors can give your VOB a significant edge. Show up to industry days, small business conferences run by the DoD, and events held by local Procurement Technical Assistance Centers (PTACs), which are now part of the SBA. These are the places to meet contracting officers, small business specialists, and people from large primes looking for VOBs to partner with. For example, every major defense prime has small business liaison officers (SBLOs) whose entire job is to find companies like yours. Find them and send them your capability statement. Consider starting as a subcontractor. Many federal contracts have subcontracting goals for small businesses like VOBs, and working for an established prime is a great way to get experience and build a track record that can lead to your own prime contracts down the road. You can find subcontracting gigs on the SBA’s Subcontracting Network (SubNet).
Editorial Aside: A lot of VOBs get tunnel vision on bidding and ignore the unwritten rule of this game: people do business with people they know and trust. While your proposal has to be solid, a contracting officer is more likely to remember a familiar name with a good reputation (even as a sub). Don’t underestimate the power of showing up and being a professional, consistent presence.
6. Master the Proposal Writing Process
After you’ve found an opportunity, the proposal is where you make your case. Federal proposals are rigid, structured documents that demand serious attention to detail. Before you write a single word, read the entire Request for Proposal (RFP) or Request for Quote (RFQ) from start to finish. Make a compliance matrix, a checklist, to make sure you hit every single requirement, evaluation criterion, and submission instruction. Your proposal needs to be clear, direct, and focused on the government’s problem. Use headings and bullets to make it easy to scan. When you make a claim, back it up with a specific example from your past performance. For instance, if the RFP requires cybersecurity expertise, don’t just say you have it. Describe a project where your team implemented a specific security framework, what tools you used, and what the outcome was. Your pricing must be both realistic and competitive, and it must comply with government cost principles. For a service contract, this usually means breaking down your labor rates and material costs in detail.
Pro Tip: Look into proposal management software or templates built for government work. Tools like Privia or Qvidian can help you manage the chaos, reuse content, and avoid compliance mistakes.
Common Mistake: Sending a generic, boilerplate proposal. It’s lazy and it shows. Every proposal must be customized to that specific solicitation, showing you understand the agency’s unique problem and have a real solution for it.
7. Maintain Compliance and Performance
Winning the contract is only the start. To get future work and renew your current contracts, you must maintain compliance with federal acquisition regulations (FAR) and deliver what you promised. The FAR, which lives in Title 48 of the Code of Federal Regulations, is the rulebook for this entire industry. You have to understand your contractual obligations, from reporting and invoicing to quality control. For example, many defense contracts now have tough cybersecurity rules, like the Cybersecurity Maturity Model Certification (CMMC). You’ve got to ensure the necessary controls and certifications are in place. Consistently doing good work, on time and on budget, is how you build a great reputation. Your performance gets recorded in the Contractor Performance Assessment Reporting System (CPARS), and a good CPARS rating is gold when you’re bidding on future contracts. Keep an open line of communication with your contracting officer and deal with problems head-on. A VOB that proves it’s reliable and competent is a VOB that gets more work. The Pentagon’s 2026 spending offers a real opportunity for Veteran-Owned Businesses to grow, as long as they learn to work the system.
What is the primary benefit of being an SBA-certified VOSB or SDVOSB?
Eligibility for federal set-aside contracts. These are reserved specifically for VOSBs or SDVOSBs, which drastically cuts down on competition compared to the open market and improves your odds of winning.
How often should I update my SAM.gov registration?
You must renew it annually. But you should really update your profile any time something significant changes, a new NAICS code, different contact info, or a new certification. An outdated profile is invisible.
What are NAICS codes and why are they important for VOBs?
NAICS (North American Industry Classification System) codes are how the government classifies businesses by industry. Agencies use these codes to find contractors and set aside contracts, so picking the right ones for your VOB’s capabilities is critical for being seen for the right jobs.
Can a VOB get help with proposal writing?
Yes. Procurement Technical Assistance Centers (PTACs), which are now part of the SBA, offer free or cheap counseling on government contracting, including proposal writing. You can also hire private consultants who specialize in this.
What is a CAGE Code and how do I get one?
The Commercial and Government Entity (CAGE) Code is a five-character ID for any business working with the federal government. It’s assigned to you automatically during the SAM.gov registration process. You don’t apply for it separately.
