VTS GROUP is an SBA 8(a) Certified Small Disadvantage Business, Service-Disabled Veteran, and Texas Historically Underutilized Business Information Technology Solutions Provider. We provide enterprise-class services that are typically found only in very large integrators.
Types of SDVOSB Program Contracts
There are primarily two types of contracts that procurement officers can award to SDVOSBs. These are:
Set-Aside Competitive Contract: If the officer believes that at least two SDVOSBs will submit proposals for the contract, they can award a competitive set-aside contract and restrict competition from other enterprises.
Note that basic requirements must still be met. The contract must be awarded at market value, the entity must be responsible, and the subsequent service should be of reasonably high quality.
Sole-Source Contract: This is for situations when the officer is not certain or cannot say with a reasonable degree of certainty that at least two SDVOSBs will submit proposals for the contract. In such cases, the contract can be awarded to only SDVOSB that applied provided that the basic requirements mentioned above are met.
Types of SBA 8a Program Contracts
Set-aside contracts for small businesses
To help provide a level playing field for small businesses, the government limits competition for certain contracts to small businesses. Those contracts are called “small business set-asides,” and they help small businesses compete for and win federal contracts.
There are two kinds of set-aside contracts: competitive set-asides and sole-source set-asides.
Competitive set-aside contracts
When at least two small businesses could perform the work or provide the products being purchased, the government sets aside the contract exclusively for small businesses. With few exceptions, this happens automatically for all government contracts under $150,000.
Some set-asides are open to any small business, but some are open only to small businesses that participate in SBA contracting assistance programs.
Sole-source set-aside contracts
Most contracts are competitive, but sometimes there are exceptions to this rule. Sole-source contracts are a kind of contract that can be issued without a competitive bidding process. This usually happens in situations where only a single business can fulfill the requirements of a contract.