The Department of Defense requires major prime contractors and subcontractors receiving contracts valued over $500,000 ($1 million for construction) to develop Subcontracting Plans with goals for subcontracting to small business, small disadvantaged business, women-owned small business, Historically Underutilized Business Zone (HUBZone) small business, and service-disabled veteran owned small business. This requirement results in significant subcontracting opportunities for small business. In Fiscal Year 2004, large business Department of Defense prime contractors reported subcontracts totaling $101.8 billion, of which $35.2 billion or 34.5 percent were awarded to small businesses in the U.S. This compares with Fiscal Year 2003 subcontracts totaling $86.5 billion, of which $32 billion or 37 percent, were awarded to small businesses.
DOD SUBCONTRACTING DIRECTORY
(See Subcontracting Opportunities with DOD Major Prime Contractors)
The Department of Defense Subcontracting Directory provides the names and addresses of DOD major prime contractors and the names and telephone numbers of their Small Business Liaison Officers (SBLOs), assigned the responsibility for the success of the corporate subcontracting program. The directory cites the product or service line supplied to the DOD by the prime contractor.
Small business should visit or write the SBLO of businesses that have products or services that offer subcontracting opportunities. SBLOs are knowledgeable of past, present, and future purchases at their contractor locations. SBLO responsibilities include providing informational assistance to small business in subcontracting matters.
SBA SUBCONTRACTING OPPORTUNITIES DIRECTORY
SBA obtains the names and addresses for this directory from Subcontracting Plans submitted to the Government when a large business receives a Federal contract over $500,000 (over $1 million in construction). The listing is organized by state and includes the company name and address along with the company Small Business Representative (also known as the Small Business Liaison Officer or SBLO) and the main product or service provided. SBA does not have the authority to require a prime contractor to use a particular small business. However, SBA's Commercial Market Representatives (CMRs) counsel small businesses on how to market their products and services to the prime contractors in the SBA directory. To find your nearest CMR, go to http://www.sba.gov/GC/contacts.html and click on the fourth menu selection.
Prime contractors use SUB-Net to post subcontracting opportunities. These may or may not be reserved for small business, and they may include either solicitations or other notices -- for example, notices of sources sought for teaming partners and subcontractors on future contracts. Small businesses can review this web site to identify opportunities in their areas of expertise. While the web site is designed primarily as a place for large businesses to post solicitations and notices, it is also used by Federal agencies, state and local Governments, non-profit organizations, colleges and universities, and even foreign Governments for the same purpose. CAUTION : Be sure to print any items of interest as this website does not have an archive capability.
COMPREHENSIVE SUBCONTRACTING PLAN TEST PROGRAM
The DoD Comprehensive Subcontracting Plan Test Program is a test program to determine whether comprehensive subcontracting plans on a corporate, division, or plant-wide basis will reduce administrative burdens while enhancing subcontracting opportunities for small business concerns in all categories. Participants in the Comprehensive Subcontracting Plan Test Program must have at least three DoD contracts aggregating $5M or more and have their Comprehensive Subcontracting Plan approved annually by the Defense Contract Management Agency. Read Comprehensive Subcontracting Plan Test Program Fact Sheet here.