In an era where the economic impact of small businesses is more significant than ever, the federal government has stepped up its game. The Biden-Harris Administration has outdone itself, setting an all-time high in federal procurement opportunities for small businesses. How high, you ask? A staggering $162.9 billion in the fiscal year 2022 alone. This data isn’t just a random figure; it comes straight from a recent press release by the U.S. Small Business Administration (SBA).

A Goal Surpassed

Originally, the administration had set a modest goal of assigning 23% of federal contract dollars to small businesses. They didn’t just meet this target; they shattered it. In fiscal year 2022, small businesses received 26.5% of federal contract dollars, an $8.7 billion increase from the previous year. The SBA even gave ten federal agencies an “A+” grade for their small business contracting achievements, and an additional ten agencies received an “A” grade. Overall, the federal government’s performance in this arena earned an “A” grade.

Making Strides in Various Categories

The accomplishments don’t stop there. Let’s look at some specifics:

– Small Disadvantaged Businesses: For the second year in a row, spending in this category exceeded the 11% goal, aligning well with President Biden’s commitment to diversity and inclusion.

– Service-Disabled Veteran-Owned Small Businesses: Another area that exceeded expectations was service-disabled veteran-owned small businesses. The spending goal was 3%, and the actual figure reached was 4.6%, translating to $28.1 billion in procurement.

– HUBZone Small Businesses: These businesses received a record-breaking $16.3 billion, making significant progress even if they fell short of the 3% statutory goal.

– Women-Owned Small Businesses: They secured more than $26 billion, marking an increase from $26.2 billion in 2021 to $28.1 billion in 2022. Although they slightly missed the 5% target, the expansion in certified firms and the NAICS codes eligible for set-asides shows promise for future achievements.

The Big Picture

The SBA has played a pivotal role in these accomplishments, working tirelessly to set contracting goals and collaborating with government buyers to prioritize small businesses. Under the leadership of Administrator Isabella Casillas Guzman, the administration has released new guidance for diversifying the federal marketplace, updated NAICS codes to benefit women-owned businesses, and even activated educational programs like ChallengeHer to help women-owned small businesses gain access to federal contracts.

Final Thoughts

The Biden-Harris Administration is making historic strides in empowering small businesses through federal contracting. These record-breaking numbers are not just statistics; they represent real opportunities for small businesses to grow and thrive, providing over one million good-paying jobs across various sectors including manufacturing, construction, and R&D. It’s clear that the administration is not just talking the talk, but also walking the walk when it comes to supporting small businesses.

To find out more about how the SBA is supporting small businesses, you can visit their website here. (CLICK HERE)