Why register to work with the Federal Government?

When organizations get registered to work with the Federal Government, their landscape of business opportunities changes drastically—and for the better.

From accessing exclusive contracting opportunities reserved for federally listed companies, to becoming eligible for the sole source awards and set-aside grants of multiple government programs, the benefits that come from working with the federal government help U.S. businesses of all kinds thrive.

And yes, while self-registration is a complex process, the value that comes with it more than warrants the effort and ought to be encouraged. Plus, if the registration process does sound like too much of a hassle, there’s always the option to have marketplace professionals accurately file your business’ information instead. But more on that later.

For Now: Here’s a closer look at why all U.S. business owners should consider registration with the federal government.

5 Key Reasons to Register with the Federal Marketplace

In 2019 the Federal Government spent over $4.6 trillion of its annual budget on purchases from businesses within the country. 

That incredible amount of spending makes the government the largest buyer of services and goods in America. However, it’s important to understand that a massive portion of their business can only go to federally registered organizations, meaning unlisted organizations are missing out on a lot.

For instance, under legal mandates set by the U.S. small business administration, 23% of federal contracting dollars must be spent specifically on registered small businesses.

But the government’s directives for supporting registered businesses don’t end there:


  1. Sole Source Work – According to sole source law, a designated portion of contracts and grants must be given to federally registered organizations without needing to compete for them.
  2. Private Sector Bidding – Aside from work supplied by the government, federal registration also allows businesses to access valuable work opportunities in the private sector.
  3. Preferential Bidding – When applying for competitive contracts in the general marketplace, federally registered organizations are given priority review over their non-registered competitors.
  4. Subcontracting – When awarded a job, organizations are legally encouraged to subcontract on them if desired. This way a business’ size never restricts them from the federally mandated opportunities they’re owed.
  5. Set-Aside Grants – Federal procurement officers seek out registered organizations which qualify for national grants to support them funds and meet the government’s annual awarding quotas.

Taking Advantage of Exclusive Certification Opportunities

As mentioned above, organizations meeting certain criteria (such as small businesses) are eligible to receive an even greater range of federally supplied benefits.

These special statuses are separated into different business certifications, and any organization that meets their requirements can apply for them as part of their federal registration process.

The primary certifications available include:

8(a) Certification 8(a) organizations are classified as businesses run by socially or economically disadvantaged owners. 

In addition to the 23% of exclusive contracting opportunities for registered small businesses, an additional 5% portion of federal benefits are reserved for 8(a) organizations alone.

HUBZone Certification This certification is available to all registered business owners that conduct the majority of their business within a U.S. HUBZone (historically underutilized business zone).

Certified HUBZone businesses may claim federal contracts from an exclusive 3% pool of federal work opportunities. 

WOSB Certification Short for Women-Owned Small Business certification, WOSB businesses are those that both meet small business status are owned by an active majority of women. 

WOSB businesses may access an additional 5% portion of federal contracting opportunities set aside for female run organizations.

VOSB Certification An acronym for Veteran-Owned Small Business certification, VOSB businesses are those that meet small business status and maintain a majority ownership of prior U.S. military service members. 

VOSB organizations gain access to an additional 3% portion of federal benefits that are reserved exclusively for them.

It’s also Important to Note: While each of these certification statuses mean that organizations will gain access to an even greater pool of federal opportunities to bid on and other benefits to enjoy, when it comes to HUBZone and 8(a) certified businesses in particular, there are actually more contract opportunities available right now than there are businesses to claim them.

That means organizations which successfully register as a HUBZone or 8(a) business will have guaranteed government work opportunities and awards waiting for them after approval.

Conclusion: Embarking onto the Federal Marketplace

There’s tons of contract work and lucrative grants just waiting to be picked up by federally eligible businesses, and an entire world of expanded business opportunities for newly registered businesses to thrive in.

All they need to do to get started is register, and if they can qualify for certification, ensure they demonstrate their unique business status to gain all the advantageous their due. 

Best of all, to simplify things and help assure smooth results throughout the entire lengthy registration and certification processes, registration professionals are standing by.


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