Small businesses win record $96.8B in FY '09 contracts

Small businesses won a record $96.8 billion in federal prime contracts during fiscal 2009, according to new data from the U.S. Small Business Administration. That’s an increase of more than $3 billion from fiscal 2008, and the total represents nearly 22 percent of all federal spending.

Performance in each of the government’s small-business socioeconomic subcategories – women-owned small businesses, small disadvantaged businesses, service disabled veteran-owned small businesses and HubZone businesses – also increased, according to an SBA news release.

“There was an increase in both dollars and contracting share for every small-business category,” said SBA Administrator Karen Mills, in the release. “This represents real progress, but not enough. We must reaffirm our commitment to ensuring that the 23
percent goal is met and exceeded.”

At least part of the contracting uptick is attributed to the American Recovery and Reinvestment Act, which provided additional opportunities for small businesses to win federal contracts. Through early August, small businesses had secured more than 30 percent of all recovery act contracts, the release said.

For the scorecard, SBA graded 24 agencies on the prime contracting goals established by Congress. By subcategory, the contract percentages resulting in the $96.8 billion for 2009 were:
• Women-owned Small Businesses, 3.68 percent, worth $16.3 billion;
• Small Disadvantaged Businesses, 7.57 percent, worth $33.5 billion;
• Service Disabled Veteran-Owned Small Businesses, 1.98 percent, worth $8.8 billion, and
• HubZone Businesses, 2.81 percent, worth $12.4 billion.

As part of its ongoing efforts to increase contracting opportunities for small businesses, SBA continues to work with federal agency procurement staff to improve training and systems for participation, the release said.[[In-content Ad]]