A huge advantage for small businesses in government contracting is the set-aside — contracts the government reserves for specific kinds of businesses, with less competition. Here's how they work.
What is a set-aside?
A set-aside is a contract (or part of one) that only certain businesses are allowed to bid on. The government uses them to direct spending toward small and disadvantaged businesses. If you qualify, you're competing against a smaller pool.
The main categories
- Small Business Set-Aside — open to businesses that meet the SBA size standard for that contract's NAICS code. The broadest category.
- SDVOSB / VOSB — Service-Disabled Veteran-Owned / Veteran-Owned Small Business.
- WOSB / EDWOSB — Women-Owned / Economically Disadvantaged Women-Owned Small Business.
- 8(a) — the SBA's program for socially and economically disadvantaged small businesses.
- HUBZone — businesses located in (and hiring from) Historically Underutilized Business Zones.
The key rule
You generally need the official certification to win a set-aside reserved for that group. Saying you're "veteran-owned" isn't enough — you need the SDVOSB certification on file. Each program has its own application through the SBA or VA.
How to use this
- Get certified for any category you genuinely qualify for — it opens contracts with far less competition.
- When browsing opportunities, check the set-aside type. A tool like AskTuvo flags whether a set-aside matches your certifications or whether you'd be ineligible, so you don't waste time on contracts you can't win.
See which set-aside contracts you qualify for — free. Find my contracts →