GovCon Academy · Intermediate
Subcontracting & Teaming
10 min read
You don't have to win alone
Most businesses don't start by winning a prime contract — they start by teaming. Partnering lets you win work bigger than your current size, past performance, or bonding capacity would allow on your own, while you build the record that makes you a credible prime later.
Large primes also need you: many contracts carry small-business subcontracting goals, so primes actively seek qualified small, SDVOSB, WOSB, 8(a), and HUBZone partners.
Four ways to partner
Subcontracting
Perform a defined portion of a prime’s contract. The fastest way to earn federal past performance (and CPARS-adjacent experience) when you’re new.
Teaming agreement
A pre-award agreement where a prime and one or more subs agree to pursue a specific opportunity together, defining scope and workshare if they win.
Joint venture (JV)
A formal legal entity two firms create to bid as one. Under SBA rules, a small business JV can compete for set-asides — with size protections when structured correctly.
SBA Mentor-Protégé
An approved mentor (often a large business) provides support, and the mentor–protégé pair can form a JV to pursue set-aside work the protégé couldn’t win alone.
How to find and vet partners
- ✓ Identify primes on the vehicles and agencies you target (GSA eLibrary, USASpending award history).
- ✓ Lead with your capability statement and a specific value: a niche skill, a certification that helps their goals, or geographic reach.
- ✓ Attend industry days and matchmaking events — many are built specifically for prime/sub introductions.
- ✓ Vet for fit: relevant work, financial stability, a track record of paying subs fairly and on time.
- ✓ Put it in writing: a teaming agreement or subcontract that defines scope, workshare, and terms before award.
Rules worth knowing
- • Limitations on subcontracting: on set-aside awards, the small-business prime must self-perform a minimum percentage — you can’t just pass the work through.
- • Affiliation / size: improperly structured JVs or over-reliance on one large partner can jeopardize your small-business status. Structure JVs to SBA rules.
- • Ostensible subcontractor rule: if the sub really runs the job, the government can treat you as affiliated. Keep control where the rules require it.
Educational overview only — confirm specifics against SBA regulations and, where needed, counsel.
Next steps
Get your capability statement sharp (partners will ask for it), and confirm your codes and set-asides so primes can see how you help their goals.