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How government contracting works

Government contracting is less mysterious than it looks. Most agency buys follow the same shape: the agency posts a need, vendors respond, the agency picks one, and the work gets done under a contract that defines price, schedule, and reporting. This page walks through each step.

1. The agency posts a requirement

Federal opportunities above the micropurchase threshold are typically posted on SAM.gov, sometimes through an agency-specific portal as well (eBuy for GSA Schedule, SEWP for IT, agency-run JOC systems for construction). State and local opportunities live on the relevant state procurement portal or city / county clerk page.

The posting includes the scope of work, evaluation criteria, response format, and a closing date. Vendors only have a chance if they read those carefully and follow them exactly.

2. Vendors decide whether to respond

Not every opportunity is a fit. Vendors check the NAICS code, set-aside type (small business, 8(a), SDVOSB, HUBZone, or full and open), past-performance requirements, and whether the work sits inside their actual capability. A good vendor walks away from poor fits early.

3. The response goes in on time, in the right format

Late responses get rejected, period. Same with the wrong format. The response usually includes a price proposal, a technical or capability narrative, past-performance references, and copies of certifications and SAM registration confirmation.

4. The agency evaluates and awards

Evaluation is either lowest-price-technically-acceptable (LPTA) or best-value tradeoff. The agency scores responses against the published criteria and issues an award. Unsuccessful vendors can request a debrief; in some cases they can protest, though that path is narrow.

5. The contract is performed and closed out

The awarded vendor delivers against the statement of work, invoices on the schedule the contract specifies, submits any required reports (certified payroll, progress reports, deliverables), and closes the contract out with a final invoice and any required closeout documents.

Where AXA South fits

We respond as a prime contractor across procurement, construction, professional services, IT, logistics, and OCONUS categories. Where the work itself requires a license (a licensed trade on a construction job, for example), the work is performed by a properly licensed subcontractor. That is the standard government-contracting model.

FAQ

Common questions

What does SAM.gov registration get me?

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It registers your business as eligible to receive federal awards and payments. Without it, you cannot be paid on a federal contract. State and local agencies often check it as well.

Do I need a GSA Schedule to do federal work?

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No. A GSA Schedule is one path; many agencies buy open-market under the simplified acquisition threshold or through agency-specific vehicles. A Schedule helps with certain repeat-buy categories but is not a prerequisite.

What is a set-aside?

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A set-aside is an opportunity reserved for a category of business (small business, 8(a), SDVOSB, HUBZone, WOSB). Only firms with the relevant certification can compete.

How long does a typical award take?

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Micropurchases close in days. Simplified acquisitions in weeks. Major competitive contracts can run six months or longer from posting to award.