What Is a Sole-Source Government Contract?

An authorized purchasing approach

A sole-source award uses an applicable authority to contract without the usual competition among multiple offerors. Different authorities have different conditions and approval requirements. Some relate to particular circumstances; others concern eligible small-business programs.

There is no general right to a sole-source contract merely because a company is certified or has a relationship with an agency.

Understand the context

1. 01Identify the specific legal authority and procurement method involved.
2. 02Check the applicable eligibility, justification, approval, and notice conditions.
3. 03Determine what pricing and responsibility information the buyer requires.
4. 04Review whether the public notice requests a response or describes an intended action.
5. 05Follow the authorized process rather than assuming the award can be arranged informally.

Avoid a common marketing mistake

Do not tell buyers certification makes your company available for any noncompetitive purchase. Eligibility depends on the authority, work, circumstances, and rules in effect. Price and ability to perform still matter.

Build capability, not entitlement

Present accurate information and understand the customer's needs. A lawful sole-source route may be relevant in a particular situation, but should not be your entire growth strategy. Relationships cannot replace procurement rules or guarantee favorable recommendations.