“Our revenue grew $26.8M in 4 years on the GSA Schedule Program” – Ted M.

The Must-Knows of a GSA Contract with Federal Government

gsa contract with federal government

President Harry S. Truman founded the General Services Administration, or GSA, in 1949 to streamline the federal government’s administrative duties. The initial goal and function of a GSA contract with federal government were to dispose of war surplus commodities, manage and preserve government archives, handle emergency preparedness, and stockpile strategic supplies for warfare. Still, it has given way to a much broader purpose.

GSA now functions as the federal government’s purchasing arm, facilitating the acquisition of goods and services for thousands of federal agencies and offices.

This article will explore what is within a GSA Contract with Federal Government.

What is a 5-year GSA Contract with Federal Government?

First and foremost, GSA provides federal agencies with a wide range of products and services that they require to serve the general public. The GSA Schedules initiative gives the government, and commercial partners reduced lead times and more transparency. The Federal Acquisition Service (FAS) provides a wide range of products and services to the federal government at the best possible price.

Companies interested in a GSA Multiple Award Schedule (MAS) contract must submit a proposal that meets the requirements of the current GSA solicitation, which varies based on the products or services the vendor wishes to provide to the government. GSA Schedules are open enrollment, which means that businesses can apply at any time, allowing them to enter the federal market whenever they are ready.

One significant distinction between selling your products and services under a GSA contract and selling commercially is that when you sell under a GSA contract, the terms and conditions have already gotten agreed upon throughout the GSA Schedule bidding process. Thus, the purchase procedure for the many federal departments in the government is made easier by having agreed-upon terms and conditions.

Pricing, terms, and conditions are all negotiated during the process. If you are successful, you will receive a 5-year GSA contract with federal government, which you can extend for up to a total of 20 years.

The 5-year GSA contract with federal government explains why the GSA proposal process requires so much documentation, review, and evaluation; GSA wants to ensure that its contractors can execute orders for customers in the long run. This process also informs GSA customers that contractors awarded a GSA Schedule has gotten determined to be stable and viable to sell authorized products or services to government customers for a minimum of five years, attracting government customers to the Schedules program for procurement.

Where can I find a GSA Contract with Federal Government?

You can utilize a variety of databases to look for a GSA contract with federal government. Similarly, government organizations employ a variety of databases to discover contractors, which fall into four categories:

  • Dynamic Small Business Search

Government organizations use the Dynamic Small Business Search (DSBS) database to discover small business contractors for impending contracts. Small businesses can also use DSBS to connect with other small enterprises.

SBA maintains the DSBS database. Because the information you supply when registering your business in the System for Award Management (SAM) gets utilized to complete the DSBS, you should develop a detailed business profile.

  • Contract Opportunities

Contracts for more than $25,000 are listed on beta.sam.gov by government entities. There, you can find a contract that meets your company’s needs and bid on it.

  • GSA Schedules

Securing a contract with the United States General Services Administration (GSA), the government organization that connects government purchasers with contractors, is a fantastic place to start if you want to sell to the government using your GSA contract with federal government. Obtaining a contract with the GSA is frequently referred to as “getting on the GSA Schedule.” This distinction indicates that you have gotten approved to do business with the government.

  • Subcontracting Opportunities

The SubNet is a database of subcontracting possibilities for small firms offered by large contractors looking for subcontractors.

The Small Business Administration maintains a list of federal government prime contractors with subcontracting plans. Furthermore, the GSA provides a subcontracting directory for small businesses looking for prime contractor subcontracting opportunities. The directory includes a list of large corporate prime contractors who must develop plans and objectives for subcontracting with small enterprises.

Additionally, the United States Department of Defense (DoD) maintains a similar database of large prime contractors that small businesses can utilize to discover subcontracting opportunities.

How much do Government Contracts Pay?

BPAThe average annual wage for a Federal Contractor in the United States is $98,706 per year as of September 29, 2021. For a quick salary calculation, that comes out to be around $47.45 per hour. This math works out to $1,898 a week or $8,226 per month.

While you can find annual salaries as high as $149,500 and as low as $23,000 on a large job market, the majority of Federal Contractor salaries currently range from $66,500 (25th percentile) to $139,500 (75th percentile), with top earners (90th percentile) making $147,000 annually across the United States.

The typical compensation for a Federal Contractor ranges widely (up to $73,000), implying that there may be numerous prospects for growth and higher income dependent on skill level, location, and years of experience.

Furthermore, according to recent job posting activity, the Federal Contractor job market throughout most states is not very active at the moment as few organizations are hiring. However, the average yearly compensation for a Federal Contractor in most regions is $98,706, the same as the national average annual salary of $98,706.


While obtaining a GSA MAS contract does not guarantee government sales, it can be a useful contract vehicle for businesses to tap into the federal market and increase sales. A critical step in determining whether a GSA MAS contract is suited for you is to weigh the costs, advantages, and opportunities.

Finally, settling for individual bids that you may or may not win makes little sense when obtaining a GSA contract with federal government is another far more promising option.

Are you disappointed with your Federal Sales?

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GSA Focus is the full-service GSA Contract solution for small businesses. Our comprehensive, full-service approach is paired with an affordable price to offer the very best option to get your GSA Schedule.

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