Preferences in government contracting were established to give small business a fair share of federal contracting dollars. Each year a percentage of contracts are labeled as "set aside" for different types of small businesses. Such contracts can only be bid upon by small businesses which fit under the definition of that particular set aside. For example, certain contracting opportunities may be set aside for only service-disabled veteran-owned small businesses, HUBZone small businesses, or other categories.

Another reason to pursue these programs is to gain access to larger businesses pursuing bids that require a percentage of the value of the bid to go to specified categories. Combined with your expertise, getting a special status could make your business an attractive teaming partner.

If you're just starting out, you really owe it to yourself to investigate these programs and see if you can qualify!