By Years 5-7 in the 8(a) Business Development Program, your company should be operating at a more advanced level than when you first entered. You have built relationships, gained past performance, and refined your internal processes. However, this phase is not about maintaining the status quo—it’s about preparing for sustained growth, prime contracting opportunities, and long-term competitiveness beyond the 8(a) program.

The reality is that many 8(a) firms fail to transition successfully after graduation because they remain too reliant on small business set-asides and fail to build a strong pipeline of full-and-open work. Now is the time to scale operations, increase proposal volume, and compete for larger contracts. Companies that proactively diversify their portfolio, invest in certifications, and position themselves for long-term success will be the ones that thrive post-8(a).

Year 5: Scaling Your Business & Increasing Non-8(a) Revenue

At this stage, your company should be transitioning from small business reliance to becoming a stronger player in the full-and-open federal marketplace. Your business development and capture efforts should be shifting away from just 8(a) set-asides and toward more competitive, unrestricted opportunities.

One of the most critical objectives in Year 5 is to increase your non-8(a) revenue to at least 30-50%. A healthy contract portfolio should include a mix of 8(a) set-asides, unrestricted full-and-open contracts, subcontracting agreements, and IDIQ or GWAC work. Relying solely on 8(a) opportunities at this stage is high risk, as it leaves little room for stability after graduation.

A key strategy for expansion is fully leveraging your SBA Mentor-Protégé Agreement. If you have an active mentor-protégé relationship, this is the time to take advantage of joint ventures (JVs) that allow you to bid as a prime on larger opportunities. This transition from teaming as a subcontractor to leading as a primeis a crucial shift in Years 5-6.

Additionally, your company should begin aggressively pursuing large multi-award contract vehicles such as IDIQs and GWACs. These vehicles provide a structured pipeline of work and allow businesses to compete within a controlled ecosystem instead of on the fully open market. If your company is not already pursuing these opportunities, work with ProposalHelper to develop a strong proposal strategy and increase your chances of success.

Lastly, as proposal volume increases, internal processes must be scalable and efficient. By Year 5, your company should have a well-established proposal management system in place. If internal resources are stretched thin, outsourcing to ProposalHelper can provide the support needed to maintain high-quality, compliant proposals without overburdening staff.

Year 6: Preparing for Full & Open Market Competition

By Year 6, your company should have already established itself beyond an 8(a) firm. The goal in this year is to position your company for unrestricted competition. At least 50% of your revenue should be coming from full-and-open contracts, and your firm should have a strong track record of prime contracts and large-scale teaming agreements.

At this stage, you should actively compete for prime contracts, particularly within agencies where you have built a strong past performance history. Many agencies favor incumbents, so if you have been subcontracting on a major contract, now is the time to bid as a prime on the recompete.

Your capture strategy should also be focused on securing at least one major unrestricted prime contract by the end of Year 6. If you have not yet won a large contract as a prime, now is the time to position yourself as the lead contractor. This means ensuring your proposal team, pricing strategy, and technical approach are fully competitive in open-market bids.

Companies at this stage should also be expanding partnerships with mid-tier and large prime contractors. Building long-term teaming agreements and partnering with firms that are already winning full-and-open contracts can help bridge the gap during this transition.

If your company lacks the necessary technical capabilities or past performance to compete directly, forming Joint Ventures with experienced mid-tier firms can be a strong approach. These JVs provide the ability to compete for larger contracts while still benefiting from your small business status.

Operationally, Years 5-6 should also be spent strengthening your financial infrastructure, DCAA compliance, and back-office capabilities. Large prime contracts come with more complex requirements, stricter compliance regulations, and greater financial obligations—your company must be prepared for this shift.

Year 7: Cementing Your Post-8(a) Future

As Year 7 begins, the reality of life beyond 8(a) should be front and center. If you are not already competing in full-and-open competitions, your company will struggle once the program ends.

At this stage, your company should have already secured multiple full-and-open contracts, either through prime contracting, teaming agreements, or IDIQ/GWAC wins. If your pipeline is still heavily 8(a)-dependent, it’s time to shift focus immediately.

Your branding and market positioning should reflect a mature, highly competitive government contractor rather than a small business seeking set-asides. Federal buyers, primes, and contracting officers should view your firm as a trusted, capable partner for large-scale work.

One of the most strategic moves at this stage is to become a mentor yourself. By establishing a mentor-protégé relationship with a new 8(a) firm, you can continue bidding on 8(a) contracts even after graduation. This ensures your company maintains access to restricted opportunities while transitioning to full-and-open work.

By Year 7, your firm should also have a clear plan for long-term sustainability. Whether that includes an acquisition strategy, expanded commercial sector work, or international federal contracts, now is the time to finalize where your company is headed next.

Final Thoughts: Your Future Starts NOW

Years 5-7 define whether your company thrives beyond the 8(a) program or struggles to compete. The companies that scale strategically, build non-8(a) revenue, and transition into unrestricted contracting opportunities will have the highest chance of long-term success.

If your company has not yet begun targeting full-and-open contracts, investing in IDIQs, and expanding past performance, you are falling behind. Now is the time to refine your business development strategy, strengthen your proposal capabilities, and ensure your infrastructure can support large-scale federal contracts.

Want to ensure you’re on track? Request our exclusive Years 5-7 Success Checklist today!

Contact ProposalHelper & BidExecs at (571) 535-4707
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