The final two years of the 8(a) Business Development Program are a pivotal moment for your business. By now, you should have built strong agency relationships, secured multiple contracts, and refined your business development strategies. However, the biggest challenge is yet to come—competing in the full-and-open market once your 8(a) status expires.

Many companies make the mistake of focusing only on winning last-minute 8(a) contracts instead of ensuring they are prepared for unrestricted competition. The reality is that your graduation from 8(a) is permanent—there is no extension, no renewal, and no second chance. If you don’t prepare for life after the program now, you risk losing everything you’ve built over the last eight years.

Years 8 and 9 should be laser-focused on finalizing your transition strategy, securing long-term revenue streams, and strengthening your market position. If you haven’t already started bidding on full-and-open contracts, this is your last chance to do so before it’s too late.

Year 8: The Final Transition Plan

Your 8(a) expiration date is getting closer, and this year should be spent aggressively shifting your revenue base away from small business set-asides. By the end of Year 8, at least 50-70% of your revenue should come from non-8(a) contracts.

The first step is ensuring that your company is financially stable outside of the program. If you’re still relying too heavily on 8(a) set-asides and sole-source awards, you are setting yourself up for failure. You must actively increase your pipeline of unrestricted contracts, strengthen partnerships with large primes, and focus on full-and-open opportunities.

This is also the last realistic opportunity to win a long-term prime contract that will provide revenue stability beyond graduation. Targeting 5+ year contracts should be a priority. If you’ve been a subcontractor on a major contract, work toward securing a recompete as a prime. Winning an unrestricted prime contract now will prevent a revenue gap after you exit the program.

At this stage, your brand identity must shift. You should no longer be known simply as an 8(a) firm—your reputation should be based on technical capability, prime contracting experience, and industry expertise. Companies that fail to reposition themselves struggle to attract new opportunities once their 8(a) status disappears.

Operationally, your financial and contract management systems must be ready for larger-scale contracts. DCAA compliance, cost-accounting structures, and financial forecasting models must be in place to ensure your business can sustain higher-value, unrestricted contracts. If you’re not prepared, you risk being viewed as a small business that isn’t ready to play in the big leagues.

Year 9: The Final Year & Full-Open Readiness

The final year of the 8(a) program is your last opportunity to win any set-aside or sole-source contracts. By now, you should be fully competing in the unrestricted federal market. If you’re not, then your business will face a significant revenue gap upon graduation.

The key focus areas in Year 9 should include:

• Finalizing full-and-open market positioning – Ensure your company is competing as a prime in unrestricted competitions.

• Winning at least one large-scale unrestricted contract – If you haven’t done this yet, it must happen this year.

• Maintaining access to set-asides through teaming – Establish Joint Ventures (JVs) with new 8(a) firms so you can continue bidding on small business contracts.

• Optimizing financial and operational efficiency – Ensure your cost structures, pricing models, and business development strategies are built for long-term sustainability.

Another overlooked strategy is leveraging your experience to become a mentor to new 8(a) firms. Establishing a Mentor-Protégé relationship with an emerging 8(a) firm can provide continued access to small business set-asides while you transition into a mid-tier company. This allows you to stay competitive in the small business space while expanding into full-and-open competition.

As your company’s leadership team looks beyond 8(a), consider long-term growth strategies such as mergers and acquisitions, commercial market expansion, and international government contracts.Firms that plan beyond 8(a) tend to outperform those that focus solely on the federal space.

Final Thoughts: Your Future Beyond 8(a) Starts Now

You have run out of time to prepare—if you are not already competing in full-and-open competitions, you will struggle after 8(a) graduation.

By Year 9, you should have fully transitioned away from 8(a) dependence. If your company is still relying on set-aside work, you are at risk of losing revenue streams and market share. The businesses that succeed after 8(a) are those that plan ahead, secure unrestricted contracts, and build relationships outside of the small business community.

Want to ensure you’re on track? Request our exclusive Years 8-9 Success Checklist today!

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