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Eligibility

Can you bid on federal contracts without employees?

Short Answer

Can you bid on federal contracts without employees? Technically yes, but winning is difficult. Most service contracts require demonstrated capability and personnel. Sole proprietors can win, but staffing plans and ability to hire are scrutinized heavily.

As of 2024FAR 15.305

Detailed Answer

Bidding without employees is possible but challenging: **Supply contracts:** - Easier without employees - Focus on products, not labor - May work as reseller/distributor - Still need demonstrated capability **Service contracts:** - Much harder without employees - Must demonstrate staffing capability - Key personnel often evaluated - Past performance requires delivery history **Sole proprietor considerations:** - Can win contracts as sole owner/worker - Limited by personal capacity - Bonding may be difficult - Growth limitations obvious **Proposal challenges:** - How will you staff the requirement? - Where will personnel come from? - What's your recruiting capability? - How do you demonstrate labor capacity? **Strategies for new companies:** - Start with smaller contracts - Use subcontractors for capacity - Partner with established firms - Build team before bidding **Commitment letters:** - Show intent to hire specific personnel - Demonstrate access to qualified talent - Provide contingent offer letters - Include team member resumes **Realistic expectations:** - Major services contracts unlikely without staff - Build incrementally - Subcontracting may be better entry point - Develop capability before pursuing large work **What evaluators look for:** - Organizational experience - Personnel qualifications - Management capability - Resource availability

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