
How to prepare for a DCAA pre-award audit (and why it’s good for your business)
July 16, 2025One of the biggest challenges small businesses face in the federal marketplace is proving past performance that the government considers “citable.” If you’re already working on projects as a subcontractor, you do have experience—but it’s often difficult to translate that into credit when bidding as a prime contractor.
Why Past Performance Matters
Past performance is a major factor in government evaluations. Without a strong track record, small businesses struggle to compete with established primes—even when they have the capability and talent to perform the work.
Proposed Solutions to the Past Performance Gap
Lawmakers and agencies recognize this challenge. In fact, the Defending America’s Small Contractors Act of 2016 proposed an important pilot program:
Section 302 suggested giving qualified first-tier subcontractors the ability to obtain past performance ratings directly from contracting agencies and prime contractors. These ratings could then be cited when pursuing prime opportunities.
If fully implemented, programs like this would increase transparency, give small businesses meaningful credit for their work, and encourage primes to recognize the contributions of their subcontractors.
Why This Change Matters
Opening the door for subcontractors to use past performance creates:
-
More competition in the federal marketplace.
-
Stronger opportunities for growth among small businesses.
-
Greater recognition of quality work, regardless of company size.
The federal government is the world’s largest buyer. Improving policies around past performance ensures that Main Street businesses can compete and thrive.
__
Ready to strengthen your past performance profile and position your business for prime contracts? Our experts can help you document subcontract achievements and build strategies to win in a competitive federal marketplace. Schedule a consultation today

