2023 Predictions for 8(a) Companies
January 4, 2022 - Now that the calendar has officially turned, I want to go out on a limb and make some predictions on a few trends that I think will shape the year to come. Here’s what 8a companies should be ready for in 2023:
Graduated 8as, mid-markets and large businesses will compete as 8a companies. Expect to see more mentor-protégé agreements and JV partnerships this year as graduated 8as, mid-markets, and large businesses look for ways to compete for set asides. We already saw many companies employ this tactic last year and it could have an outsized impact on large GWACS and vehicles that have an 8a set aside. Keep this in mind when sizing up the anticipated competitive set for a given contract and/or consider it as part of your own company’s strategy.
Teaming wins contracts. This trend has been several years in the making and I think it will continue to play out in 2023. We’re continuing to see contracts getting bundled and they can end being very broad, both capability-wise and geographically. Many contracts have unique requirements that warrant bringing in companies that have specialties in other areas. Work to build out your roster of trusted teaming partners to be able to pivot quickly on unexpected requirements.
Federal agencies will continue favoring contract vehicles. The number of standalone contracts is dwindling and will continue to shrink in the year ahead. Expect federal customers to opt for solutions procured via GWACs and multi-award IDIQs and BPAs, if they aren't already. And if you're not already on those vehicles, make them a priority in 2023...this will be invaluable in future years as you move towards graduation.
I'm sure 2023 will bring its fair share of surprises, but we'll continue to offer insight as these and other key trends unfold—and if you ever want to learn more, just get in touch.
Until then, here's to an exciting year ahead!
Hope you have an outstanding 2023!