For small businesses looking to exacerbate their future business development potential, where their firm is located plays a significant role. While nearly all companies benefit greatly from being 8(a) certified, sales results for 8(a) IT firms located within the DC Beltway is substantially better than those located outside this region. The numbers show that there are close to the same number of 8(a) IT firms located inside the DC Beltway as those in the other 48 states, however Beltway 8(a) It firms have almost 2x the IT contracting dollars. See the table below:
|
2020 8(a) IT Spending |
Number of 8(a) Firms |
Average Sales per 8(a) IT Firms |
DC Beltway |
10,366,730,955 |
1,100 |
9,424,301 |
Other 48 States |
5,334,467,078 |
1,068 |
4,994,819 |
$5MM in IT Revenue for the firms located outside the beltway is a sizable revenue figure. IT firms located outside the DC beltway that are looking to apply for the 8(a) Certification should consider a medium range plan to open an office in the DC area to take advantage of this additional revenue.
States/Territories |
2020 Total 8(a) IT Spending |
Number of 8(a) Firms |
Average Sales per 8(a) IT Firm |
District of Columbia |
2,404,081,214 |
100 |
24,040,812 |
Maryland |
3,006,019,562 |
349 |
8,613,237 |
Virginia |
4,956,630,179 |
651 |
7,613,871 |
DC Beltway |
10,366,730,955 |
1,100 |
9,424,301 |
Alabama |
296,779,577 |
39 |
7,609,733 |
Alaska |
206,386,410 |
82 |
2,516,907 |
Arizona |
48,108,166 |
27 |
1,781,784 |
Arkansas |
10,591,616 |
2 |
5,295,808 |
California |
521,617,079 |
103 |
5,064,243 |
Colorado |
326,943,451 |
35 |
9,341,241 |
Connecticut |
1,309,603 |
4 |
327,401 |
Delaware |
20,441,634 |
2 |
10,220,817 |
Florida |
426,375,511 |
96 |
4,441,412 |
Georgia |
475,541,538 |
82 |
5,799,287 |
Hawaii |
132,316,738 |
25 |
5,292,670 |
Idaho |
24,350,818 |
2 |
12,175,409 |
Illinois |
126,954,576 |
34 |
3,733,958 |
Indiana |
66,442,881 |
17 |
3,908,405 |
Iowa |
4,607,897 |
5 |
921,579 |
Kansas |
13,348,244 |
15 |
889,883 |
Kentucky |
31,203,410 |
3 |
10,401,137 |
Louisiana |
53,323,537 |
10 |
5,332,354 |
Maine |
3,879,351 |
- |
|
Massachusetts |
54,094,387 |
11 |
4,917,672 |
Michigan |
58,681,164 |
24 |
2,445,049 |
Minnesota |
8,518,142 |
3 |
2,839,381 |
Mississippi |
81,920,959 |
3 |
27,306,986 |
Missouri |
89,278,330 |
17 |
5,251,666 |
Montana |
15,683,695 |
3 |
5,227,898 |
Nebraska |
39,107,995 |
7 |
5,586,856 |
Nevada |
15,777,101 |
10 |
1,577,710 |
New Hampshire |
12,446,479 |
1 |
12,446,479 |
New Jersey |
94,631,572 |
34 |
2,783,282 |
New Mexico |
86,771,155 |
14 |
6,197,940 |
New York |
38,773,469 |
29 |
1,337,016 |
North Carolina |
156,448,959 |
32 |
4,889,030 |
North Dakota |
3,445,571 |
6 |
574,262 |
Ohio |
242,799,910 |
39 |
6,225,639 |
Oklahoma |
221,292,967 |
36 |
6,147,027 |
Oregon |
13,454,246 |
7 |
1,922,035 |
Pennsylvania |
159,577,640 |
19 |
8,398,823 |
Rhode Island |
15,990,757 |
1 |
15,990,757 |
South Carolina |
223,752,524 |
13 |
17,211,733 |
South Dakota |
4,303,742 |
1 |
4,303,742 |
Tennessee |
25,218,736 |
8 |
3,152,342 |
Texas |
581,571,241 |
123 |
4,728,221 |
Utah |
95,371,386 |
8 |
11,921,423 |
Vermont |
3,347,978 |
- |
|
Washington |
65,574,047 |
12 |
5,464,504 |
West Virginia |
117,674,556 |
2 |
58,837,278 |
Wisconsin |
12,964,841 |
21 |
617,373 |
Wyoming |
5,471,492 |
1 |
5,471,492 |
Outside the Beltway |
5,334,467,078 |
1,068 |
4,994,819 |
If you have any questions on getting qualified for the 8(a) Certification, or would like a more in-depth analysis, I always recommend contacting an industry expert such as ez8a or Advance 8a. Neither charge for an initial consultation.
Comment