Small Business GSA Schedule Holders had a very good 2020. This is contrary to the impression of many people that I have talked to in recent months. In fact, even as many businesses were shutdown due to COVID, the federal government kept utilizing the Schedule System. The average GSA Schedule Holder increased their federal sales in 2020 by $84K, which represents an 8.2% growth rate over 2019. See table below:
 

As you can see from the table, the number of GSA Schedule holders hovered around 12K firms for the past two years, but the usage for Small Businesses from GSA Schedules increased driving up the revenue on a per firm basis.

Small Businesses Federal Contractors as a Whole
In 2020, according to USAspending.gov, the federal government had a slight decrease in small business spending at $130.B (there will almost undoubtedly be some additional contracts that settle that put this on par with 2019). If this retracement of 2019 figures holds, it seems likely due to the unprecedented expansion in small business federal contracting that started in 2016.
 

10% of all small business spending in 2020 occurred utilizing the GSA Schedule system. Small businesses are providing better solutions and finding their niches more than ever in the federal marketplace. Also, many of my clients generate contracts and make sales via other contracting vehicles after having made first contract with the agency through the schedule system.

I anticipate another banner year for small businesses with GSA Schedules as our slightly wobbly economy seeks to get back on track.

A GSA Schedule is a great step when entering the federal marketplace, whether looking to couple it with an 8(a) Certification, or as a stand-alone. If you would like to have an analysis run of your firm to see what type of impact a GSA Schedule (and/or 8(a) Certification) could provide your business, I always recommend contacting an industry expert such as Advance GSA or ez8a. Knowing the size of the federal marketplace in your industry is the first step in making a strategic decision as to whether you should view the federal government as a growth area for your business. Neither charge for an initial consultation.