What is a small business set-aside?

A small business set-aside limits a federal acquisition exclusively to small business concerns. It can be total or partial, and set-aside solicitations must state the NAICS code and size standard that define who counts as small.

What is the rule of two?

It is the common name for the FAR requirement to set aside an acquisition for small business when the contracting officer reasonably expects offers from at least two responsible small businesses and award at fair market prices. Under FAR 19.502-2, acquisitions above the micro-purchase threshold up to the simplified acquisition threshold are set aside unless that expectation is lacking, and acquisitions above the threshold are set aside when it exists.

What is the SBA 8(a) program?

The 8(a) Business Development program is an SBA program for small businesses at least 51% owned and controlled by U.S. citizens who are socially and economically disadvantaged. Certified firms can compete for 8(a) set-aside and sole-source contracts (sole source up to $8.5 million for manufacturing NAICS codes and $5.5 million for others) and get business development help during a maximum nine-year term.

What is a small business set-aside?

A small business set-aside limits a federal acquisition exclusively to small business concerns. It can be total or partial, and set-aside solicitations must state the NAICS code and size standard that define who counts as small.

What is the rule of two?

It is the common name for the FAR requirement to set aside an acquisition for small business when the contracting officer reasonably expects offers from at least two responsible small businesses and award at fair market prices. Under FAR 19.502-2, acquisitions above the micro-purchase threshold up to the simplified acquisition threshold are set aside unless that expectation is lacking, and acquisitions above the threshold are set aside when it exists.

What is the SBA 8(a) program?

The 8(a) Business Development program is an SBA program for small businesses at least 51% owned and controlled by U.S. citizens who are socially and economically disadvantaged. Certified firms can compete for 8(a) set-aside and sole-source contracts (sole source up to $8.5 million for manufacturing NAICS codes and $5.5 million for others) and get business development help during a maximum nine-year term.

What is a WOSB set-aside?

As of 12 November 2026: A WOSB set-aside is a contract limited to firms in SBA's Women-Owned Small Business Federal Contract program, in industries (NAICS codes) where SBA has found women-owned small businesses underrepresented. Some are limited further to economically disadvantaged WOSBs (EDWOSBs), and firms must be certified through SBA Certifications (or an SBA-approved third-party certifier) to compete.

Updated 12 November 2026, checked against the official sources below.

Steps

Confirm your contract's NAICS code is on SBA's list of WOSB or EDWOSB eligible industries.
Confirm the business is small under that NAICS code's size standard.
Confirm it is at least 51% owned and controlled by women who are U.S. citizens and that women manage day-to-day operations.
Apply for certification at SBA Certifications (free) before bidding on WOSB set-asides.

What do the official sources say?

Source	What it says	Read
SBA, Women-Owned Small Business Federal Contract program	"These contracts are for goods and services in specific industries (identified via NAICS code) where WOSBs are underrepresented."	12 November 2026
SBA, Women-Owned Small Business Federal Contract program	"Be at least 51% owned and controlled by women who are U.S. citizens"	12 November 2026
FAR 19.1505(c) WOSB set-aside procedures	"Two or more WOSB concerns eligible under the WOSB Program (including EDWOSB concerns), will submit offers and;"	12 November 2026

Questions people also ask

What is a small business set-aside?: A small business set-aside limits a federal acquisition exclusively to small business concerns. It can be total or partial, and set-aside solicitations must state the NAICS code and size standard that define who counts as small.
What is the rule of two?: It is the common name for the FAR requirement to set aside an acquisition for small business when the contracting officer reasonably expects offers from at least two responsible small businesses and award at fair market prices. Under FAR 19.502-2, acquisitions above the micro-purchase threshold up to the simplified acquisition threshold are set aside unless that expectation is lacking, and acquisitions above the threshold are set aside when it exists.
What is the SBA 8(a) program?: The 8(a) Business Development program is an SBA program for small businesses at least 51% owned and controlled by U.S. citizens who are socially and economically disadvantaged. Certified firms can compete for 8(a) set-aside and sole-source contracts (sole source up to $8.5 million for manufacturing NAICS codes and $5.5 million for others) and get business development help during a maximum nine-year term.

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