Sources Sought Notice

A sources sought notice is a public market research posting on SAM.gov through which a federal agency identifies qualified vendors and determines whether adequate small business competition exists to justify a set-aside before issuing a formal solicitation.

What is a Sources Sought Notice?

A sources sought notice is one of the most important pre-solicitation documents in federal contracting. Agencies issue sources sought notices under FAR 10.002 to fulfill their market research obligations and gather information about industry capabilities before a procurement decision is finalized.

The notice typically asks vendors to submit:

• Company name, address, and point of contact
• Business size and socioeconomic status (small business, 8(a), HUBZone, SDVOSB, WOSB)
• Applicable NAICS code and size standard
• Relevant experience and past performance
• Technical capability to perform the anticipated work
• Interest in teaming arrangements

The agency's most critical use of sources sought responses is determining set-aside eligibility. Under the "Rule of Two," if the contracting officer receives responses from at least two responsible small businesses, the procurement must generally be set aside for small businesses. A strong set of small business responses can flip a planned full-and-open competition into a small business set-aside, locking out large companies entirely.

Sources sought notices are not solicitations, responding does not guarantee an invitation to bid, and not responding does not prevent a company from bidding on the resulting solicitation. However, responding is strongly recommended.

Why Sources Sought Notices matter for government contractors

Responding to a sources sought notice is arguably the highest-leverage activity in government business development. Your response directly influences whether the procurement is set aside for your socioeconomic category. A well-written capability statement can shape requirements, highlight capabilities the agency had not considered, and establish your company's technical credibility before the competition begins. Agencies also review sources sought responses when crafting the evaluation criteria, contractors who demonstrate relevant experience in their response sometimes see that specific experience weighted more heavily in the final Section M.

Example

The Air Force issues a sources sought notice for aircraft maintenance services at a base in New Mexico. The notice asks for capability statements and whether companies are service-disabled veteran-owned small businesses (SDVOSB). Seven responses come in, five from SDVOSBs with directly relevant experience. The contracting officer, applying the Rule of Two, sets the procurement aside for SDVOSBs. Large defense contractors who were planning to compete are now excluded. The five SDVOSBs that responded have already shaped the competition.

Frequently Asked Questions

How long is the response window for a sources sought notice?

Response windows are typically 7 to 30 days from posting. Agencies may extend the deadline if they receive few responses. There is no formal minimum response period requirement for sources sought notices (unlike formal solicitations, which have minimum posting periods).

What is the "Rule of Two" in small business set-asides?

The Rule of Two requires a contracting officer to set aside a procurement for small businesses if there is a reasonable expectation of receiving offers from at least two responsible small businesses at a fair market price. Sources sought responses are the primary data used to assess whether this threshold is met.

Should I respond to a sources sought even if I don't plan to bid?

Generally yes, if you want to influence whether the set-aside benefits your category. Even if you don't bid on this particular opportunity, demonstrating your capability signals your presence in the market and builds relationships with contracting offices for future procurements.

Can a company change its teaming arrangement after a sources sought response?

Yes. Sources sought responses are not binding. A company can change its teaming partners, subcontractors, and approach when the formal solicitation is released. The sources sought response is solely for market research purposes.