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FAR ClauseSmall Business

FAR 52.219-8Utilization of Small Business Concerns

Requires large business primes to actively seek out small business subcontracting opportunities and treat small business participation as a contractual obligation.

When This Clause Applies

Required in all contracts other than small business set-asides where there are subcontracting opportunities and the contract exceeds the simplified acquisition threshold.

What This Means for Contractors

Large primes must demonstrate good-faith effort to utilize small businesses across categories (SDB, HUBZone, SDVOSB, WOSB, HBCU/MI). This clause is the predicate for FAR 52.219-9 (Subcontracting Plan) — failure to make good-faith effort can result in liquidated damages and negative past performance.

Common Pitfalls

  • 1Treating utilization goals as aspirational rather than contractual
  • 2Not documenting outreach to small business sources
  • 3Failing to consider small businesses for second-tier subcontracts

Related Topics

FAR 52.219-8utilization of small business concernssmall business subcontracting effort

Need help complying with FAR 52.219-8?

Aliff helps GovCon firms map clause requirements to deliverables, build compliance evidence, and respond to CO inquiries with confidence.