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What Are IDIQ Contracts in Federal Government Contracting?

Man signing paper on a table next to books and leather case.Do business with the U.S. government through flexible contract opportunities to grow your firm. One avenue of selling to the government managed by the U.S. General Services Administration is an Indefinite Delivery, Indefinite Quantity (IDIQ) contract. Approximately one-third of government contracts are IDIQ contracts, so this represents a major opportunity for new or growing companies. See what you can do to connect with your chosen federal agencies with the help of an expert advisor and an IDIQ contract.

IDIQ Contract Definition

An IDIQ contract is an option government agencies use when they can’t determine the exact amount of supplies or services they require for a particular project. They’re most often used for services, such as architect-engineering services but can be used for a variety of supplies as well.

GSA specifies a minimum for these contracts and describes the scope of the project. They typically are awarded for base years and option years. The agency then places delivery orders or task orders between the minimum and maximum limits. Typically, these limits are specified in either dollar values or units, depending on whether the contract is for supplies or services.

Steps to Qualify for IDIQ Contracts

Are you ready to leverage IDIQ opportunities to streamline the procurement process and do business with Uncle Sam? Explore these steps to see how you can get started.

  • Become a Schedule contractor: To start, you must be a GSA Schedule contractor to work through any GSA contract type.
  • Review the contract carefully: Be sure you can complete the scope of the project within the expected time limit. It’s best to focus on up to five key government agencies with contracts that match your past experience and capabilities.
  • Consider finding a partner: This type of GSA contract can include extensive projects, so you may wish to consider working with a prime contractor or teaming partner. These partnerships can help you cover the extent of the contract.
  • Leverage your federal branding: IDIQ contracts can be competitive. Prepare your federal branding materials to promote your qualifications.

Benefits of This Contract Type

An IDIQ offers distinct advantages compared with Blanket Purchase Agreements (BPAs) and Government Wide Acquisition Contracts (GWACs). If you’re considering pursuing this type of contract with the federal government, you can enjoy the following benefits:

  • Streamlined acquisition process: Many IDIQ opportunities roll multiple small projects together. This batching process can make an IDIQ a lucrative contract for your company.
  • Reduced paperwork: While you must still submit a proposal for an IDIQ contract, a single proposal is typically easier to submit than multiple ones for smaller contracts.
  • Flexible estimates: The agency isn’t positive about how much time or units the project will take, so you don’t have to be as concerned about estimating the exact scope of the project from the beginning.

Pursue Government Contracts With Rafael Marrero and Company

IDIQ contracts offer just one avenue to do business with Uncle Sam. With Rafael Marrero & Company, you can explore all the opportunities available for you to win lucrative contracts and grow your business. Contact us to learn more about unique opportunities and prepare your business for the next step forward.

Dr. Rafael Marrero

A nationally recognized expert in federal contracting, small business entrepreneurship, vendor, and project/program management. A graduate of the prestigious Stanford and Cornell Universities, Dr. Rafael Marrero is a former Fortune 500 procurement executive, two-time Inc. 500 honoree, network news commentator, and Amazon best-selling author.

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