Set-Asides & Socioeconomic Programs

Similarly Situated Entity

A subcontractor that holds the same small business or socioeconomic status as the prime on a set-aside.

A similarly situated entity is a subcontractor that has the same small business program status as the prime contractor that is performing the set-aside contract — for example, an SDVOSB subcontractor on an SDVOSB set-aside, that is also small under the NAICS code assigned to the subcontract. Work performed by similarly situated entities is excluded from the limitations-on-subcontracting calculation, which lets certified small firms team without breaching the self-performance cap.

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