There are many benefits to the government to hire small business to fulfill contracts. In fact, according to a study by the Small Business Administration (SBA), small businesses pay on average 30% less in labor costs than larger businesses and corporations. When small businesses are awarded government contracts, it can provide a boost to the local economy and create jobs, especially in underserved areas and for under-resourced populations. 

By hiring small businesses, government agencies can get the same quality of work for a lower cost than they would by hiring a larger, more established firm. What’s the benefit of that? It can free up budgets across the board for other priorities and help government agencies operate more efficiently.

Small businesses are able to adapt more quickly to changes and other circumstances making us more flexible than our larger firms and corporations. We have less decision makers, making decision-making, collaboration and communication faster and more efficient. 

Because small businesses have a goal to thrive and have longevity, staying up-to-date with the latest technologies and approaches to provide the best possible services is imperative. Small businesses are often more agile and innovative than larger firms, and can provide fresh ideas and new perspectives that can help government agencies improve their operations and service delivery.