Top NAICS Codes for Small Business Federal Contracts in FY2025 (So Far)
If you're chasing federal contracts in 2025, here’s a reality check: the agencies aren’t slowing down, and neither are the opportunities. From IT services to construction to niche environmental cleanup, small businesses are capturing billions in new awards—and it all boils down to which NAICS codes are winning.
We’ve crunched the numbers using FY2025 data (from October through mid-year) from SAM.gov, USAspending, and FPDS. The verdict? The same NAICS codes dominating FY2024 are still running hot—but some subtle shifts and sector trends are worth watching closely.
Let’s break it down.
Where the Dollars Are Going: Top Small Business NAICS for FY2025 (So Far)
Here are the heavy hitters by total contract value:
541519 – Other Computer Related Services: Still the IT kingpin, covering everything from cybersecurity to infrastructure support.
236220 – Commercial and Institutional Building Construction: Massive infrastructure bills and VA/MILCON projects keep this category booming.
541330 – Engineering Services: Civil, mechanical, and structural engineering contracts—especially tied to defense—continue to pour in.
541715 – R&D in Physical, Engineering & Life Sciences: SBIR Grant Assistance and federal R&D programs are fueling growth here.
541512 – Computer Systems Design Services: Think system integration, cloud migrations, and AI-driven solutions.
541611 – Management Consulting: Bread-and-butter NAICS for agencies seeking strategy, admin, and operations support.
541511 – Custom Programming Services: Specialized software dev shops are winning more task orders in AI and analytics.
561210 – Facilities Support Services: Base ops and O&M contracts—many with high-dollar value—make this a quiet powerhouse.
339999 – Miscellaneous Manufacturing: Gear, tools, and niche products, often with defense or medical applications.
562910 – Remediation Services: Environmental cleanup and hazardous waste jobs, often funneled through 8(a) and SDVOSB firms.
Sector Takeaways: Construction, IT, and Consulting Still Reign
Unsurprisingly, Construction, Professional Services, and IT are the dominant verticals for small business contracting. They accounted for over 60% of small-business awards in FY2024, and FY2025 is trending similarly.
Construction & Facilities: VA, GSA, and DoD continue to drive small contractor opportunities.
IT Services: High demand from cybersecurity, cloud, and AI modernization projects.
Professional Services: Contracting officers are still leaning on 541611 and similar NAICS for admin, HR, and program support.
A notable FY2025 trend? A rising focus on green energy and environmental projects, with NAICS like 562910 gaining momentum due to climate funding.
Agencies Driving the Trends
Key players behind these numbers include:
DoD & VA: Still dominant in construction, engineering, and R&D.
GSA: Pushing IT services through GWACs and the MAS Schedule.
HHS & NIH: Investing in small biotech and research firms under R&D codes.
DHS/FEMA: Awarding local HUBZone and SDVOSB contracts for warehousing, logistics, and surge staffing.
Want a deeper inroad? Build relationships with OSDBUs and attend Industry Days hosted by these agencies.
What Role Do Set-Asides Play? A Big One.
In FY2024, set-asides accounted for roughly $33B of small-business contract awards. Programs like 8(a) certification, HUBZone, SDVOSB, and WOSB directly influence top NAICS performance.
8(a) sole source awards are especially active in IT (541512, 541519) and consulting (541611).
HUBZone firms are killing it in construction (236220) and facilities (561210).
SDVOSBs thrive under VA mandates, especially in maintenance and healthcare-adjacent services.
oney on the table.
What You Should Do Now
Double Down on High-ROI NAICS: Use USAspending.gov to verify which NAICS align with your work—and whether your competitors are already winning there.
Certify Strategically: If eligible, go after certifications like 8a certification assistance, women owned small business certification, or disabled veteran government contracts. These aren't optional anymore—they're differentiators.
Target Key Contract Vehicles: GWACs like 8(a) STARS III and VETS 2, or new entries like OASIS+, are essential if you're in IT or consulting.
Think Regionally: Your HQ state could offer more access—or more competition. VA and MD dominate in award dollars, but places like Montana, West Virginia, and Rhode Island see higher percentages of contracts go to small businesses.
Polish Your Capability Statement: Make sure it speaks the language of your top NAICS codes and certifications. Contracting officers search by those terms.
The Big Picture
FY2025 may bring tighter federal budgets and increased contract consolidation—but small businesses are still front and center. The opportunities are real, the dollars are moving, and the door is open. The question is: are you positioned to walk through it?
If you play in the right NAICS sandbox and get your certifications and strategy aligned, your small business can absolutely thrive in the second half of FY2025—and beyond.
Want to know how the SEWP and CIO-SP contract transfers to GSA could change this whole landscape? Check out our latest post: “GSA’s Power Play: What the SEWP and CIO-SP Transfer Means for Small Contractors” — it’s a must-read if you’re in IT or services.
If you aren't a Squared Compass partner, what are you waiting for? From getting your business set up with specific government set aside programs at both the State and Federal level, to being empowered by a Fractional Capture team to win government contracts, to receiving tailored government contract opportunities Squared Compass delivers immense value which helps propel our partners to success. Schedule a chat with our team today.