# What is a set-aside?

URL: https://us.falkview.com/glossary/set-aside/
Updated: 2026-11-04

> **What is a set-aside?**
>
> A set-aside is a federal contract that only certain businesses may compete for, such as small businesses, 8(a), HUBZone, service-disabled veteran-owned or women-owned small businesses. Contracting officers generally must set a contract aside for small business when they expect offers from two or more capable small businesses at fair prices.

## Key facts

- The "rule of two" is in FAR 19.502-2.
- Whether a firm counts as small depends on the SBA size standard for the contract's NAICS code.
- Set-aside status is shown on each SAM.gov notice.

## Why it matters for facility-services bids

Most janitorial and landscaping firms qualify as small under their NAICS size standards, so set-asides narrow the field to companies of their own size.

## Sources

- [FAR 19.502-2, total small business set-asides](https://www.acquisition.gov/far/19.502-2)
- [SBA table of size standards](https://www.sba.gov/document/support-table-size-standards)
- [SAM.gov Contract Opportunities](https://sam.gov/opportunities)

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