SAM.gov Basics: What Every Foundry Needs to Know
Understanding SAM.gov: Your Gateway to Federal Government Contracting
If your foundry is looking to sell to the federal government, there's one essential platform you need to know: SAM.gov. The System for Award Management (SAM) is the federal government's centralized database for organizations seeking to do business with the U.S. government.
What is SAM?
The System for Award Management (SAM.gov) is the official U.S. government system managed by the General Services Administration (GSA). SAM.gov serves as the primary database where businesses must register to become eligible for federal contracts, grants, and other procurement opportunities.
Entities must complete their registration profile, which includes business details, banking information, and certifications about the company's status and capabilities. Upon successful registration, entities receive two critical identifiers:
Unique Entity Identifier (UEI): Acts as your universal identifier across all federal systems and serves as your digital identity in federal contracting. Assigned immediately upon registration.
CAGE Code: Identifies specific physical facilities where contract work is performed. Critical for defense contracts, logistics operations, and payment routing. Typically assigned within 10 business days.
The Gateway to Government Procurement
SAM.gov represents the gateway through which most federal procurement opportunities flow. For businesses seeking federal contracts, registration isn't just recommended, it's mandatory. Without an active SAM registration, your company cannot receive federal contract awards or grants.
According to FAR Part 5, government agencies are required to post contract opportunities over $25,000 to SAM.gov. This means the platform captures the vast majority of federal procurement actions, making it the primary marketplace for government contracting.
Key Requirements
Both identifiers are obtained through SAM.gov registration. U.S. entities receive both automatically, while foreign entities must first obtain an NCAGE code through NATO Support and Procurement Agency (NSPA). Registration must be renewed annually; any lapse can result in missed opportunities or contract termination.
Beyond Basic Registration: DIBBS and Other Systems
SAM registration opens doors to more than just contract opportunities posted directly on the platform. For instance, the Defense Logistics Agency's Internet Bid Board System (DIBBS) requires vendors to have an active SAM registration before they can participate. This interconnected ecosystem means that your SAM profile serves as your federal business identity across multiple procurement platforms and agencies.
Important Notes
- Both identifiers are FREE - Beware of third-party companies charging fees for SAM registration
- Registration is mandatory - You cannot bid on federal opportunities without active SAM registration
- Annual renewal required - Keep your registration current to remain eligible for federal awards
For businesses serious about federal contracting, SAM.gov registration is step one. Understanding the system's scope, limitations, and connections to other procurement platforms will help you navigate the federal marketplace more effectively and position your company for success in government contracting.
Download a copy of the official SAM Entity Registration Check List, click here.