The Impact of the New GSA Shift on Small Business Owners

Government acquisitions will make the shift to GSA.

I remember sitting at the contracting office doing some market research like it was yesterday. I was a young E3 in the Air Force, and my task, was to find a supplier interested in selling a storage container to the Air Force. Except this wasn't any regular storage container. This container was intended to house 'explosives' used for security dog training.

As I was assessing the level of competition (there's not many companies selling an Explosive storage container for K9 training up to DoD standards), I realized one thing; every contractor that I contacted made it a point to say they "Have a GSA schedule". They have a what? Schedule? Like work schedule?

This was the first month of my career. I had no idea what a "GSA Schedule" was. I barely knew how to spell 'GSA'

The Intention of GSA

The General Services Administration (GSA) was created on July 1, 1949. Its purpose was to streamline how the federal government manages property and purchases goods and services. This makes sense. After World War II, the government became a large bureaucratic force. And like any large government system, the federal government faced inefficiencies. GSA was intended to account for this inefficiencies.

GSA’s original purpose was to centralize procurement, manage federal buildings and property, and provide administrative support like, office furniture, vehicle rentals, and telecommunications. By doing this, it allowed federal agencies to focus on their missions while GSA handled the logistics. Over the years, GSA has expanded to include technology acquisition, cybersecurity compliance, and online procurement platforms.

For businesses, getting on a GSA Schedule is a powerful way to access government buyers. In the past, I have rarely made recommendations to my clients about acquiring a GSA schedule. But it seems like that is soon to change.

Trump's New GSA Executive Order

On March 20, 2025, President Trump signed an Executive Order that could reshape how the U.S. government procures its most commonly used goods and services. The General Services Administration (GSA), will now being tasked with leading the centralization of federal procurement. This change affects everything from office supplies and software to IT services and government-wide acquisition contracts (GWACs).

For contractors, understanding what’s coming is crucial if you plan on staying competitive.

The Good

This Executive Order could become an opportunity for those who take advantage and adapt early. Here’s what’s potentially beneficial:

1. Predictable Access to the Federal Market

If you already possess a GSA Schedule, this shift could increase your visibility and opportunities. As agencies are funneled into using centralized GSA vehicles, approved vendors may enjoy more consistent and streamlined access to federal buyers.

2. Increased Standardization

Agencies using similar contract vehicles and tools could lead to greater uniformity in federal procurement. That may reduce confusion, simplify training, and promote faster procurement cycles—especially with GSA’s digital tools like eBuy and GSA Advantage. A one-size-fits-all approach will be a dream in government procurement. However, this is unrealistic as each agency has a vast diversity of needs to fulfill so GSA staff will need to be trained to the appropriate agency's standard.

3. New Pathways for Specialized Contractors

Speaking of standardization, not every procurement is included in this shift. Agencies with mission-specific, national security, or revenue-driven needs (like DoD, NNSA, and USPS) will likely continue to handle their own specialized contracts. For those offering unique, niche, or sensitive services, there's still room to operate outside of GSA’s structure.

The Bad

While the EO has its strategic merits, the risks and struggles should be highlighted. This is not a small change, and government contracting is not very "beginner friendly". It is filled with legalese, FAR clauses, and case laws. Learning to operate on GSA when some of us have been accustomed to the old ways could be a challenge.

Personally, here is what issues we could potentially face.

1. A Single Point of Failure

Centralizing procurement under GSA creates a bottleneck risk. If GSA systems, processes, or contract vehicles experience delays, inefficiencies, or technical breakdowns, it could stall federal buying across multiple agencies. What was once a decentralized safety net becomes a fragile single thread.

2. Small Businesses Left Behind

Getting onto the GSA Schedule is a complex, 6–12 month process. Contractors without a current Schedule may find themselves locked out of upcoming federal opportunities unless they act immediately. Smaller firms with fewer resources may struggle to meet the administrative demands or compete against larger, established GSA vendors. This 6-12 month process is the average. So don't be surprised if you experience a longer process due to the number of contractors applying for a schedule.

3. Disruption for Agencies

Agencies must review, reclassify, and potentially recompete existing contracts. Contract writing systems and policies must be harmonized with GSA’s. Even if terminations of 1102s are unlikely, the structural and operational realignments will create confusion, increased workloads, and short-term disruption.

4. Loss of Flexibility and Speed

Agencies that were once able to act quickly with their own contracting shops may now have to wait on GSA’s processes, priorities, or bandwidth. This can be especially frustrating in fast-moving fields like cybersecurity or IT, where speed is often critical to mission success.

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The Executive Order intends to push for GSA-led procurement. I don't believe it is good or bad—it’s just transitional. Let's face it, government acquisitions is severely behind the industry standard. This EO brings a needed reform to the system.

If you do not have a GSA Schedule, you should strongly consider the application process. In fact, you have nothing to lose, and EVERYTHING to gain.

Now is the time to learn to adapt with the many changes being imposed by the Trump administration. Whether we like it or not, change is coming. The question is: Will you be ready for it?