Federal glossary · Process
Limitation on Subcontracting (FAR 52.219-14) requires that small business set-aside awardees perform a minimum percentage of the work: at least 50% of the cost of personnel for services, 50% of the cost of manufacturing for supplies, and 15% of the cost of the contract for general construction. Prevents pass-through arrangements.
Example: Respond to an RFI, RFP, or Sources Sought notice.
Reference record · Sources: Federal Acquisition Regulation · Verified Jul 2, 2026 · Covers definition, governing source
Also known as
Limitation on Subcontracting (FAR 52.219-14) requires that small business set-aside awardees perform a minimum percentage of the work: at least 50% of the cost of personnel for services, 50% of the cost of manufacturing for supplies, and 15% of the cost of the contract for general construction. Prevents pass-through arrangements.
is a process concept federal contractors and grant writers run into across solicitations, regulations, and award filings
Limitation on Subcontracting is a step or workflow in the federal-procurement lifecycle. For example: Example: Respond to an RFI, RFP, or Sources Sought notice. Knowing where Limitation on Subcontracting fits in the larger acquisition arc — from market research through award through performance — helps contractors time their engagement, identify the right contracting officials, and avoid showing up too late to influence the requirement. Many proposal failures trace back to misunderstanding when Limitation on Subcontracting occurs, who owns it, and what artifacts it produces. The related terms above name the adjacent process steps that most commonly precede or follow Limitation on Subcontracting, and tracking those transitions over time is one of the more reliable ways to build pipeline visibility ahead of formal solicitations.
Example: Respond to an RFI, RFP, or Sources Sought notice.
Meaning in practice
Limitation on Subcontracting is a step in a government workflow or procurement lifecycle.
Where you’ll see it
You will see it in NOFOs, solicitations, evaluation sections, award letters, and procedural instructions. Example: Example: Respond to an RFI, RFP, or Sources Sought notice..
Common confusion
People often confuse the document that describes the process with the process itself.
What to do next
Identify the deadline, owner, and artifacts the process produces before you move forward.
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