Getting Started10 min read

Building Past Performance When You Have None

Every contractor starts at zero. Here’s how to build the past performance record you need to win federal contracts, even when you don’t have any yet.

·Updated Apr 18, 2025

The Past Performance Catch-22

Past performance is one of the highest-weighted evaluation factors in federal proposals. Agencies want evidence that you’ve successfully done similar work before awarding you a new contract. But how do you get past performance if you can’t win contracts without it? This chicken-and-egg problem frustrates many new contractors.

The good news: the FAR explicitly states that a lack of past performance cannot be evaluated negatively. An offeror with no relevant past performance should receive a "neutral" rating — neither positive nor negative. However, a neutral rating still puts you at a disadvantage compared to competitors with strong positive references. Your goal is to build credible experience as quickly as possible.

Leveraging Commercial Experience

Most proposal evaluation criteria don’t require federal past performance specifically — they ask for "relevant" past performance. Commercial contracts for similar work can absolutely count. If you’ve been providing IT services to commercial clients for five years, that experience is relevant to a government IT services contract.

When citing commercial past performance, provide the same level of detail as you would for a government contract: client name, contract value, period of performance, scope of work, and outcomes achieved. Include a reference contact who can speak to your performance quality.

Emphasize aspects of your commercial work that align with government requirements: meeting deadlines, working within budgets, maintaining quality standards, managing teams, and complying with regulatory requirements. The skills that make you successful commercially are the same ones the government values.

Tip: Structure your commercial references to mirror the evaluation criteria of the solicitation. If the government is evaluating "technical approach" and "management capability," frame your commercial references in those exact terms.

Using Key Personnel Experience

Many proposals allow you to cite the individual experience of your key personnel, separate from company past performance. If your project manager has 15 years of experience managing similar government projects at a previous employer, that personal track record adds significant credibility to your proposal.

Clearly distinguish between company past performance and key personnel experience in your proposal. Some evaluators consider them separately, and blurring the line can create confusion. Present key personnel credentials with specific project examples, including roles, responsibilities, and outcomes.

Retention matters. If your key personnel join your company to work on this contract, evaluators will assess whether they’re likely to stay. Include language about your retention strategy and the commitment of key individuals to the proposed effort.

Quick Wins for Building Federal Experience

Target micropurchases (under $10,000) and simplified acquisitions (under $250,000) first. These smaller contracts have less emphasis on past performance and shorter evaluation timelines. They’re designed to give new entrants access to the market.

Subcontracting with prime contractors builds federal past performance while reducing proposal risk. Every subcontract you perform successfully is a past performance reference you can cite in future prime proposals.

Respond to sources sought notices, even if you can’t bid on the resulting solicitation. This puts your company on the government’s radar and demonstrates capability. Some agencies specifically track small businesses that respond to sources sought and proactively include them in future considerations.

Building Momentum

Past performance is built one contract at a time. Focus on winning a few small contracts and delivering exceptional results rather than chasing large opportunities where your lack of history puts you at a disadvantage.

Document every successful engagement meticulously. Request CPARS evaluations on government contracts and maintain a library of reference contacts for commercial work. Within 2-3 years of focused effort, you’ll have a portfolio of past performance that positions you to compete for larger, more competitive opportunities.

past performancenew contractorCPARScommercial experiencekey personnelsmall business

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