If you want to bid on government contracts, either as a prime contractor or as a subcontractor, you’ll need to register with the System for Award Management (SAM) and obtain a SAM number. SAM is a huge database that includes every entity that is registered to do business with the federal government.
The SAM number actually is known as a Commercial and Government Entity (CAGE) Code. Once you’ve completed the SAM registration process, the government will provide you with a CAGE Code, which is a five-character identifier for your business. However, if you are a foreign business, located outside the United States, you must first obtain an NCAGE Code before you can register with SAM.
Before you begin the registration process, you’ll need to gather together some information. If you do not have a DUNS number, your first step will be to head to the Dun & Bradstreet website site to procure this number, which stands for Data Universal Numbering System. It is free to apply for this number and after you fill out the application, it takes just a couple of business days for Dun & Bradstreet to provide you with your DUNS.
Keep in mind, you will need to know the precise legal name of your business, as this is the exact name you need to use in SAM and all things SAM-related, including DUNS. It might sound obvious, but there can be problems if you are listed as Adams & Smith Marketing in DUNS, but Adams & Smith Marketing, Inc. is actually your legal name. Your complete legal name should be exactly the same with DUNS, SAM and everywhere else where you register.
While you are waiting for your DUNS, locate your Employer Identification Number (EIN) or your company’s Taxpayer Identification Number (TIN). An EIN and a TIN are the same thing, so don’t worry if you find the TIN but can’t find your EIN. They are simply two acronyms for the same number. You also will need your bank’s routing number and your bank account number, as the government agencies will be paying you through the SAM system, and routing money into your bank account.
That completes the easy part of the process. Now, it gets a bit more complicated. Every entity (company or person registered with SAM) must have an Entity Administrator. This is simply the person that is authorized to make changes to the SAM account. In order to register with SAM, you need to send the government a notarized letter listing the Entity Administrator. You can find templates for this letter at FSD.gov, and we recommend that you send this in as soon as possible and follow all of the directions on the template carefully.
At this point, you have two choices before you. You can head to SAM.gov and start the SAM registration process by yourself, which is free. Or, you can contact a third-party registration service and pay them to complete the registration process for you. Why should you use a third-party service, such as Federal Contractor Registration? The SAM registration process is by no means an easy process; in fact, it can take up to 20 hours to complete the process.
We receive calls all of the time from people who started the registration process, but quickly became frustrated with the process. It’s complicated and full of government-speak. Let’s put it this way, it’s more frustrating than filling out your tax forms, and you probably hire an accountant to handle that process, so it just makes sense to let a SAM expert handle your SAM registration. We’ve completed SAM registrations for small businesses, mid-size businesses and many Fortune 500 companies, and we can help you deal with this convoluted process. After we’ve completed your SAM registration process, it can take up to 12 business days for the registration application to be processed. Once it’s complete, the government will send you your SAM number, or CAGE Code, and you can get started bidding on various government contacts.