Practical steps to evaluate your federal contracting performance, strengthen your competitive position, and prepare for 2027.
As the calendar year comes to a close, many businesses begin reviewing revenue, expenses, and annual goals. For government contractors, however, year-end planning should go beyond financial performance.
It is also an opportunity to evaluate contract performance, strengthen agency relationships, identify upcoming opportunities, and determine whether your business is positioned to compete effectively in the year ahead.
The federal government's fiscal year began on October 1, 2026, but your company's calendar-year planning remains important. The decisions you make now can influence how prepared you are to pursue and perform federal contracts in 2027.
Here are six practical steps government contractors should consider before the new year.
1. Review What Worked and What Didn't
Before setting new revenue targets, take a closer look at your contracting activities throughout 2026.
Which opportunities did you pursue? Which proposals were successful? Where did your business spend significant time without seeing meaningful results?
Consider reviewing:
Contracts awarded and completed
Proposals submitted and their outcomes
Revenue and profitability by contract
Customer feedback and performance evaluations
Business development activities and pursuit costs
Lessons learned from unsuccessful bids
The goal is not simply to count how many opportunities you pursued. It is to understand which activities produced results and which ones need improvement.
A contractor that understands its performance can make more informed decisions about future opportunities.
2. Reevaluate Your Target Government Agencies
Not every federal agency is the right customer for your business.
Successful government contractors invest time in understanding which agencies purchase their products or services, how those agencies buy, and where their capabilities align with actual requirements.
Before the new year, review your target agency list.
Ask yourself:
Are these agencies actively purchasing what we offer?
Do we understand their missions and operational priorities?
Have we researched their recent contract awards?
Are there upcoming opportunities that align with our experience?
Do we have a realistic strategy for reaching the right contracting and program personnel?
Resources such as USAspending.gov, SAM.gov, and agency procurement forecasts can support this research.
The objective is to focus your business development efforts where your company has a credible opportunity to compete.
3. Update Your Capability Statement and Business Information
Your capability statement is often one of the first documents a potential government customer or teaming partner reviews.
If it has not been updated recently, it may not accurately reflect your current experience, capabilities, or differentiators.
Before entering 2027, review your capability statement for:
Current core competencies
Relevant contract experience
Measurable performance accomplishments
Accurate NAICS codes
Certifications and socioeconomic status, where applicable
Updated contact information
Clear competitive differentiators
Also verify that your SAM.gov registration remains active and that your business information is accurate.
An updated capability statement will not guarantee a contract award, but it can help government buyers and potential partners understand what your company does and why your experience is relevant.
4. Strengthen Your Past Performance Records
Past performance is more than a record of completed contracts. It can provide evidence of your company's ability to deliver results.
Government buyers may consider relevant performance history when evaluating contractors, depending on the solicitation and acquisition method.
That makes accurate documentation essential.
Review completed and ongoing projects and identify measurable accomplishments such as:
Deliverables completed on schedule
Quality and performance outcomes
Successful resolution of project challenges
Improvements in efficiency or service delivery
Customer feedback and documented results
Organize this information so your team can quickly identify relevant examples when preparing future proposals.
Be mindful of confidentiality, contractual restrictions, and the specific past performance requirements of each solicitation.
The stronger your documentation, the easier it becomes to substantiate your company's experience.
5. Build a Realistic Contracting Pipeline
A list of opportunities is not the same as a business development strategy.
An effective contracting pipeline identifies potential opportunities and evaluates whether they align with your company's capabilities, resources, and growth objectives.
Before the new year, review your pipeline and determine which opportunities deserve further attention.
Consider each opportunity's:
Agency and customer requirements
Expected procurement timeline
Contract size and scope
Competitive environment
Relevant past performance
Staffing and operational capacity
Potential teaming requirements
Avoid filling your pipeline with opportunities simply because they appear attractive.
A smaller, well-researched pipeline may be more useful than a large collection of poorly matched solicitations.
6. Create a 90-Day Action Plan for 2027
Strategic planning becomes valuable when it leads to action.
Instead of entering January with broad goals such as "win more government contracts," establish specific priorities for the first 90 days of the calendar year.
Your action plan might include:
January: Research and Positioning
Review target agencies, update business development materials, and identify upcoming procurement opportunities.
February: Engagement and Preparation
Conduct appropriate market research, pursue relevant industry engagement opportunities, evaluate potential teaming relationships, and prepare for anticipated solicitations.
March: Execution and Measurement
Assess qualified opportunities, develop compliant responses where appropriate, and review progress against established business development goals.
Assign responsibilities, establish realistic deadlines, and track measurable results.
Remember that agency procurement schedules can change. A flexible plan allows your business to respond without losing sight of its priorities.
The Bottom Line: Preparation Creates Better Opportunities
Government contracting success rarely comes from pursuing every available solicitation.
It requires a clear understanding of your capabilities, your customers, your performance, and the opportunities that make sense for your business.
As 2026 comes to a close, take the time to evaluate what you have accomplished and identify where your contracting strategy can improve.
The goal is not simply to enter 2027 with more opportunities.
It is to enter the new year better prepared to pursue the right ones.
Build a Stronger Government Contracting Strategy with TriStar Business Solutions
At TriStar Business Solutions, LLC, we understand that navigating the government contracting marketplace requires research, preparation, and informed business decisions.
Whether your company is evaluating federal opportunities, strengthening its competitive positioning, or developing a more focused government sales strategy, having a structured approach can make a meaningful difference.
Ready to evaluate your government contracting strategy for 2027?
Visit www.tristarbiz.solutions to learn more about TriStar Business Solutions and explore how we can support your government contracting goals.
