In today’s competitive business landscape, staying informed about the latest industry practices and regulations is essential for success. As a business owner, having the right tools and resources at your disposal can make all the difference. One tool that might be unfamiliar to many business owners is the CAGE code. If you haven’t heard of it before, it’s time to pay attention. Your CAGE code is a unique identifier assigned to your business via a SAM Registration, assigned by the DLA. It stands for Commercial and Government Entity code, and it is used for a variety of purposes, including government contracting and procurement. Having a CAGE code can open up a world of opportunities for your business. In this article, we will explore why every business owner needs to know their CAGE code and how it can unlock new avenues for growth and success.
What is a CAGE Code?
CAGE code is a five-character alphanumeric code that identifies a specific business entity. It is assigned by the Defense Logistics Agency (DLA) after going through SAM Registration process and is used primarily for government contracting purposes. The code provides a standardized way to identify and track businesses that engage in government procurement.
The code itself consists of five characters and sometimes, but not always, has the first and last character being letters and the middle three being numbers. For example, ABC12. Each code is unique to a specific business entity and cannot be duplicated or reused by another entity. This ensures that each business is easily identifiable and trackable within the government procurement system.
Knowing your CAGE code is essential for any business that wants to engage in government contracting or work with government agencies. It provides a way to establish your business’s identity and credibility within the government procurement system, which can open up new opportunities for growth and success.
How to Obtain a CAGE Code
The first step is to register your business with the System for Award Management (SAM) going about it two ways:
-
- Using online resources, going through the process on your own (burden time can take 2-3 months).
- Going through a firm such as USBRI who has been offering filing assistance for over 11 years (4-6 weeks).
What is SAM?
SAM is the portal the federal government uses to track where money for grants and contracts is going, to who, and for what.
If you need to learn more about SAM, reach out to the USBRI Help Desk at 1-888-646-9998 and a Certified Registration Specialist (CRS) will assist you any way that they can.
After obtaining your CAGE code, it’s essential to keep your SAM registration up to date. USBRI will be in constant observation of your registration and making sure it remains compliant, as well as sending you expiration notices annually so you will never lapse.
If you are unsure if you have CAGE Code or a SAM Registration, use the tool below or reach out to the USBRI Help Desk.
Benefits of having a CAGE Code
Having a CAGE code offers several benefits to your business. Firstly, it provides access to a vast market of government contracts. Government agencies, both at the federal and state level, regularly seek suppliers and service providers through various contracting opportunities. By having a CAGE code, your business becomes eligible to bid on these contracts, potentially securing valuable projects and revenue streams.
Secondly, a CAGE code enhances your business’s credibility in the government contracting community. When you have a CAGE code, it signifies that your business has gone through the necessary registration process and meets the required standards for government contracting. This can instill confidence in potential clients and partners, making it easier for you to establish valuable relationships within the government sector.
Additionally, a CAGE code can streamline the procurement process for government agencies. With a unique identifier, your business can be easily identified and tracked, simplifying the contracting process. This can lead to faster response times, improved efficiency, and increased opportunities for your business.
Overall, having a CAGE code can significantly enhance your business’s visibility, credibility, and access to government contracts. It serves as a valuable tool for business growth and can open up new avenues for success in the government contracting sector.
CAGE Code Registration Process
The registration process for obtaining a CAGE code involves a few key steps. Here is a general overview of the process:
1. Register with SAM: As mentioned earlier, the first step is to register your business with the System for Award Management (SAM). You can get started on the registration process today by clicking the button below and getting in touch with a CRS who can assist you through the process.
2. Wait for the assignment: After your SAM is submitted, it will go through IRS and CAGE/DLA validation. After CAGE/DLA, a CAGE code will be assigned to your entity.
3. Maintain your SAM registration: It’s crucial to annually renew your SAM Registration to stay compliant and continue reaping the benefits, making sure your registration does not lapse causing payments to CEASE.
By following these steps, you can successfully register for a CAGE code and ensure that your business is positioned for government contracting opportunities.