What is an IDIQ?

If you’ve been exploring government contracting, you’ve probably come across the term IDIQ, but what does it really mean, and why should your business care?

What Does IDIQ Stand For?

IDIQ stands for Indefinite Delivery, Indefinite Quantity. It’s a type of government contract that provides for an unspecified quantity of supplies or services during a fixed period of time. Rather than awarding a one-time purchase, agencies use IDIQs to order goods or services as needed through individual task orders (for services) or delivery orders (for products).

Why the Government Uses IDIQs

Government agencies often face changing needs, fluctuating budgets, and project demands that can’t be predicted in advance. IDIQs offer a flexible and efficient way to:

• Lock in pricing and vendors ahead of time

• Move quickly when services or products are needed

• Reduce administrative burden of creating new contracts

How an IDIQ Works

Let’s break it down:

1. The Agency Awards the IDIQ Contract - A few vendors are selected and placed on a master contract. These companies become “IDIQ contract holders.”

   
   

2. Task or Delivery Orders Are Issued - Instead of rebidding the full contract, the agency issues smaller, more specific orders under the IDIQ. These may be competed among all IDIQ holders or assigned to one based on criteria like past performance or pricing.

   
   

3. Orders Can Vary in Size - Some IDIQs have a minimum guaranteed amount, while the maximum ceiling could reach into millions (or billions) of dollars.

Types of IDIQs

• Single Award IDIQ – Only one vendor wins, and all orders go through them.

• Multiple Award IDIQ (MA-IDIQ) – Several vendors are selected, and they compete for task orders throughout the contract period.

Why IDIQs Matter to Small Businesses

Once your business secures a spot on an IDIQ contract, you gain access to a more predictable flow of work. Instead of constantly chasing new opportunities, you'll receive task orders that can build a steady and reliable stream of revenue.

What’s more, the competition becomes more manageable. You’re no longer bidding against the entire market, but only against a smaller pool of approved vendors. These contracts often stretch over several years, some lasting 3 to 10 years, providing long-term stability and recurring chances to serve government clients.

For small businesses, there’s an added advantage. Many IDIQs are set aside specifically for certified small, minority-owned, or woman-owned businesses, leveling the playing field and opening doors that might otherwise be hard to access.

Examples of Popular IDIQs

• GSA Multiple Award Schedule (MAS) – Broad IDIQ covering commercial goods and services

• NASA SEWP VI – Government-wide IT and AV solutions contract

• OASIS Small Business – Professional services for federal agencies

• CIO-SP4 – IT solutions for health and science agencies

How to Prepare for an IDIQ

If you want to be positioned to win or partner on an IDIQ, consider the following steps:

1. Build Past Performance – Start with smaller contracts or subcontracts

2. Get Certified – Small business, 8(a), WOSB, SDVOSB, and HUBZone firms have unique advantages

3. Watch Forecasts – Monitor SAM.gov and agency forecasts for upcoming IDIQs

4. Team Up – Large IDIQs often require teaming or subcontracting to meet scope

In Summary

An IDIQ contract is like a ticket to an exclusive club of pre-approved vendors. While it doesn’t guarantee business, it opens the door to recurring opportunities without the heavy lift of full procurements.

If your goal is to create consistent revenue in government contracting, learning how to position your company for IDIQs is a smart move.

Need Help?

Aventi Enterprises helps small businesses navigate certifications, bid on contracts, build competitive proposals, and more. Contact Aventi to explore upcoming opportunities and learn how we can help prepare for an IDIQ. Visit www.aventienterprises.com.