Major and Non-Major Contractors

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Major and Non-Major Contractors

A "major" contractor is a contractor with over $100M in annual sales, whereas, a "non-major" contractor is one that has less than $100K in sales. The number increases periodically, and before $100M, the number was $90M. Auditable Dollar Value must also be considered as within the context of the sales number. For instance, if a contractors has $100M in annual sales, but those contracts are based on competition, the ADV could potentially, and most likely will be $0 if those are fixed price contracts.

The destinction between whether a contractor is classified as a "Major" on "Non-Major" contractors is based on Auditable Dollar Value. Please see that link for determinations of these categories.[1]

References and Notes

  1. Defense Contract Audit Manual (DCAM)