According to the Small Business Administration (SBA), about 70 percent of all federal procurement transactions are for routine, lower value products/services known as micro-purchases. On August 31st, 2020 the Federal Acquisition Regulation (FAR) was officially updated to reflect the new, federal “micro-purchase threshold” of $10,000. Micro-purchases can be made on a government purchase card (GPC) and are not subject to normal procurement procedures.
Authorized civilian and DoD government purchase card holders can procure goods and limited services without soliciting a competitive price as long as the card holder determines the price to be reasonable. For companies that routinely make sales at or under $10,000 this can be a terrific business opportunity.