Glossary term
Prime Contractor
The contractor holding the contract directly with the government and accountable for all performance under it.
The prime contracts with the government, is responsible for the whole scope including subcontracted work, and receives the CPARS rating. Set-asides also impose limitations on subcontracting: a small-business prime must perform a minimum percentage of the work itself, which prevents a small firm being used as a pass-through for a large subcontractor.
Categories
- business
- contract-admin
Related terms
- SubcontractorA firm performing part of a contract under agreement with the prime rather than with the government.
- Limitations on SubcontractingRules capping how much of a set-aside contract a small-business prime may pass to non-similarly-situated subcontractors.
- Teaming AgreementAn agreement between firms to pursue an opportunity together, typically as prime and subcontractor.