Securing a federal contract worth more than $3 million is not just about having the capabilities, the right team, or even a competitive price. These contracts attract intense competition from some of the most capable businesses in the country. And yet, even highly qualified contractors lose — often for reasons that could have been avoided.
At SAS-GPS, we’ve worked on thousands of proposals and reviewed hundreds of GAO protest decisions. Again and again, we see the same pitfalls costing contractors millions in lost opportunities. This guide breaks down the 10 most common reasons contractors lose and, more importantly, the steps to win instead — with insights from real-world federal contracting.

1. Non-Compliance With RFP Instructions
The Problem:
In federal contracting, compliance is not optional. Even minor deviations from the Request for Proposal (RFP) instructions — like using the wrong font size, missing a required form, or submitting your proposal late — can result in instant disqualification.
The Impact:
Contracting officers see non-compliance as a red flag for future performance. If you can’t follow written instructions for the proposal, they assume you can’t follow contract requirements.
Real-World Example:
A construction contractor once lost a $15 million Army Corps contract because they used the wrong margin size in the document. The proposal never made it past the initial compliance check.
The Solution:
- Develop a compliance matrix mapping every RFP instruction to a section in your proposal.
- Assign a “compliance reviewer” who has not been involved in writing the section.
- Confirm all required attachments, certifications, and forms are included.
How SAS-GPS Helps:
Our government proposal writing services include building a compliance framework and running multiple reviews before submission — eliminating easy-to-avoid disqualifications.
2. Poor Proposal Clarity and Detail
The Problem:
Some proposals drown evaluators in buzzwords, technical jargon, or vague promises without explaining how the work will be done. Others lack structure, making it hard for evaluators to find answers.
Real-World Example:
An IT services bidder lost a $22 million DHS award because their proposal buried the technical approach inside a 20-page appendix with no clear narrative. The agency scored them “weak” in understanding the requirements.
The Impact:
Confusion leads to lower technical scores. Even if your team is capable, the government cannot “infer” your plan — they can only score what’s written.
The Solution:
- Use clear, direct language and avoid filler.
- Follow the evaluation factors as the backbone of your outline.
- Use visuals — process diagrams, schedules, organization charts — to reinforce clarity.
How SAS-GPS Helps:
We convert dense technical content into concise, evaluator-friendly narratives — backed by graphics that simplify complex ideas without losing detail.
3. Inadequate Understanding of Requirements
The Problem:
A proposal that doesn’t align with the agency’s objectives sends the message: you don’t get us. This often happens when a contractor assumes their standard offering is “good enough” for any agency.
Real-World Example:
A facilities management firm lost a multi-million-dollar GSA contract because they proposed a staffing model designed for a larger site, missing the unique needs of a small federal complex.
The Impact:
Evaluators see a mismatch between your offer and their problem, reducing confidence in your ability to perform.
The Solution:
- Study the Performance Work Statement (PWS) and Statement of Objectives (SOO) in detail.
- Mirror the agency’s language and terminology in your proposal.
- Demonstrate that you understand their mission, not just the technical tasks.
How SAS-GPS Helps:
Our capture planning process digs into agency forecasts, past contracts, and mission statements to align your solution with what the agency truly values.
4. Generic, Non-Tailored Proposals
The Problem:
A “one-size-fits-all” proposal tells the agency you haven’t invested time in understanding their environment.
Real-World Example:
A training contractor lost an award with the Department of Energy because they reused a generic safety training plan that ignored the agency’s unique nuclear safety protocols.
The Impact:
Generic proposals fail to connect with the decision-makers — and are often deemed “technically unacceptable.”
The Solution:
- Customize examples, case studies, and metrics to the agency.
- Reference agency-specific challenges and goals in your technical narrative.
- Avoid recycling text from unrelated bids without substantial tailoring.
How SAS-GPS Helps:
We ensure every proposal is customized so thoroughly that evaluators see it as built for them — never a recycled document.
5. Weak Past Performance Record
The Problem:
Past performance is often the deciding factor in large contracts. Agencies want proof that you’ve successfully completed work of similar size, scope, and complexity.
Real-World Example:
A small construction firm lost a $6 million VA award because their past projects were under $1 million — making evaluators doubt their capacity to scale.
The Impact:
Without relevant past performance, your bid can’t compete, even if you have the technical skill.
The Solution:
- Partner with experienced primes to “borrow” past performance.
- Start with smaller prime contracts and build upward.
- Highlight relevant work from the commercial sector if allowed.
How SAS-GPS Helps:
Through our federal teaming support, we can connect you with partners whose past performance bridges your experience gaps.
6. Uncompetitive or Unrealistic Pricing
The Problem:
Overpricing hurts competitiveness; underpricing raises feasibility flags and can fail price realism.
Real-World Example:
A logistics contractor underbid a $12 million DoD contract by 20% but provided no explanation for how they’d achieve it. The agency deemed the price “unreasonably low” and rejected the offer.
The Impact:
Either extreme can eliminate you from the competition — even if your technical proposal is strong.
The Solution:
- Conduct a price-to-win analysis.
- Justify every cost in the pricing volume.
- Balance competitiveness with realistic execution.
How SAS-GPS Helps:
Our pricing specialists can perform competitive research, cost modeling, and price-to-win analysis so your proposal is both affordable and believable.
7. Compliance and Eligibility Issues
The Problem:
Expired SAM.gov registration, lapsed small business certifications, or unresolved contract violations can make you ineligible.
Real-World Example:
A security services firm lost a $9 million federal courthouse contract when evaluators discovered their registration had recently expired in SAM.gov.
The Impact:
Even perfect proposals can’t overcome a contracting officer’s responsibility determination if you’re out of compliance.
The Solution:
- Maintain a compliance calendar with renewal reminders.
- Resolve past performance issues proactively.
- Keep all registrations and certifications current.
How SAS-GPS Helps:
We help audit your compliance before proposal work starts, ensuring you’re eligible and positioned as a low-risk choice.
8. Misrepresentation of Capabilities
The Problem:
Overstating your qualifications or experience is a direct violation of the FAR — and evaluators will check.
Real-World Example:
A contractor claimed key personnel with Top Secret clearance who were “available upon award.” A background check revealed they were not cleared, and the proposal was thrown out.
The Impact:
Misrepresentation can result in disqualification, protest losses, and potential suspension.
The Solution:
- Be truthful about capabilities and experience.
- Support claims with verifiable evidence.
- Focus on strengths you can actually deliver.
How SAS-GPS Helps:
We work with you to review every claim in your proposal for accuracy, ensuring your submission is both compelling and compliant.
9. Suboptimal Teaming and Staffing
The Problem:
Weak teaming strategies — such as proposing uncommitted subs or unqualified staff — hurts credibility.
Real-World Example:
A joint venture lost a large environmental contract when the company failed to supply the proposed subcontractor’s signed letters of commitment.
The Impact:
Evaluators question whether you can staff and execute the project.
The Solution:
- Get signed commitment letters before submission.
- Verify all key personnel meet the required qualifications.
- Choose partners that add measurable value.
How SAS-GPS Helps:
Our federal teaming support can help you assemble a credible, cohesive team with documented commitments.
10. High-Risk Technical Approach
The Problem:
Proposing untested technology, an overly aggressive timeline, or minimal staffing can be seen as too risky.
Real-World Example:
An engineering firm proposed completing a $25 million Army Corps of Engineers project in half the standard time — without explaining how. Evaluators deemed it “unrealistic” and rejected the bid.
The Impact:
High risk often equals low score, even if the idea is innovative.
The Solution:
- Pair innovation with risk mitigation strategies.
- Demonstrate past success with similar approaches.
- Provide contingency plans.
How SAS-GPS Helps:
We refine technical approaches so they are bold yet credible, balancing innovation with proven feasibility.
The Bottom Line
Winning a federal contract over $3 million requires more than capability or competitive pricing. It requires strategic positioning, flawless compliance, and a proposal that speaks directly to the agency’s mission.
At SAS-GPS, we’ve helped clients win over $45 billion in government contracts by avoiding the mistakes above and executing disciplined capture, proposal, and pricing strategies.
If you’re serious about winning, contact SAS-GPS today. Let’s turn your next bid into a win.


