DLA Contracts: $1.7B for Veteran Businesses in 2025

Michael “Mac” McMillan, a former Army logistics officer, surveyed the empty warehouse floor of his newly acquired business, Valor Logistics, in Peachtree City, Georgia. It was early 2025, and after two tours in Afghanistan and a decade in corporate supply chain management, Mac had poured his life savings into buying a struggling regional distribution company. His vision was clear: use his military experience and disciplined approach to secure government contracts, specifically with the Defense Logistics Agency (DLA). The problem, however, was equally clear: his company, while capable, had no track record with federal procurement, and the DLA’s procurement field felt like a labyrinth designed to deter newcomers. Finding genuine defense opportunities for veteran businesses seemed daunting, a challenge far greater than any logistics puzzle he’d solved in uniform. Mac remembered a conversation he had with a fellow veteran at a local American Legion post. “The DLA is always looking,” the veteran had said, “but you gotta know how to speak their language.” That phrase echoed in his mind as he stared at the government contracting websites, each one a tangle of acronyms and regulations. He knew Valor Logistics could deliver. They had the infrastructure, the skilled workforce, and the dedication. What they lacked was the roadmap to connect their capabilities with the DLA’s vast and continuous needs. The DLA, as the combat logistics support agency for the Department of Defense, manages an immense supply chain, procuring everything from food and fuel to medical equipment and construction materials. According to the DLA itself, they process nearly 100,000 requisitions daily, a staggering volume that represents constant potential for businesses like Mac’s. His first step, after getting Valor Logistics’ foundational operations in order, was to tackle the System for Award Management, or SAM.gov. This isn’t just a registration portal. It’s the gateway to all federal contracts. Mac spent weeks carefully inputting company data, ensuring every NAICS code and PSC (Product Service Code) accurately reflected Valor Logistics’ offerings. He quickly learned that precision here wasn’t optional. An incorrect code could mean missing out on relevant solicitations entirely. “It’s like trying to find a specific spare part in a massive inventory,” he later explained. “If you don’t use the right part number, you’ll never find it, and they’ll never find you.” This initial hurdle shows a fundamental truth about federal contracting: the administrative burden is significant, and skipping steps guarantees failure. Even with SAM registration complete, the solicitations that appeared were overwhelming. Hundreds of them, many seemingly unrelated to Valor Logistics’ core competencies in warehousing and distribution. This is where Mac realized he needed a more targeted approach. He started researching DLA’s specific procurement divisions. He discovered the DLA Aviation in Richmond, Virginia, the DLA Energy at Fort Belvoir, and DLA Troop Support in Philadelphia, each with distinct requirements. He focused on DLA Troop Support, which procures food, clothing, textiles, medical supplies, and construction equipment. Valor Logistics, with its strong warehousing and distribution network across the Southeast, particularly near military installations in Georgia like Fort Stewart and Robins Air Force Base, seemed a natural fit for these categories. He also started attending virtual industry days hosted by the DLA Office of Small Business Programs. These events, often overlooked, are invaluable. They provide direct access to DLA procurement specialists and offer insights into upcoming needs and long-term strategies. At one such event in mid-2025, a DLA representative emphasized the agency’s increasing focus on supply chain resilience and domestic sourcing. This resonated deeply with Mac. Valor Logistics, being domestically owned and operated, could highlight these attributes in its proposals. “They aren’t just looking for the cheapest bid,” Mac observed. “They’re looking for reliable partners who can deliver, especially in times of disruption. That’s a huge advantage for smaller, agile companies.” Mac then sought out certification as a Service-Disabled Veteran-Owned Small Business (SDVOSB). This designation is a powerful tool for veteran businesses seeking federal contracts. The federal government has a goal to award a certain percentage of prime contracts to SDVOSBs, and the DLA is an active participant in meeting these goals. The process for obtaining SDVOSB certification, managed by the Department of Veterans Affairs, involves rigorous documentation and verification. It can be time-consuming, often taking several months, but the benefits are substantial. “It’s a differentiator,” Mac stated emphatically. “When you’re up against larger, established contractors, that SDVOSB status can put you on a more level playing field.” For Fiscal Year 2025, the DLA awarded over $1.7 billion in prime contracts to veteran-owned small businesses, a clear indicator of the agency’s commitment to this demographic, according to publicly available DLA contracting data. One of Valor Logistics’ first significant opportunities came through a solicitation for medical equipment distribution to military treatment facilities in the Southeast. This wasn’t a direct DLA contract, but a subcontracting opportunity with a larger prime contractor that held a DLA master agreement. Mac had learned through his research that while securing a prime contract directly with the DLA is the ultimate goal, subcontracting is an excellent entry point for smaller businesses to build past performance. He carefully crafted a capability statement, a concise document outlining Valor Logistics’ expertise, past performance (even if it was commercial), and relevant certifications. This document became his company’s calling card, tailored specifically to the prime contractor’s needs and how Valor Logistics could help them fulfill their DLA obligations. The proposal process was intense. Mac and his small team worked late nights, carefully reviewing every requirement, ensuring their bid was compliant and competitive. They highlighted their proximity to key military bases, their secure warehousing facilities, and their experienced personnel, many of whom were veterans themselves. The competitive field was fierce, with several established players vying for the same subcontract. However, Valor Logistics’ focus on efficiency, their SDVOSB status, and Mac’s personal understanding of military logistics proved persuasive. They secured the subcontract. This initial success, a modest but important win, opened doors. It provided Valor Logistics with invaluable past performance data, which is gold in the federal contracting world. With this experience under their belt, Mac felt more confident pursuing direct DLA solicitations. He began to specialize, identifying recurring needs within DLA Troop Support for specific types of non-perishable food items and construction consumables. He realized that rather than trying to be a generalist, focusing on a few key areas where Valor Logistics had a competitive edge would yield better results. “You can’t be everything to everyone,” Mac advised. “Find your niche, and become the best at it for the DLA.” He also started using the Procurement Technical Assistance Centers (PTACs), now known as APEX Accelerators, which are funded by the Department of Defense. These centers provide free assistance to businesses pursuing government contracts. Mac found an invaluable mentor at the Georgia Tech APEX Accelerator office in Atlanta. The counselor helped him refine his proposals, understand specific clauses in DLA contracts, and even connected him with DLA small business specialists for one-on-one meetings. These specialists, often overlooked, are critical resources. They act as advocates for small businesses within the DLA, guiding them through the procurement process and sometimes even identifying specific solicitations that align with a company’s capabilities.

By late 2025, Valor Logistics secured its first direct prime contract with the DLA: a recurring order for the distribution of MRE (Meals Ready-to-Eat) components to various military installations. It was proof of Mac’s persistence, his strategic approach, and the inherent value of veteran businesses in the defense supply chain. The contract wasn’t just a financial win. It was a validation of his vision and a clear pathway for Valor Logistics to become a significant player in supporting the nation’s defense. The process was arduous, but the rewards, both financial and in terms of purpose, were immense. For any veteran entrepreneur looking at the vast field of defense opportunities, the journey of Valor Logistics offers a clear lesson. Success with the DLA isn’t about luck. It’s about careful preparation, targeted strategy, persistent networking, and using every available resource, from SAM.gov to APEX Accelerators. The DLA wants to work with veteran businesses, but they expect those businesses to understand the rules of engagement. The path to DLA contracts requires significant effort, but for veteran businesses like Valor Logistics, the dedication pays off in meaningful ways, contributing directly to national security while building a thriving enterprise.

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