Big Is Now Small?

The Small Business Administration (SBA) announced a new proposed rule on August 20, 2026 that will overhaul how it defines small businesses. [1] If finalized, the rule would be one of the most significant changes to size standards in over a decade—and government contractors should pay close attention because, if finalized, these changes will likely have a huge disruptive effect. While the size standards have long needed reasonable upward adjustment to help small business concerns grow large enough to survive graduation out of the program, these changes would effectively pit large, established,