Glossary / Contracts
Basic Ordering AgreementBOA
A basic ordering agreement, under FAR 16.703, is an agreement that sets the terms and conditions, a description of the supplies or services and the method for pricing and issuing future orders. It is not a contract and obligates no money; each order placed against it is the contract. Agencies use BOAs when they expect to buy a substantial but uncertain quantity from a supplier, often for spare parts, repairs or specialized services, and the order process must still satisfy competition rules or document an exception.
Why it matters to your pipeline
A BOA puts a supplier's terms on file so orders can move quickly, which matters for repair, parts and surge work where the buyer cannot wait for a competition each time. It is not a guarantee of revenue. For a small manufacturer or repair shop, a BOA with a depot or a lab is often the shape its federal business takes.
When this term shows up in an opening GovSmith finds for you, your vCM explains what it means for that pursuit and does whatever it calls for. You decide; we do the work.
Example
A hydraulics repair shop holds a BOA with a Navy depot. When a pump fails, the depot issues a $38K order against the agreement the same week, with the labor rates and warranty already settled.
Find out what applies to you
Some terms will matter to your business right away and some won’t for years. A vCM can tell you which are which.