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Term

Micro-purchase

A small buy under a set dollar threshold that an agency can purchase directly, commonly with a government purchase card, without a formal competition.

Below a threshold that sits at a few thousand dollars for most buys as of 2026, an agency does not have to run a competition at all. It can just buy directly, often with a government purchase card, the way anyone else swipes a card for a business expense. For a new small business, this is frequently the fastest real path to a first federal dollar: no proposal, no evaluation, just a buyer who found you and needs something small enough to not bother with the process.

In a sentence

"Award will be made via government purchase card under the micro-purchase threshold." There is no proposal to write here; the transaction is closer to a retail sale than a competed contract.

Also called

  • micro-purchase threshold
  • government purchase card buy
  • GPC purchase

Terms like this show up in every federal notice. We translate them in place, on every notice in your trade.