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MSC’s worldwide operations are funded through two working capital funds. The Navy Working Capital Fund is used by MSC to support Navy fleet commanders and other Department of Defense entities. The Transportation Working Capital Fund is used to support sealift services.

MSC receives no direct funding or appropriations from Congress or the Navy; rather, our customers transfer funding for their requirements to MSC into the appropriate working capital fund, and MSC draws from the fund to pay for command operations. Essentially, MSC is funded only by purchases from its customers.

Unlike private industry that budgets to make a profit, under the Working Capital Fund our goal is to break even; i.e. charges levied on customers equal our expenses, and no more. MSC has annual operating budget of approximately $3 billion.

Small Business

Small companies offer maritime solutions for MSC and our global fleet. Each year MSC awards approximately $400 million in contracts to companies that are registered as small businesses by the U.S. Government's Small Business Administration.

We look to the private sector to charter and operate ships; procure logistics support; recruit, process and retain more than 5,000 civil service mariners; and provide overhaul and repair services for more than 40 government-owned and operated ships.

Business Development Program

MSC's Business Development Program works with maritime industry to find solutions for federal agencies facing maritime challenges ranging from the need to transport high-volume, massive equipment and supplies overseas by sea; provide seagoing coastal support; or quickly move people and cargo in austere ports aboard a high-speed vessels.

Doing business with MSC

  1. Identify your product or service

    It is essential to know the Federal Supply Class or Service codes and North American Industry Classification System codes for your products or services.

  2. Register your business

  3. Identify your target market within MSC

  4. Identify current MSC procurement opportunities

    Identify current procurement opportunities in your product or service area by checking the Federal Business Opportunities web site or the MSC Procurement website, which can assist you in identifying opportunities at MSC, as well as other Federal procurement opportunities.

  5. Familiarize yourself with DoD contracting procedures

    Be familiar with Federal Acquisition Regulations and the Defense Federal Acquisition Regulation Supplement.

  6. Investigate GSA Schedule Program Contracts

    Many DoD purchases are, in fact, orders on GSA Schedule contracts. Contact the General Services Administration for information on how to obtain a GSA Schedule contract.

  7. Seek additional assistance as needed

    • Procurement Technical Assistance Centers are located in most states and are partially DOD-funded to provide small business concerns with information on how to do business with the Department of Defense. They provide training and counseling on marketing, financial, and contracting issues at minimal or no cost.
    • Small Business Specialists are located at each Navy buying activity and can provide assistance on how to market to the DoD.
    • DefenseLink provides links to the homepages of every DoD activity. This information can be invaluable in researching the DoD marketplace and identifying your target market.
  8. Explore sub-contracting opportunities

    The SBA's Subcontracting Opportunities Directory is another valuable resource for obtaining information on subcontracting opportunities. Solicitations or notices are posted by prime contractors as well as other government, commercial, and educational entities.

  9. Investigate Navy and DoD small business programs

    There are several programs that may be of interest to you, such as the DoD Mentor-Protégé Program, the Small Business Innovation Research Program, and the Historically Black Colleges and Universities and Minority Institutions Program. Information on these and other programs are available on the Navy and DOD Office of Small Business Programs websites.

  10. Market your firm well

    After you have identified your customers, researched their requirements, and familiarized yourself with DoD procurement regulations and strategies, it is time to market your product or service. Present your capabilities directly to the activities that buy your products or services. Realize that, like you, their time is valuable and if the match is a good one, you can provide them with a cost-effective, quality solution to their requirements.