CAGE Codes (Commercial and Government Entity codes) are automatically assigned during SAM.gov registration by the Defense Logistics Agency. These unique identifiers link an organization’s legal, physical, and operational data for federal procurement purposes. Companies must maintain accurate information in SAM.gov to keep their CAGE Codes active, as validation occurs every five years. Common issues include address duplications and discrepancies between business names and IRS records. Proper CAGE Code management guarantees continued eligibility for government contracts and payments.
The Essential Connection Between CAGE Codes and SAM.gov Registration
When organizations pursue business opportunities with the federal government, obtaining a CAGE Code through SAM.gov registration becomes an essential first step in the procurement process.
The Defense Logistics Agency (DLA) assigns this unique five-character identification number automatically during SAM.gov registration, eliminating the need for a separate application. Maintaining accurate registration information is crucial for businesses to remain compliant and eligible for government opportunities.
The SAM.gov system streamlines this process by transmitting entity information directly to DLA, which then integrates the CAGE Code into the registration. This identifier serves as a vital link between an organization’s legal, physical, and operational information across federal systems.
Without a valid CAGE Code, entities cannot appear as eligible in SAM.gov for federal contracts or payments, making it a fundamental requirement for conducting business with government agencies. A CAGE code is specifically needed to access federal contracts and participate in the government procurement process. If validation issues occur during the CAGE code assignment process, users can contact the DLA directly at toll-free numbers or via email for resolution support.
Step-by-Step Process for Obtaining and Validating Your CAGE Code
The CAGE Code acquisition process follows a structured pathway through the SAM.gov portal, ensuring proper identification and validation for government contractors.
Businesses begin by creating a SAM.gov account and initiating the entity registration process, inputting accurate business information that matches IRS records.
The foundational step in CAGE Code acquisition requires accurate SAM.gov registration that precisely aligns with your IRS documentation.
A valid DUNS number is required to complete the registration process before obtaining a CAGE Code.
After completing the registration with proper legal name, physical address, and TIN verification, the Defense Logistics Agency automatically processes the CAGE Code request.
DLA conducts verification of the entity’s legitimacy, sometimes requesting additional documentation to resolve discrepancies.
Once assigned, the five-character alphanumeric CAGE Code links directly to the business record in SAM.gov and represents the company’s physical address location for government mailings, payments, and records.
Companies must maintain an “Active” status by validating their code every five years and promptly updating any business changes to remain eligible for federal contracts.
The entire process is completely free through the Defense Logistics Agency, and businesses should avoid paying any third-party vendors claiming to provide CAGE Code registration services.
Common Issues and Troubleshooting CAGE Code Problems in SAM.gov
Frustration often accompanies the CAGE Code validation process when businesses encounter unexpected roadblocks in their SAM.gov registration journey.
Common validation failures occur when DLA detects duplicate addresses or discrepancies between business names and IRS records.
When validation fails, SAM.gov notifies registrants via email, requiring immediate contact with the DLA CAGE Code office at 1-877-352-2255.
Missing these notifications can greatly delay registration completion.
IRS validation issues frequently stem from incorrect taxpayer names or Tax ID information.
Only the individual listed as the EIN creator can fully resolve these matters with the IRS.
Physical address changes, business name modifications, and outdated information represent other common triggers for CAGE Code problems. Providing evidence of business address through leases or utility bills is essential for successful verification.
Maintaining valid CAGE codes is crucial for entities seeking eligibility for government contracts and efficient interactions with federal agencies.
Using SAM.gov’s status tracker helps identify specific validation failure reasons and guides appropriate corrective actions.
Frequently Asked Questions
Can Foreign Entities Obtain CAGE Codes Through SAM.Gov?
Foreign entities cannot obtain domestic CAGE codes through SAM.gov. Instead, they must acquire NATO Commercial and Government Entity (NCAGE) codes, which serve as the equivalent identifier for international organizations.
Foreign businesses must first obtain a DUNS number, then secure an NCAGE code before completing SAM.gov registration. The legal business name and address must match exactly across all systems.
NCAGE codes are free and mandatory for foreign entities seeking U.S. federal contracts or grants.
How Do Mergers Affect Existing CAGE Codes?
When companies merge, their CAGE codes face significant changes. The entity that closes typically has its CAGE code deactivated, while the surviving entity retains its code.
Both companies must update their SAM.gov registrations to reflect new ownership structures. Novation agreements are required to transfer government contracts to the surviving entity.
If both physical locations remain operational after the merger, both CAGE codes may continue with updated information in SAM.gov.
Can a Company Have Multiple CAGE Codes?
Yes, a company can have multiple CAGE codes when it operates through distinct legal entities, maintains separate physical locations, or manages different divisions.
Each legal subsidiary requires its own CAGE code for SAM registration, as the Defense Logistics Agency assigns codes per legal entity and specific address.
Multiple codes allow precise tracking of contracts, simplify administration of diverse operations, and support compliance with federal procurement requirements.
Is a CAGE Code Transferable Between Business Owners?
CAGE codes are not typically transferable between business owners.
These codes are tied to specific legal entities at unique physical addresses. If a business is sold but maintains the same legal structure and address, the CAGE code may remain with the entity after proper documentation.
However, if the legal entity changes through dissolution, reorganization, or an asset purchase, the new business must obtain a new CAGE code through SAM.gov registration.
Do Subcontractors Need CAGE Codes When Working With Prime Contractors?
Subcontractors may need CAGE codes when working with prime contractors, depending on specific circumstances.
Subcontractors requiring access to classified information must have a CAGE code listed on the DD Form 254. Each location of subcontractor performance needs a unique CAGE code, unless work occurs at a Government facility.
Requirements vary by contract, so subcontractors should consult with the prime contractor or government contracting agent to determine if a CAGE code is necessary for their particular situation.