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FAR and DFARS › FAR Part 32: Contract Financing

FAR 32.009-1 General.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This section requires agencies to make accelerated payments, aiming for 15 days after a proper invoice and all required documentation, to small business contractors and to prime contractors that agree to pay their small business subcontractors within 15 days of receiving the accelerated payment. It does not create new rights under the Prompt Payment Act or change its late payment interest rules.

Applies to: Small business contractors and prime contractors that subcontract with a small business concern

What it requires

  • Agencies shall provide accelerated payments, with a goal of 15 days after receipt of a proper invoice and all other required documentation, if a specific payment date is not established by contract.
  • A prime contractor must agree to make payments to the small business subcontractor within 15 days of receiving the accelerated payment from the Government, after receipt of a proper invoice and all other required documentation from the small business subcontractor, to the maximum extent practicable,

Key terms: accelerated payments · proper invoice · small business contractors · prime contractors · small business concern

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

(a)(1) Pursuant to 31 U.S.C. 3903(a), agencies other than the Department of Defense (DoD) shall provide accelerated payments, to the fullest extent permitted by law, with a goal of 15 days after receipt of a proper invoice and all other required documentation, if a specific payment date is not established by contract, to—

(i) Small business contractors; and

(ii) Prime contractors that subcontract with a small business concern, if the prime contractor agrees to make payments to the small business subcontractor within 15 days of receiving the accelerated payment from the Government, after receipt of a proper invoice and all other required documentation from the small business subcontractor, to the maximum extent practicable, without any further consideration from or fees charged to the subcontractor.

(2) Pursuant to 10 U.S.C. 3801(b), DoD shall provide accelerated payments, to the fullest extent permitted by law, with a goal of 15 days after receipt of a proper invoice and all other required documentation, to—

(i) Small business contractors; and

(ii) Prime contractors that subcontract with a small business concern, if the prime contractor agrees to make payments to the small business subcontractor within 15 days of receiving the accelerated payment from the Government, after receipt of a proper invoice and all other required documentation from the small business subcontractor, to the maximum extent practicable, without any further consideration from or fees charged to the subcontractor.

(b) This acceleration does not provide any new rights under the Prompt Payment Act and does not affect the application of the Prompt Payment Act late payment interest provisions.

(c) Agencies may use the Governmentwide commercial purchase card as a method of payment (see 32.1108) to facilitate accelerated payment, to earn refunds, and to reduce invoice processing costs.

Sections it refers to

  • 32.1108 Payment by Governmentwide commercial purchase card.

Sections that refer to it

← 32.009 Providing accelerated payments to small business contractors and to prime contractors that subcontract with a small business concern. · 32.009-2 Contract clause. →

Rule changes for FAR Part 32

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

FAR 32.009-1 General · SpendQuery