Firm Fixed Price (FFP) contracts are widely used in both government and private sectors, offering predictability and simplified administration. However, they present significant risks for small businesses, particularly under the Adaptive Acquisition Framework. Firm Fixed Price contracts require contractors to deliver a specific scope of work at a set price, regardless of actual costs. This fixed nature can lead to challenges such as underestimating costs, cash flow issues, and scope creep. Small businesses often struggle with accurate cost estimation due to inexperience, inadequate understanding of project scope, or failure to anticipate risks. Cash flow can be strained by milestone-based payments, especially if delays occur. Moreover, changes in project scope can erode profit margins if not properly managed. To mitigate these risks, small businesses should engage in thorough contract review, detailed project planning, effective communication, rigorous cost control, and careful subcontractor management. By adopting these best practices, small businesses can better navigate the complexities of FFP contracts within the Adaptive Acquisition Framework, ensuring sustainable growth and profitability.