Abstract: This paper presents the results of a study that was undertaken to determine the extent and potential of subcontracting between large enterprises and micro and small enterprises (MSEs) in Botswana. Thirty-one enterprises spanning five industrial sectors submitted acceptable responses. Overall, 35 percent of the respondents indicated having some kind of subcontracting in place. Thirty six percent of these were with MSEs. Amongst the non-contractor, 85 percent expressed a willingness to consider subcontracting to MSES. Though present level of subcontracting may appear low, it should be seen in the light of the fact that subcontracting had never been given serious thought by almost half of the responders. The paper suggests that putting subcontracting on the agenda of MSE promotion agencies might change the picture.