SBA Minor Owned Certification To Take Your Business Higher

SBA 8a Certification

If you are looking for finding newer and wider business opportunities, then going after federal contracts would be a good option. If you are looking for newer marketing avenues, then taking advantage of these federal certificate programs can open a wide area of business opportunities. This certification program is offered to small business owners. If you are a woman, specially abled person or a minority, then you can take advantage of minority owned certification that is also known as 8a program.

There are 2 major certification programs that are administered by the SBA (Small Business Administration) – Federal HUB zone and SBA 8a certification. Some of the features of these are as follows:

Federal HUB zone: The main objective of this program is to help the small business owners market their products to larger contractors from both government and private corporations. The main objective of this program is to render encouragement to the small business owners by increased employment opportunities in a local niche and developing the general economy of the nation. To get eligible for this certification, the requirements are –

o The business should meet the criteria of ‘small business’ standards.

o The business should be controlled and owned by the US citizens only.

o The main office of the business needs to be located in a federal HUB zone.

o The employees of the organization comprising at least 35% should live in the specified HUB zone for a minimum number of 180 days.

SBA 8a Program: The main objective of this program is to render support to the minority, disabled, and women business owners. With the help of this 8a program minority certification the business owners can reach out to large government and private corporations contractors along with the federal procurement agencies. As per the standards specified in this program, this certification is rendered to registered companies, who also render advice to the business.  The mandatory eligibility requirements for this program are as follows:

o Minimum 51% of the shareholders need to US residents and members of designated disabled veteran, minority group or woman.

o The candidates need to submit proof of their demonstration of economical and social disadvantage through professional and personal experiences.

o The shareholders should not have more than $250,000 in terms of personal assets. However, business assets and personal residence will not be included in this.

o The applicant needs to be in business for at least past 2 years.

o The applicant needs to submit proof of his / her abilities to grow and build a business.

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Basic Facts about 8a Certification

8a Certification

If you have started a small business and wondering where to and how to qualify for a WOSB or EDWOSB program, then the first thing you would need is an 8a certification from the SBA. However, you need to meet some requirements to get eligible for this certification.

To get qualified for 8a certification, you need to have a basic knowledge on it. WOSB or woman owned small business is a Federal program, which offers equal access to women and economically disadvantaged women, owning small businesses for contracting opportunities in the Federal. Through this program, contracting officers can set aside some specific federal contracts and offer them to EDWOSB or WOSB, as per the 300 NAICS codes, mentioned in the federal. Some of the eligibility factors for 8a application approval are as follows:

  • The firm needs to be at least 51% owned by women, who are in unconditional control over administration.

  • All the governing body members (women) need to be the US citizen.

  • Apart from the women, no man should have any control on the firm’s administration.

  • Women, in charge of administration should have adequate managerial experience and expertise.

  • The owners of the firm need to manage full time.

The above-mentioned factors are mandatory for SBA 8a certification for both EDWOSB and WOSB programs. For EDWOSB program, you need to  have some additional requirements, which are:

  • The business should have a net worth of not more than $750,000.

  • The gross income of an individual need to be not more than $350,000 a year for the last 3 consecutive years.

The benefit of 8a certification is that it is a significant marketing tool for economically and socially disadvantaged women, having small business. With this certification, they get access to the federal government contracts. However, in the initial stage, contracting under this 8a program may seem a little hard, because the competition is open and contracts are gained through a procurement of sealed bid. But, in the long run it proves beneficial for both the 8a contractor and the government. To get your 8a application approved by the SBA, you can take help of a professional expert and do away with the application hassles. Every money spent toward the professional consultancy would  worth once you get the certificate.

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