BizCentral USA. Benefits of the SBA 8a / MBE / WBE By Presenter Felix Zapata

Transcription

1 Benefits of the SBA 8a / MBE / WBE By Presenter Felix Zapata

2 Key Note Speaker Felix Zapata Director of Operations Administrator Mariana Davila Marketing Coordinator

3 Benefits Agenda Eligibility for SBA 8a / WBE / MBE / DBE Social & Economic Disadvantages Submittal Process Supporting Documentation Conclusion Q&A

4 Small Business Certifications Many contractors are unaware of the numerous small business certification and assistance programs in existence to aid underprivileged businesses. Programs are aimed at overcoming the effects of discrimination

5 Your Gateway to Opportunity SBA 8(a) HUB Zone Veteran Owned Business WBE DBE MBE

6 Top Benefits Bringing more dollars to an eligible company through targeted procurement mechanisms.

7 Top Benefits Increasing economic activity and promoting growth in distressed communities.

8 Top Benefits Targeting competition to specific industries where disparities exist.

9 Major corporations use certification as a tool to validate and seek qualified minority businesses. Listed in minority databases/directories Access to mentoring, education, and capacity development programs

10 Local and statewide government agencies are mandated to award different percentages of their contracting and bidding opportunities to minority owned businesses (setaside contracts)

11 Something they all have in common! WBE WBENC NMSDC MBE 51%

12 8a Business Development Program Designed to help small disadvantaged businesses compete through business development. Through sole-source contracts, businesses are given an opportunity to enter the government-contracting arena, and gain experience to compete in the full and open market

13 Putting One Foot In Front of the Other

14 Preliminary Steps All certification clients must have a D-U-N-S number: Can be requested by visiting or calling (866) When applying for SBA 8(a) Certification the business MUST be registered in System for Award Management (SAM). Register with SAM at

15 Preliminary Steps Complete the SBA Profile Page Available once the SAM is completed Obtain a GLS Login Available once the SAM & SBA Profile Pages are complete

16 8a Business Development Program The program benefits the client as well as the contractor by providing small disadvantaged businesses with: The ability to pursue and award sole-source procurements. Limited-competition opportunities in the government arena. Ensuring the client that bonding, insurance, and other legal requirements are met.

17 Two Year Waiver Waiver of the 2-Years-in- Business Requirement: Substantial business management experience Sufficient technical experience Enough Capital to carry out the business plan Ability to obtain the necessary personnel, facilities and equipment Record of successful performance of past contract work

18 Socially Disadvantaged Small Business Administration 8(a) program has the following social groups designated as socially disadvantaged: Black Americans Hispanic Americans Native Americans Subcontinent Asian American Asian Pacific Americans

19 What if I am not Socially Disadvantaged? Preponderance of the Evidence Gender Culture Ethnicity Disability Other Specific Factors Proof through multiple detailed examples (15-20)

20 Economically Disadvantaged Personal Net Worth Limit: This limit is defined as a personal net worth of $250,000 or less, excluding the equity in a personal residence or business Includes the following accounts: Life Insurance, Stocks and Bonds, Trusts

21 Women Owned Not Automatically Presumed Don t lose hope There are other options! WBENC State Agencies WOSB / EDWOSB

22 Service Disabled Veteran Status To be considered a Disabled Veteran you must have your DD Form 214 in order to prove your service in the Armed Forces.

23 Service Disabled Veteran To be considered a Service Disabled Veteran you must have a letter from the Department of Veterans Affairs (VA) of your discharge paper from the branch of service you were in. Must state that you have a service connected disability rating ranging from 10% to 100% disability.

24 Ineligibility Issues Businesses ineligible for certification include: Franchises Nonprofit Organizations Brokers & Packagers Firms owned by other disadvantaged firms

25 Lack of Character As defined by the SBA, demonstrations of lack of character may include: Past Criminal Records Violations of SBA Regulations Debarment or Suspension Falsified Information

26 Supporting Documents Small business owners will be asked to provide a wide range of materials including: Business & Personal Tax Returns Licenses & Permits Profit & Loss Statements Business Insurance Legal Forms

27 Submittal Process Online Application Complete Required Forms Assemble all supporting documentation Submit to your local SBA district office

28 SBA HUB Zone Stimulate economic development and creates jobs in urban and rural communities designated as Historically Underutilized Business (HUB) Zone Owned and controlled by one or more US Citizens. At least 35% of its employees reside in the zone. HQs in HUB Zone

29 WBE If your business is 51 percent owned, controlled, operated, and managed by a woman or group of women then you are eligible for certification. There are generally four different levels of WBE certifications: Local State National

30 WBENC 51% 1 Yr!

31 WBENC WBENC is the Women's Business Enterprise National Council Comprised of 14 regional partner organizations. All of the partner organizations adhere to WBENC's stringent Standards and Procedures in their certification programs. WBENC provides information on certified women's businesses to purchasing managers through its Internet database, WBENCLink.

32 Local & State - WBE Certifying Agencies In most cases each: City County State Distinct type of certification program which details an individual and distinct process for that city, county, or state. Most States now require applications and documents to be uploaded electronically

33 Minority Business Enterprise {MBE} Proprietorship, partnership, corporation or joint-venture that is 51% owned, operated and controlled by United States citizens and members of an ethnic minority group (Asian, Black, Hispanic and Native American) Must prove effective management and control of business Proof of contribution of capital and /or expertise by minority owner

34 State & Local Certifying Agencies Exists on the following levels: Local County City State

35 Nat l Minority Supplier Development Council The National Minority Supplier Development Council has standardized procedures to assure consistent & identical review and certification of minority-owned businesses.

36 Nat l Minority Supplier Development Council These businesses are certified by NMSDC's affiliate nearest to the company's headquarters. "Minority group members" are United States citizens who are Asian, Black, Hispanic and Native American. Ownership by minority individuals means the business is: At least 51% owned by such individuals Or, in the case of a publicly-owned business, at least 51% of the stock is owned by one or more such individuals.

37 How do I Prove I m a Minority? The key word is blood line: Birth Certificates Surnames Driver s License Passport

38 Ineligibility Issues Businesses ineligible for certification include: Franchises Nonprofit Organizations Brokers & Packagers Firms owned by other disadvantaged firms

39 Supporting Documents Small business owners will be asked to provide a wide range of materials including: Business & Personal Tax Returns Licenses & Permits Profit & Loss Statements Business Insurance Legal Forms

40 Submit & Wait Obtain a D-U-N-S Locate the proper application. Submit application along with supporting documentation to the certifying agency. WAIT for Determination

41 DOT Disadvantaged Business Enterprise {DBE} Program Assists small businesses owned by socially and economically disadvantaged individuals, including minorities and women, in participating in contract opportunities created by DOT financial assistance programs Federal Highway Administration Federal Aviation Administration Federal Transit Administration Port Authorities Program is carried out by state and local agencies

42 DOT DBE Requirements Socially & economically disadvantaged (includes women) 51% interest Daily control & management of operations Personal net worth < $1.32 million Small business; average annual gross < million

43 Conclusion The process can be grueling Professional help can help in providing and submitting the right information Once certified the small business can optimized the benefits of the certification (s)

44 A Grueling Process

45 Don t go it Alone Can Help! Variety of Package Options and Flexible Payments Can Assist with all Types of Certifications We can Expedite the Process Ensure Information is Accurate and Assembled Accordingly

46 Special Discount! Buy 2 Certifications Get the third one for FREE

47 One Stop Shop Small Business Services Business Plan Writing Business Certifications Incorporation Website Development Graphic Design Marketing Bookkeeping & Accounting Nonprofit Services

48 Questions? More Information? Contact Us Felix Zapata: Service Consultant: Visit or Call