Did you Know about the Eligibility of 8a Business Program?

Are you a small business owner looking for government contracts? Then you must know about 8a business development program, which helps you get into the federal marketplace and at the same enables you to bid for lucrative government contracts. However, this program is launched by the Federal government itself to bolster the economic and productive growth of the small and underdeveloped business.

8a Business Program Explained

As already mentioned, this program is applicable for the small business, where at least 51% of its share is owned by the socially and economically disadvantaged individuals. It may include minority, women, and members of the LGBT community, veterans, and other people with disabilities.

As per the rules of SBA, at least 5% of the government contracts are reserved (set asides) for the businesses with 8a certification. The program participant can right away get $4 million of sole-source contracts if other criteria are fulfilled. The best part is that the participants of the program can take part in open market bidding as well in order to extend their ability to compete in the federal economy.

The business development program offers a plethora of valuable resources so that the small businesses can easily take part in it.

Here are five steps to follow for applying in the 8a business development program.

1. Are you eligible

SBA’s Certify website furnish all the details regarding eligibility criteria. Refer to that website prior filling up the form. Among the most significant criteria, being socially disadvantaged is the leading one. Because, these programs are organized to help the small business owners. Precisely, you have to show how your personal experience can influence your ability to succeed in business. However, if you are the owner of any non-profit organizations, or any brand’s franchise, you need not apply for it.

2. Meet the Two-Year Rule

The SBA considers the time, as many of the potential companies fail to thrive post two years. Many businesses fail to operate in the long run and their certification stands invalid. Hence, SBA needs at least two or more years to remain the business before they participate in the program.

3. Be Informed. Stay Out of the Competition

In order to get the 8a certification, you would need to go an online training and self-evaluation course. Based on the results, it will be determined if you are a fit for the 8a business development program. Access the local SBA office once you are ready to submit the documentation and forms.

4. Apply to Get Certified

In order to get certified, submit your documents electronically to the SBA. Additionally, you need to send the electronic signature. Though you can always submit a printed document, SBA always recommends an electronic application to expedite the process. It will take at least 15 days to get the certificate after you get the document.

At this phase, your profile will be mostly reviewed for completeness. Once the application is complete, the SBA will confirm your 8a certification program eligibility within 90 days.

5. Create a Business Plan

Last but not the least; you need to approach the 8a business development program with a business plan well drafted. In fact, it is also important to get the plan approved by the SBA Business Opportunity Specialist (BOS) before you get the certificate. The business plan should come with the following:

·         An exploration of market potential

·         Assessment of your strengths and weaknesses

·         Specific goals for business development

·         A change management plan

·         Estimates of future contract awards