Fed Goals For WOSB Contracts

What You Need To Know About Small Business Set Asides

Businesses shy away from government contracts because of not clearly understanding what is involved in the process, but once you begin to understand the process and what is required one may begin to shed the layers of doubt. Changing the perspective of how you view federal contracts allows you to become more comfortable with the process. I like to view contracts as somewhat of a salad it’s a combination of several ingredients when it all comes together you have a delicious meal before you.  The key is before you dig in find out about the combination of ingredients if you want the salad to be fulfilling.

It’s the same with government contracts, if you want your business to be full with success you need to determine the right combination of strategies to make that happen. There is a longstanding myth that there is only one way for a business to be successful in the federal sector, but that is far from the truth. In fact, there are several ways and today I’m going to give you five. Just a little note what I am about to tell you does not mean that it is required of you to pursue any of the options given, it is just to say that there are other options. The types of contracts that you pursue can be a big determinant in how you prosper. The government sets aside a percentage of federal contracts each year for specific demographics of small business.

With these types of set-asides the government will limit the competition of specific categories of contracts, so that the small businesses will gain a fair chance in achieving contract award.

1. Service-Disabled Veteran Owned Contract Service-Disabled Veteran Owned (SDVOSB) contracts are specifically set aside for disabled veterans. At least three percent of federal contracts are set aside for SDVOSB/VOSB. To qualify you must be a veteran with a disability certified by the Department of Veterans Affairs, recognized as a small business per SBA regulations, and have at least 51% of the business controlled by a disabled veteran. A link to apply for SDVOSB or VOSB will be posted by SBA at a later date, to find you if qualify for SDVOSB or VOSB visit SBA’s site by clicking here

2. Woman Owned Contract Woman Owned Small Business (WOSB) contracts are opportunities set aside for woman owned small business. At least five percent of federal contracts are set aside for WOSB. To qualify as a WOSB you must woman within the U.S., 51% of the company owned by a woman, and a recognized as a small business per SBA regulations. Five percent of federal contracts are allotted for woman owned businesses. For more information or to certify click here

3. HUB Zone Contract Hub Zone contracts (HUBZone) are for companies that operate and employ people in Historically Under-Utilized Business Zones. Three percent of federal contracts are set aside for HUB Zone. 35% of employees must live in a HUBZone, company headquarters must be located in a hub zone, recognized as a small business per SBA regulations, and 51% owned by a U.S. Citizen, Community Development Corporation, Hawaiian corporation, Indian tribe, or agricultural cooperative. Three percent of federal contracts are allotted to HUB zoned businesses. For more information click here

4. 8(a) Business Contract 8(a) business contracts target disadvantaged companies. The government limits the competition allowing for 8(a) applicants to achieve contract award. To qualify 8(a) applicants must be a small business per SBA standards and regulations, 51% owned by a U.S. citizen that is economically and socially disadvantaged, personal net worth $750k or less, Owner adjusted gross income of three years $350k or less, Owner $6m or less in assets, Owner manages company daily operations, owner must demonstrate good character and show potential to be able to perform contracts successfully. Five percent of federal contracts are allotted to 8(a) businesses. For a business to become 8(a) certified you must apply with the Small Business Administration.

GSA Proposal Maven Inc. is a government contract firm that has helped thousands of businesses increase their bottom line with the GSA MAS contract program, 8(a) Certification Program, VOSB Certification, SDVOSB Certification, and other federal agency contracts.  Get your FREE report, “What You Need To Know Before Applying For A GSA schedule” or schedule your thirty-minute consultation by clicking here.