Tips for Doing Business With the Government – Gaining an  8(a)Certification

If you are a small business owner, you will naturally be interested in becoming certified in the U.S. Small Business Administration’s(SBA) 8(a) business development program. Generally speaking, one of the roles of SBA  is to certify small businesses that it considers to be socially or economically disadvantaged under its nine-year 8(a) business development program(BDP). Note that small business owners are considered to be economically disadvantaged if their ability to compete in the free enterprise system has been impaired because of their diminished capital and credit opportunities unlike their counterparts in the same line of business. In this regard, African-Americans, Native Americans, Hispanic Americans and Asian Americans are some of the minority groups that are presumed to be socially and economically disadvantaged(SBA, 2012).

Gaining 8(a) certification has its advantages. First, it will help you to develop and grow your business through one-to-one counseling, training workshops and management and technical guidance. Second, you will have access to U.S. Government contracting opportunities. Third, your business will become a solid competitor in the federal  marketplace. It is important to note at this point that in the fiscal year 2010, small businesses(those of them with 8(a) certification), received more than $18.4 billion in 8(a) contract dollars(SBA, 2012).

It will also be noted that obtaining 8(a) certification for your business can be a rigorous and daunting process. However, given that 8(a) certification can help your business to gain access to government contracting opportunities, the potential benefits outweighs the challenges. The 5 successful tips for navigating the 8(a) certification process are described below.

Register with the System for Award Management(SAM)

One requirement for doing business with the U.S. Government is to register your company in the SAM database(www.sam.gov). Visit this website www.sba.gov/8abd to access the 8(a) application online(Burns, 2012).

Financial Documents

You will need to get your financial documents in order. Some of the documents you will need to complete the application include your federal tax returns, balance sheets and profit and loss statements from the past three years, among other documents. To find the entire list of required documents, check the 8(a) application at www.sba.gov/8abd (Burns, 2012).

Seek Wise Counsel

You will need to use the services of a consultant who will review your 8(a) certification application packet. To find the companies that can assist you in getting 8(a) certified, contact your local SBA district office(Burns, 2012).

Befriend Your Local SBA

You will also need to establish a relationship with your local SBA. This is important because they can provide you with the much-needed advice and direction throughout the 8(a) certification application process(Burns, 2012).

Don’t Give Up! Follow Through On Your Application

Sometimes your initial application may be rejected. If this happens, don’t just give up – this will actually be the time you should gather your paperwork and turn to your local SBA  branch office to find out who is next in command. Going directly to this person will ensure that when you re-submit the application, it will be properly reviewed and approved(Burns, 2012).

References

Burns R.(2012, November): Small Biz. Black Enterprise, 43(4), 36.

SBA(2012): 8(a) Certification and Minority Business Certification – How Does A Business Get Certified? Retrieved December 29, 2012 from http://www.sba.gov/community/blogs/community-blogs/business-law-advisor/8a-certification-minority-business-certificatio