The 8(a) Business Development Program: Your Guide

You've come to the right site if you're curious to learn more about the 8(a) Business Development program. We'll go over all the specifics, such as the requirements for 8a certification, the advantages the program can offer your company, and the application procedure. 

An 8(a) certification is what?

The United States Small Business Act's Section 8(a), which gives the Small Business Association (SBA) permission to create the 8(a) Business Development program, is referred to as 8(a). The SBA developed the program to assist in achieving the federal government's goal of allocating at least 5% of contract money to small, disadvantaged firms.

Generally speaking, the 8a certification   is a nine-year program created to support businesses owned and operated by people who are socially and economically disadvantaged. However, due to the COVID-19 scenario, the SBA issued an interim final rule in January 2021 enabling a program extension period for all entities actively participating in the program as of March 13, 2020. Typically, the curriculum is divided into a four-year developmental stage and a five-year transition period.

A company that has earned 8(a) certifications is a current participant in the 8(a) Business Development program, which certifies the company's status as a diverse business and offers a variety of professional advantages to help it integrate into society and successfully compete in the market.

What the 8(a) program has to offer

The key advantages that 8(a) certified businesses can receive are listed below.

Instruments to speed up business growth

Participants in the 8a certification program will receive a variety of assistance to address any business concerns in areas like management and leadership development, business counseling, marketing and procurement assistance, and financial training. The goal of the 8(a) program is to increase the skills required to participate in the American economy. Additionally, the SBA's 7(j) Management and Technical Assistance program will provide them with free training.

Eligibility to compete for government contracts, set-asides, excess goods and property, and federal contracts

Your company will be qualified to get federal contracting preferences once you are an 8a certification program certified firm, making it possible for you to submit a bid for work from federal agencies. As a result, you are eligible to compete for and win any set-aside contracts, sole-source contracts, contract awards, and other set-asides for which your business is eligible. Additionally, you'll be qualified to obtain federal surplus goods and property on a first-come, first-served basis.

Individualized business development support

An 8(a) certified organization will receive specialized one-on-one business development assistance from their dedicated Business Opportunity Specialists in addition to general training and resources. They can assist you in navigating the federal contracting process to increase your company's chances of landing government contracts and achieving your corporate goals.

The chance to work as a mentor for a more seasoned company

You can bid on contracts as a joint venture with an experienced company to gain access to larger contracts and expand your firm through the SBA Mentor-Protégé program, in addition to receiving advice for your company.

Your company will also be qualified for SBA-guaranteed business loans by taking part in the 8(a) Business Development program in addition to these advantages.

Requirements for 8(a) Certification

The major prerequisites for a business owner to apply for the 8(a) program are listed below.

Eligibility

You must fulfill the qualifying standards for the 8(a) program, which include that your small business must be at least 51% owned and managed by seasoned entrepreneurs who are socially and economically disadvantaged. The SBA takes into account a person's race, ethnicity, gender, and physical disability when determining whether or not they are socially and economically disadvantaged. Additionally, the company needs to have been operating for at least two years, be eager to enter the federal market and exhibit a balance between public and private initiatives.

Online submission of an application

You must submit a comprehensive online application together with any required corporate paperwork.

Ongoing adherence to eligibility criteria

8(a) certified companies must consent to have the SBA check on their development and compliance during the nine-year program. This includes confirming on an annual basis that the company complies with all legal and regulatory standards and making sure that the total value of sole-source contracts your company receives does not exceed the value of your major NAICS code (or $100 million).

Submission for the yearly evaluation

To keep participating in the 8(a) program, your company must submit specified information to your SBA District Office each year.

Application procedures for the 8(a) program

Now that you are aware of the types of businesses the 8a certification program is designed for, let's go over the procedures you must complete to get certified.

• Choose your main NAICS code.
• Register your company with the System for Award Management by setting up a profile (SAM).
• Online or locally, submit your 8(a) certification application along with any required corporate organization documentation.

The SBA has 90 days to review your application after it is submitted to determine whether to admit you into the 8(a) certification program.

The expansion of your company may be fueled by 8a certification, and experience might be priceless. You are given a Government Procurement Adviser at Advance 8a to assist you in navigating the complex federal contracting system. Thousands of applications have been processed by our team, and we continue to have a 98% approval rate. To learn how we can assist your company, get in touch with us right away.