Did you know that the federal government attempts to award 5% of its yearly contracting budget just for Service-Disabled Veteran-Owned Businesses, or SDVOSBs? That means that billions of dollars each year are awarded to business owners with SDVOSB certification. If you are interested in selling goods and services to the U.S. government, this could be a great opportunity for your business.
Who Is Eligible?
First and foremost, this program is available only for veterans who have a service-connected disability rating from the Department of Veterans Affairs (VA), and 51% of the business must be owned by a service-disabled veteran or veterans.
Additionally, a service-disabled veteran must be in control of daily operations, typically holding the highest officer position, such as the CEO. This veteran must have full control over long-term decision-making for the business.
Of course, in order to qualify as an SDVOSB, your business also must be considered small by the Small Business Administration (SBA). To determine whether or not your business would be considered small, head to https://www.sba.gov/federal-contracting/contracting-guide/size-standards/size-standards-tool.
Keep in mind, if you are a veteran, but are not service disabled, you have the option of applying to be designated a Veteran-Owned Small Business, or VOSB. There are many government contracting job opportunities for VOSBs and SDVOSBs. Many of these set-aside contracts are sole-source contracts, which can be easier to win, especially if they are reserved just for SDVOSBs or VOSBs.
Sole-source contracts are contracts where the government determines that only one business is needed to fulfill the requirements of the contract. Additionally, the federal agency is not required to take bids from multiple vendors, they can simply contact a qualified small business and get started with the contracting process.
Of course, you also bid on competitive contracts, as well. These are publicly posted federal contractor jobs and, while there will be competition for these jobs, if you can meet the requirements, you are free to bid on any contract and sometimes competitive contracts also are set aside just for SDVOSBs.
Keep in mind, if you do not qualify for either program, but own a small business, you can simply sign up with the SBA as a general small business or look at other programs, such as 8a certification or HUBZone certification or perhaps as a Woman-Owned Small Business, or WOSB. These types of programs are known as a small business set aside because the federal government “sets aside” a portion of its contracting budget for small businesses.
How Long Does SDVOSB Certification Take?
The first step is to gather the documentation required by the SBA to prove eligibility. This includes providing VA-documented disability confirmation as well as providing business records, etc.
From there, you will fill out the application for SDVOSB certification, submit the required documents and then submit it all to SBA. Generally, it takes the SBA’s Veteran Small Business Certification (VetCert) program about 60-90 days to review the application.
Additional Benefits
As a participant in the SDVSOB program, you also may be able to access federal surplus property through the General Services Administration. These are items that the federal government no longer needs, but are still usable.
This property can include a wide range of items, including office furniture, electronics, industrial equipment, construction equipment, appliances, and even vehicles. The government does not charge you for this equipment, but there are some restrictions. For instance, you must use the equipment for business use only, and you must be certified in SBA’s VetCert database.
The SBA also offers free training programs to help veteran business owners. In general, SBA also offers many loan programs to help you start up a business or expand your business, and these can be well worth checking out if you need some capital.
If you plan to bid on government contract jobs, another resource we recommend is the Veteran Institute for Procurement (https://nationalvip.org/index). This organization offers business training and help for learning the ropes of federal procurement, and can be a great resource for any veteran business owners.
SAM Registration: Required For All Government Contractors
While the SDVOSB certification program can ensure you have access to special set-aside government contracts, you cannot bid on any of these contracts without first completing your registration in the System for Award Management (SAM). This is the database that contains data about all government contractors, and you must have an active listing to be considered for any federal contractor jobs or federal grants.
While federal agencies cannot do business with you without SAM registration, the registration process can be a significant hurdle for many small business owners. The government charges to fee for registration, but the complexities of the process often discourage people from completing their registration.
This is why many business owners turn to a third-party SAM registration and SAM renewal service. As SAM experts, we can complete your registration quickly and 100% accurately. Our team also will help you sign up with SBA and link your SBA account to SAM account. This will allow federal procurement agents to check your small business and SDVOSB status easily to ensure that you meet the requirements of a set-aside contract.
Additionally, we can help business owners procure their Unique Entity Identifier, or UEI number. This is a newer requirement for SAM registration, and all first-time registrants must apply for a UEI. You also must send the federal government a notarized letter identifying your company’s Entity Administrator, the person authorized to make changes to your SAM account, and we can help with this SAM notarized letter requirement as well.
Government contracting can be a great way for veterans to expand their businesses, and SDVOSB certification is a crucial step you need to take. We can help with this as well as providing you with fast SAM registration services. Thank you for your service to our country, and feel free to contact us at any time to get started with the SAM registration process.