What Is The SBA 8a Program?
The Small Business Administration (SBA) 8a Program is a federal program designed to give small businesses owned by socially and economic individuals an opportunity to compete for government contracts. The SBA provides the following description of the 8a program:
“The SBA’s 8a Program, named for a section of the Small Business Act, is a business development program created to help small disadvantaged businesses compete in the American economy and access the federal procurement market.”
Both descriptions of the 8a program are a good start but they don’t even begin to describe all of the advantages that becoming a certified 8(a) business provides.
When discussing the 8a program I often describe it as the “Cadillac” of all small business certifications. To understand what that means, it is important to note that the 8a program is only one of a myriad federal, state, local and private programs meant to give small, minority and women owned businesses a means to gain access to federal and corporate markets.
Typically, these other programs are only open to a designated group, such as women, veterans, ethnic minorities, small businesses etc. Once a company becomes certified through these other programs they become part of a pool of certified companies. The companies in the pool, by becoming certified, are eligible to compete for contracts against other companies in the pool.
Similar to other programs, the SBA 8a program allows certified companies to bid against other certified companies for contracts set-aside for 8(a) firms. However, unlike other programs, In addition, the SBA 8a program allows certified companies are eligible to receive sole-source contracts. In other words, an 8(a) certified company can be awarded contracts of up to $8,000,000.00 without bidding. Second, firms in the 8a program can subcontract a significant amount of work to other firms. Third, 8(a) certified firms can be beneficial to larger companies because federal government contracts often contain payment bonuses to primary contractors who use certified firms. Finally, the SBA encourages partnerships between 8(a) firms and other companies through joint ventures and mentor-protégé programs.
Need Help Applying For The 8a Program
Contact an 8a program attorney at Kleiner & Cazeau regarding the 8a program certification process. Our attorneys can be reached by phone at (305) 517-1392 ext: 102 or by e-mail using our contact form. We are ready to help you obtain your 8a certification. Our attorneys can thoroughly examine your 8a program application and make sure you meet all of the 8a program certification requirements.