To qualify for the 8(a) program, businesses must meet the following eligibility criteria:
- Be a small business (this link is to the SBA’s website and one of the first things it will ask you is to decide on what industry you primarily work in. It will help you select your primary NAICS code by entering a keyword like “engineering” or “admin” or “construction”. Each NAICS code has a different maximum revenue value to qualify as a small business).
- Not have previously participated in the 8(a) program
- Be at least 51% owned and controlled by U.S. citizens who are socially and economically disadvantaged
- Have a personal net worth of $850 thousand or less, adjusted gross income of $400 thousand or less, and assets totaling $6.5 million or less
- Demonstrate good character
- Demonstrate the potential for success such as having been in business for two years
8(a) certification lasts for a maximum of nine years. The first four years are considered a development stage and the last five years are considered a transitional stage. Continuation in the program is dependent on staying in compliance with program requirements.
The federal government fully defines who qualifies for the 8(a) program — including what counts as being socially and economically disadvantaged — in Title 13 Part 124 of the Code of Federal Regulations
SDB Growth has significant experience developing Small Disadvantaged Businesses and supporting business development. We have supported the award of over 30 sole-source awards. Contact SDB Growth at https://sdbgrowth.com/ for more information.