Having the courage to embrace your identity as a woman in business involves knowing who you are and why you do what you do. It also means knowing how you can use your vision to impact the community around you.
As a result of their contributions, organizations benefit from the presence of strong female executives. If you want to empower your woman-owned small business to government contracting, this article will guide you to be a successful contractor.
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The Women-Owned Businesses (WOB) is a term used that states that a woman owns most of the business. To assist competition for women entrepreneurs, the government limits competition for specific federal contracts to WOSBs.
Women-owned small business (WOSB) is a federal government contracting program that aims to open opportunities for women entrepreneurs. This program allows contracting officers to put aside specified requirements for competition only among WOSBs or economically disadvantaged women-owned small businesses (EDWOSBs).
All WOSB must have accreditation from the Women’s Business Enterprise National Council (WBENC). Having certification from the WBENC can open doors to both private and public sector contracts.
The following is a list of certificates for WOB:
The U.S. Small Business Administration (SBA) is responsible for the program’s implementation and administration. The SBA publishes regulations, screens for eligibility makes decisions on protests, and investigates eligible industries with other federal agencies.
SBA also collaborates with other agencies to support WOSBs and EDWOSBs.
A Women Business Enterprise (WBE) is another certification for a woman who owns and runs a business. There are three types of WBE certificates: federal, state, and local. The requirements for applying for each one will differ depending on where the certificate is issued.
The following minimum standards must be met to qualify as a WBE with the WBENC or a local, county, or state WBE program:
Private companies and some government agencies often accept the WBE certificate. In comparison, the WOSB certificate is more beneficial for federal programs.
The WOSB program only allows businesses to be certified if they work in specific NAICS codes, but the WBE usually doesn’t. Certifications can be given by third-party organizations or the person who got them. An organization usually needs to fill out an application and send in supporting documents in both instances.
The Women’s Business Enterprise National Council (WBENC) seal of approval signifies that at least 51% of a company’s ownership, control, operation, and management are women or women. It means that one or more women must have the majority authority over the company, have a track record of successfully managing day-to-day operations, and have made a corresponding financial or technical investment.
Business owners who want to be certified must go through a screening process that includes examining their company’s records and a site visit. The SBA’s Women-Owned Small Business (WOSB) Federal Contracting Program has also certified WBENC as a third-party certifier.
Many business women gain access to government and private contracts by obtaining accreditation as a women-owned enterprise. Accreditation for women-owned businesses has numerous advantages and the opportunity to win corporate or government contracts.
There are numerous tax advantages to working with a WBENC-certified small business. Tax breaks are available from the federal government for companies who do business with minority and women-owned enterprises.
With a woman-owned business certification process, tax liabilities are lowered for projects sponsored by the federal. It is also possible to get tax breaks in some states. The WBENC certification information you need for tax purposes is included in each final billing binder when working with Miller Tanner.
Smaller businesses tend to bring new ideas to the market to leverage their competency. With woman-owned small business certification, companies can make adjustments and execute creative solutions to fulfill the demands of their clients more quickly and efficiently.
A company can compete for federal contracts designated for the WOSB Federal Contracting Program by becoming a program member. If a company is eligible for other socio-economic initiatives, it can compete for contract awards there.
With your WOSB certification, you are eligible to apply for and win competitive set-aside contracts. Additionally, you may be able to secure sole-source deals. Small company entrepreneurs can turn to the SBA for assistance in navigating the government procurement programs.
For Women-Owned Small Businesses (WOSBs) and Economically Disadvantaged Small Businesses (EDWOSBs), the certification process for 2020 will be different. The SBA adopted the improvements Congress had requested to the WOSB Federal Contracting program (NDAA).
In May 2020, new rules for the WOSB Federal Contracting Program were published in the Federal Register. The certification process has been altered by these regulations.
Step 1: Decide whether or not you qualify
To be eligible for WOSB certification, a company must fit the criteria of a small business and be owned and operated by women who are U.S. residents. As a woman firm owner, you must have control of at least 51% of the company, oversee daily operations, and take long-term decisions.
You must be eligible for other qualifications to obtain WOSB certification. Visit the SBA website and use the online tool to see if you qualify for SBA programs.
Step 2: Complete the requirements
When applying for government certifications, you’ll require considerable paperwork. The TCP and SBA both offer resources for small business owners, including checklists and certification-specific materials. Included in the files are:
Step 3: Apply for WOSB, EDWOSB, or WBE certification
Analyze whether a WOSB or an EDWOSB qualifies. A business can only be classified as a WOSB if it is owned and managed by one or more women who are U.S. citizens. There must be no conditions attached to ownership.
A woman must handle the company’s day-to-day operations and long-term business choices. During regular business hours, the woman must work full-time in the company and be the highest-ranking executive. She may not have any other jobs. A company must meet all of the WOSB eligibility criteria to be considered an EDWOSB.
A third-party certifier can certify a company as a WOSB or EDWOSB. The SBA has approved third-party certification companies to assist in implementing the SBA’s WOSB Federal Contracting Program.
Being a government contractor has pros and cons. However, you can make your WOSB certification easier by considering these tips:
Dawn is a professional writer who formerly worked on different websites across Asia, Europe, and America. Today, she focuses more on creating informative content, helping people find their source of business news through GovCon.
