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  • Writer's pictureAndrew P. Doro

How to Become a Certified Veteran-Owned Business

Updated: Feb 3, 2023

If you are a veteran who wants to start or grow a business, becoming a certified veteran-owned business may help you win government contracts. Certification gives you an edge in contract bidding and helps your business win contracts from federal agencies that require supplier diversity.


The Small Business Administration (SBA) offers a verification program called the Vets First Verification Program that allows firms owned and controlled by veterans to compete for contracts designated under VA set-asides. These businesses are verified by the Center for Verification and Evaluation according to Title 38 Code of Federal Regulations (CFR) Part 74 and 13 CFR Part 125, which address veteran eligibility, ownership, and control.


In the past, firms seeking to compete for VOSB sole source or SDVOSB set-aside contracts with federal agencies other than VA only needed to self-certify their status.


The NDAA 2021 final rule implements a government-wide certification program for firms to compete as certified VOSBs or SDVOSBs on federal contracts. Firms must meet the requirements for certification at all times, including: notifying SBA of a change in circumstances, undergoing a program examination, and reapplying for certification after the expiration of their eligibility period.


To be certified, a concern must be owned and controlled by one or more qualifying veterans. Control by a veteran means that the qualifying veteran has ultimate managerial and supervisory control over both the long-term decision-making and day-to-day business operations of the concern.


If you own a business, becoming a certified woman-owned business can help you win more government contracts and bring in new customers. It also helps you stand out from the rest of the competition.


To qualify for VOSB or SDVOSB certification, you must meet specific qualifications and show that you're an honorably discharged veteran. This can be done by providing your Department of Defense Form 214, which is the discharge paperwork you receive from the military branch you were a part of.


In addition, your company must be at least 51% veteran-owned and controlled. This includes your business operations, such as marketing, production, and sales.


Alternatively, if you're a service-disabled veteran, you can use your disability rating from the VA to prove you're a veteran. This will give you the additional advantage of being eligible for NYS contracting opportunities.


During the certification process, you'll need to provide a lot of documents and information. However, it's worth the time and effort to make sure you're eligible.


The certification process for a small business of any size is a long and arduous journey. To help navigate the pitfalls, the SBA offers an array of support services to assist a prospective veteran-owned small business with its certification efforts. The program also helps veterans navigate the maze of federal contracting and procurement regulations with a plethora of free resources. To help navigate this daunting task, the Small Business Administration has a dedicated team of veteran small business advocates who are eager to provide assistance and guidance. The small business advocates can be contacted by visiting the SBA website or by calling the small business hotline at 1-888-727-4763. They are available 24 hours a day, 7 days a week. To get started, download the SBA small business toolkit.


To be certified as a VOSB or SDVOSB, a concern must meet a variety of requirements. For example, the concern must be at least 51 percent owned and controlled by one or more qualifying veterans. In addition, the qualifying veteran must have ultimate managerial and supervisory control over both the long-term decision-making and the day-to-day management of the concern.


Additionally, the qualified veteran must be able to prove that he or she has the necessary licenses and technical expertise to manage the business. In the case of a partner, the veteran must have sufficient managerial experience to demonstrate that he or she has control over the partnership.


SBA will continue to review concerns at all times while a concern is certified as a VOSB or SDVOSB and may require that a firm meet additional requirements to maintain certification. In the event a concern voluntarily withdraws from the program, SBA will decertify it and remove it from the certification database.

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