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| Clients Testimonials |
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Melina Gio
President AKS
Shipping
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| "Other 8a services said our application did not fit their structure, sba8a.net took us on as a client and helped to resolved our issues" |
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Nats Edward
President Elma
Construction
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| "Sba8a.net guided us from the date of incorporation until we had a successful application." |
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There are many factors that can keep a firm that desires an SBA certification from achieving this goal. The most common roadblock for an 8a applicant is meeting the length of time in business requirement of two years. This is a two part issue because not only does the business need to be in existence and have revenue for two years, the business owner must have also dedicate 100% of her time to only this business. The SBA will check applicant’s tax returns to verify the business is the sole source of all wages earned. The SBA Certification is not designed to help facilitate startup companies; it is designed for established businesses run by individuals that can successfully achieve the deliverables set forth in government contracts.
The second most common road block is when a non-socially disadvantaged spouse works at or is part owner of a company which is attempting to become 8a certified. The SBA views this company not to be socially disadvantaged because of the spouse’s participation in the business and this leads to a denied application. |
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Other common road blocks to the SBA 8 (a) certification are as follows:- |
- Close family member with an 8a certified firm servicing the same industry
- Lack of diversity in customer base – maximum of 70% of revenue can come from one client.
- Lack of financial resources necessary to prove a likelihood of success when seeking a waiver of time in business.
- Inability to prove the applicant holds themselves out as a member of a socially disadvantaged class of people.
- Applicant security clearance issues caused by past criminal acts
- Resume lacks management experience or expertise in the field in which a less than two year old firm is to engage in business
- Business owner has poor credit or unresolved credit issues
- SBA8a Certification Elite can help overcome many of the obstacles mentioned above and other less common obstacles that might prevent a firm from gaining its 8a certification.
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