DBE Certification

Price: $3,500

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A DBE or a disadvantaged business enterprise is a certification, which allows eligible businesses to take part in DBE programs as defined by different states. These programs strive for promoting the inclusion of economically or socially disadvantaged organizations, like minority and women-owned businesses, while distributing government subsidized contracts.

They help minority businesses in availing significant financial assistance. With DBE certification program, minority business entrepreneurs can even expect to receive liberal funding from the federal government. ACDBE entities and WMBE entities take the maximum advantage out of this program. State or local government usually offers this kind of program. This certification program is popular as statewide procedure.

Criteria of the Certification

Most of the states have a registry where the names of qualifying businesses eligible for a DBE are included. These states make a point to outline the criteria for certification. For instance, Transportation Department of California has DBE requirements that pertain to personal net worth, revenues, management, control and ownership of a business.

Things to keep in mind

If you want to obtain a DBE certification, you will need to submit documents that prove you own a minimum of 51% share of your small business. You also need to prove that your business firm is economically as well as socially disadvantaged. Groups, which are presumed to be economically or socially disadvantaged, are eligible for a DBE provided they can prove that they are socially or financially disadvantaged.

Features

According to the Transportation Department, of all funds, which are allocated to the mass transit, research, transportation technology and government subsidized highways, at least 10% of the fund must be allocated to DBE.

Size Requirements

Companies looking to earn profit from their businesses but are termed ‘small’ are qualified as DBE. The size of the small business is not to exceed 22.41 million dollars.

Probable Groups

Groups that are presumed to be socially or economically disadvantaged include Native Americans, African Americans, Hispanics, Asian Pacific Americans and Subcontinent Asian.

Mistakes to avoid for obtaining DBE certification

A company wanting to acquire its DBE certification must make sure that it does not make the following blunders:

  • Make sure that any transfer of shares/stocks or ownership does not coincide with submission of DBE application.Be sure to avoid transfer shares/ownership/stock as gifts or with little or no funds exchange.
  • If S&ED individual has no experience in the field of business, make sure that S&ED gets certifications or formal training or degrees in the field of business. Try not to give the previous workforces substantial ownership interests in DBE business.
  • If the company ownership is transferred to S&ED from a non-disadvantaged, it is better for the former owners not to remain with the firm.
  • Avoid discrepancies among Partnership Agreement and Operating Agreement, Articles of Incorporation etc.
  • Make sure that the S&ED individual stays in the same place as the main place of business of DBE firm.

The DBE specialists at 8acertification.net can assist you with application revision and handle your denial appeal so that you can be well on your way to obtain your DBE certification.

Our Easy 8a Service Process

  • 1. Free Consultation to determine eligibility, review potential obstacles.
  • 2. Retainer Letter and Non-Disclosure Agreement to protect our client's privacy.
  • 3. Consultation with application checklist preparer. Interviews with Social, Economic and Two-Year Waiver narrative writers.
  • 4. Final review of the application.
  • 5. Answer SBA Business Opportunity Specialist's inquiries.
  • 6. SBA Certification Letter.
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