The federal government of the United States has developed a program called the HUBZone. The aim of this program is to support small businesses to grow that are in historically underutilized business zones. The government has set a goal to award at least 3% of the capital of federal contracts to HUBZone-certified companies each year.
So, therefore, small businesses that are located in the historically underutilized business zones can get into the program to gain competitive advantages and get government contracting opportunities. By fulfilling the eligibility criteria the companies need to qualify in order to get into the HUBZone program. You will need to obtain the HUBZone certification to become a participant in this program. By doing so, you will be able to validate that your company has the potential to do business in the federal market and fulfill the needs of government agencies.
By reading this blog, you will be able to understand the HUBZone program. You will also get to know about the HUBZone certification and the eligibility criteria that your business need to meet.
Know about the HUBZone program
The Historically Underutilized Business Zone program of the U.S. government is known as the HUBZone program in short. The program is run by the Small Business Administration of the United States. So you will need to match the standards of the SBA in order to become an ideal participant in the HUBZone program.
By getting into this program, small businesses that are located in historically underutilized business zones can get preferential access to several government contracting opportunities.
We have already said that the government of the United States has set a goal to award 3% of the capital of all the federal prime contracts to the HUBZone certified companies. So, by meeting the eligibility criteria you will be able to obtain the HUBZone certification.
One beneficial factor is remarkable which is getting set-aside and sole-source contracts from the government agencies. It is because the companies are allowed to bid on government contracts. The HUBZone-certified companies also get price evaluation preferences from the government of the United States. The government limits the competition for certain government contracts to HUBZone-certified companies. You can also get funds from the HUBZone, which is popularly known as the HUBZone grants.
Therefore, you can gain competitive advantages in the federal market by getting into the HUBZone program. Get preferences from the government agencies and sell more products and services by obtaining government contracts.
Qualify Your Business to Obtain The Hubzone Certification
In order to become a participant of the HUBZone program, you will need to obtain the HUBZone certification. Also, in order to obtain the HUBZone certification, you will need to qualify your business by fulfilling the eligibility criteria. In this section of this below, we have mentioned all the eligibility criteria for making your business a HUBZone-certified company.
Your business has to be small in size according to the standards of the Small Business Administration (SBA).
The applicants need to own and control at least 51% of the company.
Business owners must have citizenship of the United States.
Business owners can also belong from specific groups such as a community development corporation, an agricultural cooperative, an Alaska Native corporation, an Indian tribe, and a native Hawaiian organization.
The principal office of your business has to be located in the Historically Underutilized Business zones.
35% of employees of such a business should be living in the HUBZones.
If your business has these characteristics then you can obtain the HUBZone certification.
Understand the concept of HUBZone grants & HUBZone contracts
So now you know that the government of the United States has developed a program called the HUBZone to support small businesses that are located in underutilized business zones.
In order to meet this goal, the government is providing HUBZone grants to the HUBZone-certified companies. The program is also providing funds to certified companies. Along with all these, the government is also providing specific kinds of federal contracts to the HUBZone certified companies which are known as HUBZone government contracts or HUBZone federal contracts. The government also limits the competition for such companies.
By combining all these beneficial factors, a company gets enough support from the U.S. government through the HUBZone program. As a result, it becomes easier for the companies to move ahead at a faster pace by acquiring HUBZone government contracts or HUBZone federal contracts.
Conclusion
Hopefully, the information has helped you get a clear concept of the program. Now it is your time to get into the HUBZone program to gain a competitive advantage.
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