If the SBA approves a business’ 8a application, the company can unlock several benefits that would otherwise be unavailable, leading to increased business opportunities. The benefits of 8a certification are clear: they can be life-changing for businesses. This explains why there is so much hype around the certification in the first place.
If you are an experienced small business owner who is economically and socially deprived, the 8(a) program can help expand your presence in the federal marketplace. All in all, 8a certification offers many advantages to businesses looking to expand their operations. With its streamlined bureaucracy and access to resources and guidance, the program can be a powerful tool for any small business looking to break into the world of government contracting.
In this article, we will go through five primary benefits of having 8a certification. So, Let’s get going!
What Is an 8(a) Certification?
The 8(a) program is a nine-year business development initiative that helps firms owned by socially and economically disadvantaged individuals become more competitive in the American economy. The businesses receive training and technical assistance to help them be successful.
The 8(a) section of the United States Small Business Act authorizes the Small Business Association (SBA) to establish the 8(a) Business Development program, which gives small disadvantaged businesses a chance to get government contracts.
Usually, the 8(a) certification is a nine-year plan to help businesses run by individuals who are socially and economically disadvantaged. The program typically consists of four years of working on development and five years of transitioning.
A firm that holds 8(a) certification is presently enrolled in the 8(A) Business Development program. Being a part of this program demonstrates that the company is diverse and provides many opportunities to help them compete against others in its market.
Top 5 Benefits of 8a Certification
The 8(a) program provides business assistance that cannot be found elsewhere. While the 8(a) certification does not promise government contracts, it is a powerful tool to use when pursuing new opportunities from governmental entities. Here are the top 5 benefits you can get from 8a certification;
1. A Chance to Learn From and Be Guided by a Successful Business
The 8(a) program offers the chance for an experienced and successful mentor to guide you. The SBA will pair you with a mentor with experience in the same field as your business. It is up to you to take full advantage of this partnership and learn from their experiences.
Professional – 8a applicants are assigned a mentor with experience in the business world. This helps to provide guidance on how to run and grow their business and pointers on what pitfalls to avoid.
The SBA Mentor-Protégé program gives you helpful advice for your business and allows you to bid on contracts as a team with an already successful business. This way, you have the potential to obtain larger contracts and expansion for your company. It also gives you a chance to learn from an established business and receive practical guidance.
2. Less Bureaucracy
When you are dealing with government contracts, there is often a lot of bureaucracy. With 8a certification, the process is streamlined and much more straightforward. It allows you to focus on what matters most – running your business.
When contractors use only 8a-certified firms, it decreases or gets rid of the bureaucratic formality associated with federal contracting. That way, company heads can focus on managing their enterprise instead of wasting time fussing over paperwork.
3. Joint Venture and Mentor Protégée Programs
8a certification gives you the opportunity to form joint ventures with other 8a-certified firms. Through this, companies can work together on a project and share resources. This way, two or more businesses can collaborate on a new contract and bid as one entity.
In addition, the SBA Mentor-Protégée Program allows 8a-certified firms to join forces with larger, more established businesses. This gives the smaller business an opportunity to be mentored and gain access to resources that would otherwise not be available to them.
4. Potential for Long-Term Contracts
When 8(a) businesses receive contracts, there is potential for long-term agreements. This is beneficial because it allows the business to create a steady revenue stream, which can allow them to invest in its future and expand operations.
Moreover, 8(a) certification can provide the opportunity for businesses to bid on larger and more lucrative contracts. This is because a certain degree of trust comes with having 8(a) status.
5. Tools to Help Your Business Grow
The 8(a) program’s objective is to boost the skills necessary for individuals to participate in the American economy. The 8a program provides businesses with a number of benefits that can help them grow. Business owners receive counseling, technical assistance, and access to capital, training, and other resources.
These tools can be used to create a business plan, develop marketing strategies and implement new initiatives. In addition, the SBA offers financial assistance in the form of grants, loans, and loan guarantees.
Valet Works – #1 8A Contractor
Valet Works 8a contractor are the perfect partner for any business that needs to break into the world of federal contracting. We can help you get certified in no time, so you can begin taking advantage of all the benefits 8a has to offer. We’ll guide you through the process and ensure all requirements are met so your small business can take advantage of this great opportunity.
Contact us today and see what we can do for you!