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| Real Estate Professionals | Business Certifications | ||||||||||||||||||||||||||||||
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Frequently Asked Questions
About Business Certifications SMALL BUSINESS: To determine if your company is a small business, identify the applicable North American Industry Classification System (NAICS) category that fits your organization. Once you have identified the NAICS category that describes your business, check the size standard that is listed for that category to determine if you fit into the small business definition. Small Business Administration Offices located in each state can assist you in determining the NAICS category that best fits your business and understanding the size standards. Go to www.sbaonline.sba.gov/regions/states.html and click on "Local Resources." Then click on your state to find the nearest SBA office. A list of the categories which are frequently used by subcontractors and vendors to Southwest Alliance are below:
SMALL DISADVANTAGED BUSINESS: To determine if your company is a small disadvantaged business, your business must be owned by one or more disadvantaged individuals with a net worth of each person, upon whom the certification is based of $750,000 or less, taking into account the exclusions allowed by the federal government. The Small Business Administration Offices located in each state can assist you in understanding the criteria for small disadvantaged businesses. To locate the nearest SBA office to you, go to www.sbaonline.sba.gov/regions/states.html and click on "Local Resources," then your state. VETERAN-OWNED BUSINESS: A veteran-owned business is one that is 51 percent or more owned by one or more veterans, and the management and daily business operations of which are controlled by one or more veterans. If you have an " other than dishonorable discharge" from the U.S. Armed Services, or, for National Guard or Reservists, were activated to Federal Duty, you have veteran status. SERVICE-DISABLED VETERAN-OWNED BUSINESS: A service-disabled veteran- owned business is a small business that is owned, operated and controlled by (1) one or more service-disabled veterans, or (2) in the case of a publicly-owned business, 51 percent of the stock of the company is owned by one or more service- disabled veterans, or (3) in the case of a veteran with permanent and severe disability, the spouse or permanent caregiver of such veteran. A service-disabled veteran means a veteran with a disability that is service-connected. There is no minimum disability rating required for this certification. Go to www.vetbiz.gov/library/eligible.htm for information on eligibility criteria. HUBZONE QUALIFIED BUSINESS: To qualify as a HUBZone business, a business must be a small business by SBA size standards (see small business section above), its principal office must be located within a HUBZone, 35 percent or more of its employees must reside in a HUBZone, and it must be owned and controlled by one or more U.S. citizens. To locate a HUBZone in your area, go to www.sba.gov/hubzone and click on "Are You in a HUBZone" and search the system by state, county or a specific address. WOMAN-OWNED BUSINESS: For certification as a woman-owned business by the Women’s Business Enterprise National Council (WBENC) through its 14 regional affiliates, a business must be at least 51 percent owned, operated and controlled by one or more women of U.S. citizenship. Proof of effective management of the business (operating position, by-laws, and other decision-making role) is required as well as proof of control of the business as evidenced by signature role on loans, leases and contracts. You are not required to be a small business to be certified as a woman-owned business. Contact the Women’s Business Enterprise National Council at www.wbenc.org for instructions on their online application process and a list of the14 regional certification organizations which handle certification in the 50 states. MINORITY-OWNED BUSINESS: For certification as a minority-owned business by the National Minority Supplier Development Council (NMSDC) through its 39 regional affiliates, a business must be at least 51 percent owned, operated and controlled by minority group members who are U.S. citizens and who demonstrate the capability to perform a line of business and provide a commercially useful business function according to customs and practices of the industry. The controlling interest in a company represented to be minority- owned must be citizens of the U.S. who are Black (origin from any of the Black racial groups of Sub-Sahara Africa); Hispanic (origin from Latin America. Mexico, Puerto Rico, Cuba, Central and South American, or Hispanic cultures or descents); Native American (origin from any of the American and Alaskan Indian, Eskimo, Aleut, or Native Hawaiian tribes or bands . . . all American and Alaskan Indians must be documented members of a federally recognized tribal entity); Asian-Pacific (origin from Japan, China, the Philippines, Vietnam, Korea, Samoa, Guam, Laos, Cambodia, Taiwan, Thailand, Indonesia, and the U.S. Trust Territories of the Pacific or the Northern Marianas); or Asian-Indian (origin is from India, Pakistan or Bangladesh). You are not required to be a small business to be certified as a minority-owned business. Contact the National Minority Supplier Development Council (NMSDC) at www.nmsdcus.org for instructions on online certification through one of their 39 regional affiliates which handle certification in the 50 states and Puerto Rico. DISABLED BUSINESS ENTERPRISE: A Disabled Business Enterprise is any for-profit business, regardless of size, located in the U.S. or its trust territories, that is at least 51 percent owned, operated and controlled by an individual(s) with a permanent mental or physical impairment that substantially limits one or more of the major life activities and which has a significant negative impact on the company’s ability to successfully compete. The ownership and control shall be real and continuing and not created solely to take advantage of special or set-aside programs aimed at supplier diversity. Due to the absence of a certifying agency for this category of business owners, the owner must complete an affidavit and provide supporting documentation to be eligible for consideration as a Disabled Business Enterprise. Contact businesscertifications@southwestalliance.com for the affidavit packet. NOTE: In addition to the certifying organizations listed above, many states also provide certification as minority-owned or woman-owned businesses. State certifications may often be obtained through a State Department of Commerce, State Economic Development Agency, or State Small Business office. Please visit your state’s web site for information on state business certifications.
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