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DBE Certification in Two Weeks

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Most times when clients ask about about Certifications, the same questions always come up.”How long does it take to get certified?” Normally it would take roughly 3 months for Metro to approve a Business under each certification. This may seem long, but actually is a short time frame compared to other certifications, such as the SBA 8(a) program.

There is however a mostly unknown process that will significantly reduce the approval time line from 3 months to two weeks. Metro, has an option in one of their documents which allows you to expedite the process, if there is a solicitation that has already been publicized. This option may only be marked if there is an actual solicitation which has a DBE or SBE set aside.

In the previous article, I wrote about a friend who was in this exact predicament. He knew of an opportunity coming up with Metro and needed get certified as an SBE in order to become eligible, since the RFP did have an SBE set-aside. We were able to work relentlessly on the application, asked Metro to expedite the application and was approved within two weeks right when the RFP was announced.

In order to become certified via the expedited process, the METRO application needs to be completed, along with all of the necessary supporting documents. Metro will not approve any application until all required documents have been received and verified. The trick in getting the application approved within two weeks, is entirely reliant on the applicant and how soon they can respond to Metro on additional documents if needed.

There is no special formula. All applications are the same and require the same supporting documents. However, the expedited process will allow you to get certified sooner and allow you to bid on opportunities immediately.

 

Paul Mazbanian CEO Small Business Community Consultants, Inc. www.sbclending.com

Paul Mazbanian
CEO
Small Business Community Consultants, Inc.
www.sbclending.com

 

Which Goverment Certifications to apply for first

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 Obtaining a Government Certification for your business can a confusing process. Which certifications to apply for and which ones would benefit you most?

You must first identify with whom you would like to do business with? Have you seen more bids with the Federal or State Governments? Your answer may be either one or both., If so, we recommend you apply for all, however this may be time consuming and although will help you in the long run, may not be an immediate priority.

Let’s assume for a moment that you would benefit from both the Federal and State Certifications. We recommend you apply for the easiest ones first, in order to get in to the game now. This will allow you to begin working on marketing your firm as a certified agency.

Below is a list of Certifications and their complexities:

Federal:

1. SBA’s Women Owned Small Business (WOSB): EASY

    The WOSB is one of the easiest certifications to obtain. This is because it is a designation rather than an actual certificate. Obtaining the WOSB Certification will allow you to bid on the 5% set-asides for those businesses designated as WOSB. The process is EASY because there is not physical application process. The requirements are that you register with the various Government sites and upload documents to the repository self-certifying your firm.

2. Women’s Business Enterprise (WBE): MEDIUM

   The WBE is a certification reserved for Women owned businesses only. It mimics the WOSB certification but is verified by one of 5 SBA approved agencies. This certification has a more complex process than the WOSB because it requires a full application and supporting documentation. Your information will go through a process with the agency and you wil be visited by a representative assuring your business indeed is what you represent. I typically advise our clients to obtain this certification if it is being required by a vendor. A physical certificate is issued to the applicant firm.

3. Minority Business Enterprise (MBE): MEDIUM

   The MBE is a national certification given by the National Minority Supplier Development Council. They are one of the nations leading corporate membership organizations. They match a firms goods and services with those of large corporations who intern purchase your product. Think of it as a club where members help each other by purchasing each others product. This certification includes an application and supporting documentation much like the WBE above.

4. SBA’s 8(a) Business Development Program: DIFFICULT

   The SBA 8(a) program is the most lucrative and most difficult to achieve. There are approximately 7,000 approved 8(a) firms in the country. 23% of all Federal Contracts MUST go to 8(a) certified firms. Secondly, an 8(a) certified firm is eligible for soul source awards which means that once they have built their reputation in the program they may get contracts without even bidding against other 8(a) certified firms. Thirdly, if certified and bidding against a non-8(a) certified firm, you will get a 5% bidding preference giving you an advantage over your competitive bidder. The process may take anywhere between 3-6 months depending on how much information is requested by the SBA. For those looking for the greatest benefit, the 8(a) certification allows you to grow your business significantly.

STATE:

1. Metro’s Disadvantage Business Enterprise: MEDIUM

   The DBE certification is the States premier certification allowing 25% of all state set-asides to be reserved for certified firms. Most people think Metro is the subway and bus systems, but contracts are given to a variety of industries. We have seen them as diversified as ink jet suppliers and marketing. So to think that if you are a service business and don’t qualify think again. Having this certification is a big deal and if obtained will open new doors for you. The process includes an application and supporting documentation to be mailed to the certifying agency. approval can take up to 3 months.

2. Department of General Services Small Business and Disabled Veterans Certification (SB)/(DVBE): EASY

   The Department of General Services serves as the business manager for the State of California. They offer two certifications, the SB and DVBE. Both are online based certifications. Typical certification time can be within a few hours or weeks depending on the type of industry. For instance, service based businesses can be certified very quickly while manufacturing companies need to upload documentation which then needs to be verified by a DGS officer. The DVBE certification is reserved for veterans who are at least 10% disabled and honorably discharged. Documents such as dd214 and discharge papers need to be uploaded.

3. Supplier Clearinghouse Minority Business Enterprise (MBE) Certification: EASY

   Supported by The  California Public Utility Commission (CPUC), which regulates privately owned electric, natural gas, telecommunications, water, railroad, rail transit, and passenger transportation companies. The MBE certification is an online based certification which is fairly easy to do. Certification can take up to 2 weeks depending on the complexity of the applicant.

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Paul Mazbanian SBC Consultants, Inc. www.sbclending.com/ paul@sbclending.com/ 818-551-9400

Paul Mazbanian
SBC Consultants, Inc.
www.sbclending.com/
paul@sbclending.com/
818-551-9400