Small Business Act of 1953, as amended, Section 8(a), 15
U.S.C. 634(b)(6), 636(j), 637(a) and (d); Public Laws 95-507 and 99-661,
Section 1207; Public Laws 100-656 and 101-37.
To foster business ownership by individuals who are both
socially and economically disadvantaged; and to promote the competitive
viability of such firms by providing business development assistance
including, but not limited to, management and technical assistance, access to
capital and other forms of financial assistance, business training and
counseling, and access to sole source and limited competition Federal contract
opportunities, to help the firms to achieve competitive viability.
TYPES OF ASSISTANCE:
Provision of Specialized Services. Place Cursor Here for Definition
USES AND USE RESTRICTIONS:
This program utilizes authority provided to SBA under Section 7(j) and 8(a) of
the Small Business Act to enter into procurement contracts with other Federal
agencies and to subcontract the performance of these contracts to eligible
program participants, and to provide access to capital and other forms of
financial assistance, and to provide business training and counseling.
ELIGIBILITY REQUIREMENTS:
Applicant Eligibility: Firms applying for 8(a)
program participation must meet certain requirements which include, but are
not limited to: (a) Status as a small business; (b) at least 51 percent
unconditional ownership, control and management of the business by an American
citizen(s) determined by SBA to be socially and economically disadvantaged, or
by an economically disadvantaged Indian Tribe, Alaska Native Corporation, or
Native Hawaiian Organization; and (c) demonstrated potential for success.
Absent evidence to the contrary, the following individuals are presumed to be
socially disadvantaged: African Americans, Hispanic Americans, Native
Americans, Asian Pacific Americans and Subcontinent Asian Americans.
Individuals who are not members of the named groups may establish their social
disadvantage on the basis of a preponderance of evidence of personal
disadvantage stemming from color, national origin, gender, physical handicap,
long- term residence in an environment isolated from the American society, or
other similar cause beyond the individual's control. Economic disadvantage
must be demonstrated on a case-by-case basis.
Beneficiary Eligibility: Socially and
economically disadvantaged individuals and businesses owned and operated by
such individuals; economically disadvantaged Indian tribes including Alaskan
Native Corporations and economically disadvantaged Native Hawaiian
organizations.
Credentials/Documentation: Documentation to
establish that all program eligibility criteria are met.
Pre-application Coordination: None. This program is
excluded from coverage under E.O. 12372.
Application Procedure: Written application to SBA
offices listed in Appendix IV of the Catalog, Division of Program
Certification and Eligibility. Application forms, detailed instructions, and
if necessary, assistance in completing application is available at SBA
District offices and on SBA's home page at http://www.sba.gov.
Award Procedure: Applicant is notified of program
participation approval or decline by a letter from the SBA headquarters
office. Broad range of business development assistance, including procurement,
and access to capital and other forms of financial assistance and business
training and counseling is provided to approved program participants.
Deadlines: Applications for program participation
are accepted on an ongoing basis.
Range of Approval/Disapproval Time: Approximately
90 days.
Appeals: Within 45 days of the date of decline
letter, applicant has right to request that the decision be reconsidered. For
applications declined solely on the basis of negative finding with regard to
social disadvantage, economic disadvantaged ownership or control of business
by socially or economically disadvantaged individuals, the applicant within 45
days of the date of the decline letter or reaffirmation of decline, has a
right to appeal the decision to the SBA's Office of Hearing and Appeals.
Renewals: Not applicable.
ASSISTANCE CONSIDERATIONS:
Formula and Matching Requirements: Not applicable.
Length and Time Phasing of Assistance: Maximum of
9 years.
POST ASSISTANCE REQUIREMENTS:
Reports: Annual business financial statements;
annual business plan update; annual personal financial statements for each
disadvantaged owner; annual certification of continuing compliance with
program eligibility criteria; records of all payments, compensation and
distributions made by the participant firm to each of its owners or to any
person or entity affiliated with such owners; and other reports deemed
necessary by SBA.
Audits: Program participation audits as needed to
evaluate progress. Contract audits as and when required by Federal Acquisition
Regulations.
Records: Standard business/accounting records.
FINANCIAL INFORMATION:
Account Identification: 73-0100-0-1-376.
Obligations: (Salaries and Expenses) FY 01
$4,583,000; FY 02 est $4,077,000; and FY 03 est $4,563,000.
Range and Average of Financial Assistance: Not
applicable.
In fiscal year 2001, 32,091 contract actions valued at approximately $6.59
billion were awarded to companies participating in the program.
REGULATIONS, GUIDELINES, AND LITERATURE:
SBA Rules and Regulations, 13 CFR Section 124, SOP 80-05-02.
INFORMATION CONTACTS:
Regional or Local Office: Initial contact should be
made with the field offices listed in Appendix IV of the Catalog.
Headquarters Office: Associate Administrator for
8(a) Business Development, Small Business Administration, 409 Third Street,
SW., Washington, DC 20416. Telephone: (202) 205-6421.
