Why Should Your Small Business concern pursue a Federal Service-Disabled Veteran Owned Small Business (SDVOSB) certification?

SDVOSB certificationDid you know that last year the U.S. Federal Government purchased $16.34 Billion in goods and services from 8,900 federally certified SDVOSB small business concerns? The objective of the Service-Disabled Veteran-Owned Small Business (SDVOSB) Procurement Program is to provide federal government procuring agencies the authority to set acquisitions aside for exclusive competition among service-disabled veteran-owned small business concerns, as well as the authority to make sole source awards to these if certain conditions and requirements are met. (See Code of Federal Regulations (CFR) 13 C.F.R. § 125.8-125.10).

 Program Eligibility

In order to be eligible for the SDVOSB, you and your business MUST meet the following criteria:

  • The Service Disabled Veteran (SDV) must have a service-connected disability that has been determined by the Department of Veterans Affairs or Department of Defense
  • The SDVOSB must be small under U.S. Government NAICS code assigned to the procurement
  • The Service-Disabled Veteran (SDV) must unconditionally own 51% of the SDVOSB
  • The Service-Disabled Veteran Owner (SDVO) must control the management and daily operations of the SDVOSB
  • The Service-Disabled Veteran must hold the highest officer position in the SDVOSB

Service Disabled Veteran Owner Business Control

Per the SBA, to be an eligible SDVOSB the following terms and conditions must be met:

  • The management and daily business operations of the concern must be controlled by one or more service-disabled veterans. Both the long-term decision making and the day-to-day management and administration of the business operations must be conducted by one or more service-disabled veterans.
  • Service-disabled veteran means a veteran with a disability that is service-connected.
  • Ownership must be direct. Ownership by one or more service disabled veterans must be direct ownership.

Certified SDVOSB firms qualify for:

  1. Sole source contracting opportunities:
    1. Sole Source Contracts
      • The SBA states that a Contracting Officer (CO) may award a sole source contract if:
        1. The requirement is not exempted from SDVO contracting and cannot be set-aside.
        2. The CO does not have a reasonable expectation that at least two responsible SDVO SBCs will submit offers.
        3. The anticipated award price of the contract, including options, will not exceed:
          • $6.5M for manufacturing requirements
          • $4.0M for all other requirements.
        4. Award can be made at a fair market price.
  2. Simplified Acquisition Threshold:
    If the requirement is at or below the simplified acquisition threshold, the Contracting Officer may set-aside the requirement for consideration among SDVOSBs using simplified acquisition procedures or may award a sole source contract to a SDVOSB. A sole source award is only permissible where there is only one Service Disabled Small Business Concern that performs the contract in accordance with Federal Acquisition Regulations § 19.406 (a)(3).

The SDVOSB Certification is laborious and paper intensive! Fortunately, Rafael Marrero & Company takes the headache out of the SDVOSB application process!

SDVOSB certification

  1. Call us today for a FREE Initial consult at 888-595-6221 to check if your firm qualifies for this special small business development program.
  2. Schedule a FREE initial one-on-one consult with our award-winning founder and CEO, Rafael Marrerohttps://calendly.com/rafaelmarrero
  3. Email us for a FREE FACT SHEETinfo@rafaemarrero.com