8(a) Business Development Program Contracts
The 8(a) Business Development Program is the SBA's premier assistance program for small disadvantaged businesses. Named after Section 8(a) of the Small Business Act, the program offers a nine-year developmental period during which certified firms can receive sole-source contract awards, compete for 8(a) set-asides, and access mentoring and technical assistance to build their federal contracting capabilities.
How the 8(a) Program Works
The 8(a) program provides a structured developmental period for socially and economically disadvantaged business owners. During the first four years (developmental stage), firms receive intensive support including mentoring, management and technical assistance, and access to sole-source contracts. The remaining five years (transitional stage) gradually prepare firms for open market competition.
One of the most significant advantages is the ability to receive sole-source contract awards up to $4.5 million for services and $8 million for manufacturing. Sole-source means no competition — the agency awards the contract directly to the 8(a) firm. For competitive 8(a) set-asides, only other 8(a) firms can bid.
Eligibility Requirements
To qualify, the business owner must demonstrate both social and economic disadvantage. Social disadvantage can be based on race, ethnicity, gender, disability, or long-term residence in an isolated environment. Economic disadvantage requires the owner's personal net worth to be below $850,000 (excluding ownership in the business and primary residence).
The business must be at least 51% owned and controlled by the disadvantaged individual(s), must qualify as small under the relevant NAICS size standard, must demonstrate good character, and must show potential for success with at least two years of operation.
Recent 8(a) Program Opportunities
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Frequently Asked Questions
How long does 8(a) certification take?
The SBA aims to process 8(a) applications within 90 days. However, the process often takes longer due to information requests and verifications. Having complete documentation ready before applying can significantly speed up the process.
What is the sole-source threshold for 8(a) contracts?
Contracting officers can award sole-source contracts to 8(a) firms up to $4.5 million for services and $8 million for manufacturing. Above these thresholds, the procurement must be competed among 8(a) firms or opened to wider competition.
Can I hold 8(a) certification and other SBA certifications simultaneously?
Yes, businesses can hold 8(a) certification concurrently with HUBZone, WOSB, and SDVOSB certifications. Holding multiple certifications expands the pool of set-aside opportunities available to your firm.
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