Five Things You Should Know: Eligibility for Small Disadvantaged Business Self-Certification

The Administration’s recent announcement that it plans to boost Small Disadvantaged Business contracting by 50% means that we may see increased interest by government agencies and large prime contractors alike in doing business with self-certified SDBs.

But my guess is that the Administration’s push will come with additional oversight, too–after all, increasing the goal isn’t worth much if the government cannot be confident that the contracts it counts toward its SDB goals were awarded to eligible entities. In my experience, many contractors check the SDB box in SAM without fully understanding what it takes to be an eligible Small Disadvantaged Business under federal contracting laws.

So before you click that box (or re-click it on your next SAM update) here are five things you should know about eligibility for self-certified SDB status.

Continue reading

Regulatory Update: SBA Moves to Clean Up Small Disadvantaged Business Rules

Last month, the SBA moved to edit its regulations, taking a red pen to its current rules governing Small Disadvantaged Businesses (or SDBs), as described in the Federal Register.

This post will highlight what the new rule will mean for current SDBs—and how businesses can become eligible for SDB subcontractor status under the new rule. While the SDB program is still alive and kicking, the rules will be simplified to eliminate a lot of language that is simply no longer applicable.

Continue reading

SDB Fraud: Subcontractors Pay $1.9 Million Settlement

Five subcontractors and two individuals have paid the government nearly $1.9 million to resolve allegations that they violated the False Claims Act by falsely representing themselves as small disadvantaged businesses.

According to a Department of Justice press release, the subcontractors self-certified as SDBs to their prime contractors, and those self-certifications were then passed on to the government.

Continue reading