Visit us online: www.sba.gov/ma32 — Small Business Resource MASSACHUSETTS

TThhee ffeeddeerraall ggoovveerrnnmmeenntt iisstthhee llaarrggeesstt ppuurrcchhaasseerr ooffggooooddss aanndd sseerrvviicceess iinn tthheewwoorrlldd.. However, small businessesface challenges when trying to winfederal contracts. The SBA can helpsmall businesses work through thesechallenges. Working closely withfederal agencies and the nation’sleading large contractors, the SBAworks to ensure that smallbusinesses obtain a fair share ofgovernment contracts andsubcontracts. The SBA has a numberof programs to help small firms dobusiness with the federalgovernment.For more information, visit:www.sba.gov/gc

THE PRIME CONTRACTS PROGRAMThrough the Prime Contracts Program,

the SBA helps to ensure small businessesget fair opportunities to share federalgovernment prime contracts. SBAprocurement center representatives workto expand contracting opportunities forsmall businesses. PCRs review contractingstrategies and actions, to identify contractsfor which small businesses can compete. Visit the SBA’s Office of Government

Contracting home page at: www.sba.gov/gcfor a listing of PCRs and buyinginstallations nationwide.

THE SUBCONTRACTINGASSISTANCE PROGRAM The Subcontracting Assistance Program

promotes maximum use of smallbusinesses by the nation’s large primecontractors. The SBA’s commercial marketrepresentatives work with large businesses

to identify and expand subcontractingopportunities for small businesses. CMRsconduct compliance reviews to ensure thatlarge businesses comply with smallbusiness subcontracting requirements.They also provide guidance to assist smallbusinesses in identifying subcontractingopportunities and marketing their productsand services to these large contractors. CMRs also work with agencies to ensure

subcontracting with small and small,disadvantaged businesses, women-ownedsmall businesses, HUBZone firms andsmall businesses owned by service-disabled veterans through inclusion ofsubcontracting evaluation factors and sub-factors.

THE CERTIFICATE OFCOMPETENCY PROGRAM The Certificate of Competency program

allows a small business to appeal acontracting officer's determination that it isunable to fulfill the requirements of a

specific government contract on which it isthe apparent successful offeror. The SBAwill conduct a detailed review of the firm’stechnical and financial capabilities toperform on the contract. If the businessdemonstrates the ability to perform, theSBA issues a certificate of competency tothe contracting officer, requiring award ofthat contract to the small business.

SMALL BUSINESS SIZE STANDARDSThe Small Business Act states that a

small business concern is “one that isindependently owned and operated andwhich is not dominant in its field ofoperation.” The law also states that indetermining what constitutes a smallbusiness, the definition will vary fromindustry to industry to reflect industrydifferences accurately. The SBA’s SmallBusiness Size Regulations (13 CFR Part 121,www.sba.gov/size/indextableofsize.html)

CONTRACTING OPPORTUNITIES

FEDERAL PROCUREMENTOPPORTUNITIESHow to Apply for Government Contracts

Visit us online: www.sba.gov/ma MASSACHUSETTS Small Business Resource — 33

implement the Small Business Act’smandate to the SBA. The SBA has also established a table of

size standards, matched to North AmericanIndustry Classification System industries,used to determine eligibility for SBAprograms and small business preferencesfor federal government contracts. See more at: http://www.sba.gov/services/,

then click on “Size Standards” under the“Contracting Opportunities” menu acrossthe bottom.

Size DeterminationThe Size Determination Program,

administered by SBA’s six governmentcontracting area offices, ensures that onlysmall firms receive contracts and otherbenefits reserved exclusively for smallbusinesses. When a firm’s claim that it issmall is challenged, the SBA determines ifthe firm, including all of its affiliates, meetsestablished SBA size standards. Sizedeterminations may also be made whenrequested in connection with other federalsmall business programs.Additional information is available at the

above “Size Standards” site.

SMALL BUSINESS VENDORDATABASEThe SBA works with the integrated

acquisition community to provide adatabase of vendors, including smallbusinesses. The Central ContractorRegistration System is the primary gatewayvendor and grantee database for the federalgovernment. CCR collects, stores anddisseminates data to support agencyacquisition and grants missions. Bothcurrent and potential federal governmentvendors and grantees are required toregister in CCR to receive federal contractsor grants. Vendors are required to completea one-time registration to provide basicinformation relevant to procurement, grantand financial transactions. Vendors must update or renew their

registration at least once a year to maintainan active status. The SBA provides the CCRwith authoritative source informationregarding certifications under 8(a) BusinessDevelopment and HUBZone programs andprovides the small business size statusagainst each North American IndustryClassification code listed in a registrant’sprofile.SBA maintains the Dynamic Small

Business Search function of the CCR.Businesses profiled on the DSBS can besearched by NAICS codes, keywords,

location, quality certification, bonding levelbusiness type, ownership, SBA certification,and by women, minority, veteran andservice-disabled veteran ownership. TheDSBS serves as a marketing tool for smallbusinesses because the business profiles inthe DSBS include information from SBA’sfiles and other available databases plusadditional business and marketinginformation on individual firms.To search the DSBS for small businesses,

click on: http://dsbs.sba.gov/dsbs/search/dspdsbs.cfm or select the “Dynamic SmallBusiness Search” at the CCR Web site at:http://www.ccr.gov.Registration in the DSBS is through the

CCR. For more information on CCR, or toregister, click the CCR Web site. Beforeregistering in CCR, go to the top of the Webpage and download the handbook whichcontains data for a successful registration.

HUBZONE PROGRAMThe Historically Underutilized Business

Zone Program stimulates economicdevelopment and creates jobs in urban andrural communities by providing federalcontracting assistance to small businesses.

The HUBZone program establishespreferences for award of federal contractsto small businesses located in historicallyunderutilized business zones. In general, small businesses may obtain

HUBZone certification by employing staffwho live in a HUBZone and maintaining a“principal office” in one of these speciallydesignated areas.SBA is responsible for:• Determining whether or not individual

concerns are qualified HUBZone smallbusiness concerns, and therefore eligibleto receive HUBZone contracts;

• Maintaining a list of qualified HUBZonesmall business concerns for use byacquisition agencies in awardingcontracts under the program; and

• Adjudicating protests and appeals ofeligibility to receive HUBZone contracts.

To qualify for the program, a businessmust meet the following criteria:• It must qualify as a small business under

SBA size standards, corresponding to itsprimary industry classification;

• Its principal office must be located withina HUBZone, which includes lands onfederally recognized Indian reservationsand covered by the phrase “IndianCountry”;

Visit us online: www.sba.gov/ma34 — Small Business Resource MASSACHUSETTS

• It must be owned (at least 51 percent) byone or more U.S. citizens, CommunityDevelopment Corporation, anagricultural cooperative, an Indian tribe;and

• At least 35 percent of its employees mustreside in a HUBZone.

Existing businesses that choose to moveto qualified areas are eligible. To fulfill therequirement that 35 percent of a HUBZonefirm’s employees reside in a HUBZone,employees must live in a primary residencewithin that area for at least 180 days or be acurrently registered voter in that area. For additional information regarding

the HUBZone Program, please visit: http://www.sba.gov/services/contractingopportunities/contracting/hubzone/index.html/.

REVITALIZING ECONOMICGROWTH Boston was selected to participate in

SBA's Emerging 200 initiative, a jobs andgrowth stimulation effort targetingpromising inner-city businesses. The SBAinitiative focuses on small, poised-for-growth inner-city companies with apotential for job creation. Thecomprehensive e200 curriculum provideswinning expansion strategies to helpparticipants explore options for capitalinvestment and take advantage ofcontracting opportunities. Participantshave the opportunity to work withexperienced mentors, attend workshopsand develop connections with banks andthe private equity community.

ee220000 PPaarrttiicciippaannttss

AA..JJ.. CClleeaanniinnggAlvera PayneDorchester, MA

AAmmeerrii--pprriinntt NNeettwwoorrkk,, IInncc..Vincente LozadaMedford, MA

AAuuddiisssseeyy GGuuiiddeessRobert PylesEast Boston, MA

BBaalllloooonn CCiittyy ooff BBoossttoonn,, IInncc..Christine BernsteinEast Boston, MA

BBoossttoonn GGrreeeenn BBuuiillddiinngg,, IInncc..Eric JohansmeyerAllston, MA

CChhaann IInnssuurraannccee AAggeennccyy,, IInncc..Frank ChanBoston, MA

CClliiffff && SSoonnss EElleeccttrriicc CCoonnttrraaccttoorrss,, IInncc..Tresa Owens-PowellDorchester, MA

CCoottttoonnffiieelldd,, LLLLCCYeumei ShonAllston, MA

FFiirree CCooddee DDeessiiggnn,, LLLLCCRonnette Taylor-LawrenceBoston, MA

FFoorrttuunnaattoo && AAssssoocciiaatteessArlene FortunatoBoston, MA

MMaassssaacchhuusseettttss LLooccaall TTeelleepphhoonnee CCoo..,, IInncc..Dexter MillerDorchester, MA

MMSSSS BBuussiinneessss MMaannaaggeemmeenntt,, IInncc..Pat SheltonRoxbury, MA

OOnnyyxx SSppeeccttrruumm TTeecchhnnoollooggyyAdrienne BentonRoxbury, MA

PPeenniinnssuullaa ooff BBoossttoonn,, IInncc..Joseph O'NeillBoston, MA

RRaarree FFiinndd CCoonnttrraaccttiinngg,, IInncc..Becky HobbsRoxbury, MA

SSiiggnnaall GGrraapphhiiccssGregory SalvucciAllston, MA

ttCCooggnniittiioonnManoj ShindeBoston, MA

TThhoommaass CCoonnssttrruuccttiioonn CCoommppaannyy,, IInncc..Frank ThomasDorchester, MA

TTuummmmyyTTooyyssMelissa TylerEast Boston, MA

VViiccii SSllaayymmaann AAssssoocciiaatteess,, LLLLCCBoyce SlaymanBoston, MA

ASSISTANCE FOR SMALL ANDDISADVANTAGED BUSINESSES8(a) Business DevelopmentProgramThe SBA’s Section 8(a) Business

Development Program provides variousforms of assistance (management andtechnical assistance, financial assistance,government contracting assistance andadvocacy support) to foster the growth anddevelopment of businesses owned and

controlled by one or more socially andeconomically disadvantaged individuals.SBA assists these businesses, (during anine-year tenure in the 8(a) BusinessDevelopment Program), to gain access tothe resources necessary to develop theirbusinesses and improve their ability tocompete in the mainstream of theAmerican economy.Business development assistance

includes one-to-one counseling, trainingworkshops, and other management andtechnical guidance required to expand intothe federal government contracting arena.The SBA enters into contracts with other

federal agencies and subcontracts theperformance of such contracts to eligible8(a) program participants.

Eligibility Criteria:To participate in the 8(a) program, abusiness must be:• a small business concern• owned by one or more U.S. citizens• at least 51 percent unconditionally owned

and controlled by one or more anindividual(s) who qualify as socially andeconomically disadvantaged

• established for two full years beforeapplying (or qualifying for a waiver ofthe two-year rule)

Social disadvantage:Socially disadvantaged is defined as

individuals who have been subjected toracial or ethnic prejudice or cultural biasbecause of their identity as a member of agroup without regard to their individualcapabilities. The following individuals arepresumed to be socially disadvantaged:Black Americans, Native Americans,Hispanic Americans, Asian PacificAmericans and Subcontinent AsianAmericans. An individual who is not amember of one of the groups presumed tobe socially disadvantaged must establishindividual social disadvantage by apreponderance of the evidence. Anyonemay apply for 8(a) Program certification.For additional information regarding

evidence of social disadvantage, pleasevisit: http://www.sba.gov/aboutsba/sbaprograms/8abd/index.html.

Economic disadvantage:Economically disadvantaged individ-

uals are socially disadvantaged individualswhose ability to compete in the free-enterprise system has been impaired due todiminished capital and credit opportunitiesas compared to others in the same orsimilar line of business who are not sociallydisadvantaged.

Visit us online: www.sba.gov/ma MASSACHUSETTS Small Business Resource — 35

Net worth:For initial 8(a) Program certification, the

net worth of an individual claimingdisadvantage, must be less than $250,000.For continued 8(a) Program eligibility afteradmission, net worth must be less than$750,000. In determining such net worth,SBA will exclude the ownership interest inthe applicant business and the equity in theprimary residence.

Day-to-Day Management: • Management and daily business

operations must be controlled by thedisadvantaged individual(s) upon whomeligibility is based.

• The individual(s) must havemanagement or technical expertise.

For additional information on the 8(a)Business Development Program, visit:http://www.sba.gov/aboutsba/sbaprograms/8abd/index.html.

Small Disadvantaged BusinessCertificationsTo qualify as a small disadvantaged

business, a firm must be owned andcontrolled by one or more individuals whoare socially and economicallydisadvantaged. Congress has directed thatindividuals who are members of certainethnic groups are presumed to bedisadvantaged. Other persons, includingwomen and persons of any race, can alsoqualify by establishing their disadvantagedstatus. Firms seeking to be SDB-certified may

certify themselves for federal primecontracts and federal subcontracts withoutsubmitting any application to SBA for SDBcertification.

To self-represent as small disadvan-taged businesses, firms should:1) Update their Central Contractor

Registration (CCR) profile, ensuring theyselect they are a self-certified SmallDisdavantaged Business; and

2) Update their company's OnlineRepresentation and CertificationApplication - specifically, the FederalAcquisition Regulation clause at 52.219-1(b)(2), entitled “Small disadvantagedbusiness concern,” and check the boxindicating they are a self-certified SDB.

Other than its list of certified 8(a) firms,SBA will no longer maintain a list ofcertified SDB firms. The 8(a) BusinessDevelopment Program is not affected bythis rule. Firms may continue to apply on-line for 8(a) Certification.

Applying Online For 8(a) ProgramCertificationPrior to applying for the 8(a) Program, eachfirm is urged to take an on-line training and self-evaluation course. To get to the course,click on www.sba.gov, then choose thedrop-down menu “Services.” Click on“Contracting Opportunities For SmallBusiness Owners,” then open the “SBAProgram Office” listing underneath “LocalResources” on the right-hand column.From there, click on 8(a) Business Dev.Then from the center area, click on “Applyfor 8(a) Business Development ProgramCertification. The first section of the onlinecourse explains the 8(a) Program in detail,ending in an eligibility self-assessment test.The test consists of a series of simple yes orno questions that evaluate the degree towhich your firm meets the basicqualifications for the 8(a) Program. If youmeet the basic eligibility criteria, you willbe allowed to apply immediately for the8(a) Program via the electronic on-linesystem. If key eligibility criteria are not met,you will be directed to the SBA resourcedeemed most appropriate to help you atthis time. If you would still prefer at thistime to apply using the electronic system,please send an e-mail to BDMIS@sba.govfor further guidance and assistance. Theaverage processing time for an electronicapplication is ninety days.

Paper Applications for 8(a) BDProgram CertificationFor a paper application, simply send awritten request to:

UU..SS.. SSmmaallll BBuussiinneessss AAddmmiinniissttrraattiioonnAssociate Administrator for BusinessDevelopmentOffice of Business Development 409 Third St., S.W., 8th Fl.Washington, DC 20416 A paper application will be forwarded to

you. Please complete the paper applicationand return it to the above address. Data inyour application will be retyped in theelectronic system, printed out, and sentback to you for verification. If any errors arefound, you must return the application tothe SBA with the corrections. They will beentered into the on-line application, andanother paper copy will be sent to you forverification. This process will continue untilthe application contains no errors. At thattime, please sign and return the completedapplication to the SBA for processingwithin the 90-day timeframe.

The Mentor-Protégé Program for8(a) ParticipantsThrough the SBA’s Mentor-Protégé

Program, 8(a) Program participants canreceive in-depth business advice to assistthem in becoming more competitive inobtaining federal government contracts.The SBA’s Mentor-Protégé Programencourages private-sector relationships andbroadens efforts to address the needs ofclients in the 8(a) Program.If you are an 8(a) participant, mentors

can provide you with technical andmanagement assistance, financialassistance in the form of equity investmentsor loans, subcontract support, andassistance in performing prime contractsthrough joint-venture arrangements with8(a) businesses. For more information, visit:

http://www.sba.gov/aboutsba/sbaprograms/8abd/mentorprogram/index.html.

MANAGEMENT ANDTECHNICAL ASSISTANCESBA’s Section 7(j) Management and

Technical Assistance Program authorizesthe SBA to enter into grants, cooperativeagreements and contracts with public orprivate organizations to pay all or part ofthe cost of technical or managementassistance for individuals or concernseligible for assistance under sections: 7(a)(11), 7(j) (10), or 8(a) of the Small BusinessAct. Specifically, the following are eligibleto receive management and technicalassistance including businesses whichqualify as small under 13/CFR part 121 ofthis title: concerns located in urban or ruralareas with high proportions ofunemployed or low-income individuals, orwhich are owned by such low-incomeindividuals; and businesses eligible toreceive 8(a) contracts.The types of assistance available to

eligible individuals through theManagement and Technical AssistanceProgram include counseling and training inthe areas of:• Finance• Management• Accounting• Bookkeeping• Marketing and presentation analysis• Advertising• Loan packaging• Proposal bid preparation• Feasibility studies• Industry specific technical assistance• The identification and development of

new business opportunities

Visit us online: www.sba.gov/ma36 — Small Business Resource MASSACHUSETTS

More information is at:http://www.sba.gov/aboutsba/sbaprograms/8abd/grantinfo/index.html.

SERVICE-DISABLED,VETERAN-OWNED SMALLBUSINESSIn 1999, public law established federal

procurement opportunities for veteransand service-disabled veterans. In 2003, theSmall Business Act establishedprocurement vehicles for small businessesowned and controlled by service-disabledveterans.Contracting officers may award a sole-

source or set-aside contract to a smallbusiness owned by a service-disabledveteran if: • The business is a responsible contractor

able to perform the contract, and thecontracting officer does not reasonablyexpect two or more small businessesowned and controlled by service-disabled veterans will submit offers.

• The anticipated award price of thecontract (including options) won’t exceed$5.5 million in case of a contractopportunity assigned a North AmericanIndustry Classification System code formanufacturing; or

• $3.5 million in the case of any othercontract opportunity;

• In the estimation of the contractingofficer, the contract award can be made ata fair and reasonable price.Additionally, a contracting officer may

set aside contracts for competitionrestricted to small business concernsowned and controlled by service-disabledveterans if the contracting officerreasonably expects two or more smallbusinesses owned and controlled byservice-disabled veterans will submit offersand that the award can be made at a fairmarket price.Veterans and service-disabled veterans

may participate in all SBA procurementprograms. To determine your eligibility,contact your local veterans businessdevelopment officer in your nearest SBAdistrict office, visit the various programWeb sites or contact the SBA’s Office ofVeterans Business Development atwww.sba.gov/vets.

SMALL BUSINESSINNOVATION RESEARCH PROGRAM The SBIR Program encourages small

businesses to explore their technologicalpotential by reserving a specific percentageof federal research and development fundsfor small businesses. The program serves

to fund the critical startup anddevelopment stages for a technology andencourages commercialization of thetechnology, product or service. In turn, thisstimulates the U.S. economy.

SBIR Requirements: Small businesses must meet the

following eligibility criteria to participate inthe SBIR program. • Be 51 percent owned and controlled by

one or more individuals who are U.S.citizens or permanent resident aliens inthe U.S. or be a for-profit businessconcern that is at least 51 percent ownedand controlled by another for-profitbusiness concern that is at least 51 percentowned and controlled by one or moreindividuals who are citizens of, orpermanent resident aliens in, the U.S.

• Be organized for profit. • Principal researcher must be employed

by small business.• Company size cannot exceed 500

employees. For more information on the SBIR

Program visit www.sba.gov/aboutsba/sbaprograms/sbir/index.html.

Participating Agencies:Each year, the following 11 federal

departments and agencies are required toreserve a portion of their R&D funds foraward to small business: Departments ofAgriculture; Commerce; Defense;Education; Energy; Health and HumanServices; Homeland Security;Transportation; Environmental ProtectionAgency; National Aeronautics and SpaceAdministration; and National ScienceFoundation.

SMALL BUSINESSTECHNOLOGY TRANSFERPROGRAMThis STTR program reserves a specific

percentage of federal R&D funding foraward to small business and nonprofitresearch institution partners. Smallbusiness has long been where innovationand innovators thrive. But the risk andexpense of conducting serious R&D effortscan be beyond the means of many smallbusinesses. Conversely, nonprofit researchlaboratories are instrumental in developinghigh-tech innovations. But frequently,innovation is confined to the theoretical,not the practical. STTR combines thestrengths of both entities by introducingentrepreneurial skills to high-tech researchefforts. The technologies and products aretransferred from the laboratory to themarketplace. The small business profitsfrom the commercialization, which, in turn,stimulates the U.S. economy.

STTR Requirements: Small businesses must meet the

following eligibility criteria to participate inthe STTR Program. • Be 51 percent owned and controlled by

one or more individuals who are U.S.citizens or permanent resident aliens inthe U.S.

• Be organized for profit. • Principal researchers need not be

employed by small business. • Small business must conduct at least 40

percent of the work. • Company size cannot exceed 500

employees. (No size limit for nonprofitresearch institution).

The nonprofit research institution partnermust also meet certain eligibility criteria: • Be located in the United States and be one

of the following: • Nonprofit college or university.• Domestic nonprofit research

organization. • Federally funded R&D center.• The research institution must conduct at

least 30 percent of the work.

Participating Agencies:Each year the following five Federal

departments and agencies are required bySTTR to reserve a portion of their R&Dfunds for award to smallbusiness/nonprofit research institutionpartnerships: Department of Defense;Department of Energy; Department ofHealth and Human Services; NationalAeronautics and Space Administration;and National Science Foundation.

TECH-NETTECH-Net is an Internet-based database

of information containing Small BusinessInnovation Research awards and SmallBusiness Technology Transfer awards.It is a search engine and electronic

gateway of technology information andresources for and about small high-techbusinesses. It is a tool for researchers,scientists, state, federal and localgovernment officials, a marketing tool forsmall firms and a potential “link” toinvestment opportunities for investors andother sources of capital. TECH-Net is a free service for those

seeking small business partners, smallbusiness contractors and subcontractors,leading edge technology research, researchpartners, (e.g. small businesses,universities, federal labs and non-profitorganizations), manufacturing centers andinvestment opportunities. TECH-Net is available at:

http://tech-net.sba.gov/index.cfm.