Do you know your SBA financing options?Do you know your SBA financing options? small business loanssmall business loans

loans for land and buildingsloans for land and buildings

surety bonds for small and minoritysurety bonds for small and minority construction contractors construction contractors

venture capital investingventure capital investing

export assistanceexport assistance

Your Small Business ResourceYour Small Business Resourcewww.sba.gov 1-800 U ASK SBAwww.sba.gov 1-800 U ASK SBA

The 7A Loan Guaranty Program• Guarantees up to $1,500,000 For --

– Expansion or renovation– Construction of new facilities– The purchase of --

• land or buildings• machinery & equipment• furniture and fixtures• leasehold improvements

Your Small Business ResourceYour Small Business Resourcewww.sba.gov 1-800 U ASK SBAwww.sba.gov 1-800 U ASK SBA

7A Loan GuarantyCont.

• Working Capital

• Inventory Purchases

• Refinancing existing debt

Your Small Business ResourceYour Small Business Resourcewww.sba.gov 1-800 U ASK SBAwww.sba.gov 1-800 U ASK SBA

7A Program Loan Requirements• Business must be “small”

• Business must be operated for profit

• Good character/SBA Form 912

• Liquid resource test

• Management

• Repayment ability

• Collateral

Your Small Business ResourceYour Small Business Resourcewww.sba.gov 1-800 U ASK SBAwww.sba.gov 1-800 U ASK SBA

Office of Surety Guarantees

Surety Bond Guarantee

Program

~ Office of Field Operations ~

17 March 2010

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Mission Provide surety bond guarantees for small businesses in direct partnership with surety companies and their agents. (The program was established to help small businesses obtain bonds who otherwise would not be able to obtain them in the traditional commercial marketplace.)

Office of Surety Guarantees

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SBA guarantees between 70 and 90% of the costs a surety company incurs if the small business defaults, in order to encourage surety companies to provide bonds to small businesses.

Office of Surety Guarantees

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Small Business Program Participation Requirements

• Applicant must be a small business as defined by the proper NAICS Code.(business, together with its affiliates, must be small for

the primary industry in which it is engaged.)

• Contract must require a bond.

• Public or private contract or subcontract cannot exceed $5 million, unless a Federal contract, in which case the contract ceiling is $10 million.

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Office of Surety Guarantees

Fees

SBA charges the small business .729% of the contract price for the bond guarantee.

SBA charges the surety company 26% of the fee the surety company charges the small business.

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Procurement Center Representative:

An Advocate, A ResourceAn Advocate, A Resource

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What PCRs Do Coordinate with

contracting activities Review acquisitions

Recommend Set-asides

Review Bundling Cases Review Solicitations Support 8(a) Business

Development

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Basis for SBA Programs• Small Business Act

– Implements Congressional Policy to aid, counsel, assist & protect the interests of small business concerns

– Goal of policy is to ensure that a fair proportion of purchases, contracts & subcontracts be placed with small businesses

http://www.sba.gov/library/lawroom.html

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Small Business Contract Assistance Programs

• Prime Contract Assistance– Small business set-aside program– Procurement Preference Goaling– Size Determination Program– Waivers to the Non-Manufacturer Rule– Natural Resources Program– Certificate of Competency (COC)

• Subcontracting Assistance

http://www.sba.gov/GC/

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PCRs• Help ensure a fair portion of purchases

go to Small Businesses of all types– represent SBA at major buying activities– review proposed acquisitions, including bundled

procurements– recommend requirements to be set aside for

HUBZone, 8(a) & SB firms– advise agencies & SBs on SBA programs– initiate secretarial appeals

FAR Part 19.402

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Procurement Programs• Small business

• HUBZone small business

• Service-disabled VOSB (SDVOSB)

FAR Part 19, Public Laws, Code of Federal Regulations

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PCRs and Appeals• An appeal is a 3 step appellant process:

– PCR issues a Form 70, “SBA Recommendation” to contracting officer (CO)

– If CO denies, writes a letter of appeal to the Head of the Contracting Activity (HCA)

– If HCA denies, PCR forwards to SBA HQ – SBA Administrator appeals to the Agency

Secretary or Administrator

FAR Part 19.505

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What PCRs Do Attend Training Events Promote SBA Programs Mediate SB Issues Monitor Public Notices Counsel small & ‘other

than small’ businesses, Federal Agencies

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What PCRs See Small Business

Review Form Government Estimate Sole Source

Justifications (J&A) Statement of Work Acquisition Plan Market Survey

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What PCRs See Procurement

Request Purchase History Synopses Source Selection

Criteria

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What PCRs See

Sensitive Information Set-aside appeals Certificate of

Competency Request Subcontracting Plans

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What PCRs Share

General Information“In the Public Domain”

Forecasts FedBizOpps Synopses Solicitations

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What Other Programs Do PCRs Promote?

• Provide information on resources offered by government contracting: COC, Size Determination, Size Standards, CCR Small Business Dynamic Search, and CMR subcontracting activities.

• Provide directions and contacts regarding district programs: Loans, Surety Bond Guarantee, and Economic Development

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Size Determinations IAW 13 CFR 121

Firm must:• Meet size standard

for NAICS code specified in solicitation

• Self-certify size status

• Be small at time of self-certification

If Questioned, Protest must be:

• Specific to a buy• Received in a timely

manner• Forwarded to Area

Director for formal determination.

Size Determination Specialists are located at SBA Area Offices

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Certificates of Competency

When determined to be non-responsible, a small business is entitled to an independent review by the SBA.

Written referrals must be sent to theSBA Area Office responsible for

the geographic location of the small business.www.sba.gov/GC/

Capacity, Credit, Capability, Competency, Integrity, Perseverance & Tenacity,

Limitations on Subcontracting.

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PCRs are Unique! Small Business

Advocate Adversarial

Relationships Small Business

Specialist Support Special Authority Insider-Outsider

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Your SBA PCR:

MARIA GALLOWAY

An Advocate for all types

of small businesses.

A resource for

information and advice.