Including Certification

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Being certified as a Minority-Owned, Woman-Owned or
Disadvantaged Business is not beneficial for everyone, but for some businesses
it has become necessary.?

?When a business applies for a Certification the business owner(s)
is asking an organization or government agency to guarantee that the business
and owner meet all the qualifications for being Certified.? Certification by an organization/agency means
they attest that a business meets the qualifications.? The reputation of that organization/agency is
on the line when they certify a business, so they will look closely at the credentials,
records and claims.? If they erroneously
certify a business they will jeopardize their reputation and may be open to law
suit or other legal penalty.? So even
though the requirements and attention to detail of a Certification process can
be frustrating, it is necessary to guard the integrity of the certification and
the certifying organization/agency.

?Here are the typical requirements of a Certification:

• The
  business is 51% or more owned by the proper classification (Minority,
  Woman, or Disadvantaged Person).
• The
  Minority, Woman, Disadvantaged Person owner(s) made an investment to
  obtain his/her ownership in the business seeking Certification.??
• The
  business is managed on a day-to-day basis by the owner(s) that is of the
  proper classification (Minority, Woman, Disadvantaged Person).?
• The
  business is capable of providing the products and/or services it claims it
  can provide. This means the business has the proper license, equipment,
  people, training, building, vehicles or anything else that is necessary.
• If the
  Certification is for “disadvantaged” businesses the business owner must
  prove that he/she meets that organization’s/agency’s description of
  disadvantaged.? This will include
  one or more of the following:?
  personal worth under a specific level, race and/or gender, and location
  of business.

?Certification is one of the best tools in a business’s tool
box or briefcase or purse.? Here are a
few reasons why.

?Certification has become a requirement instead of just a
competitive advantage.? As attention
to the use of M/WBEs (Minority/Woman Business Enterprises) and DBEs
(Disadvantaged Business Enterprises) increases so does the number of businesses
claiming one or more of those designations.?
The number of businesses claiming those designations has become so large
that the government agencies and corporations usually require a Certification
to verify that a business is truly an M/WBE or DBE.? Federal agencies still do not require
Certifications; however, they normally expect their Prime Contractors to use
WBEs and DBEs as subcontractors and these Prime Contractors usually do require
a Certification for their subcontractors.

?Certification demonstrates that a business cares.? Having a Certification is proof that a
business is M/WBE or DBE.? It is also
proof that the business is willing to meet the requirements of a government
agency, education institution or corporation.?
It shows that a business is likely to be a good vendor because it
follows directions.?

?It is a badge to wear (display) with pride.? Including Certification(s) on websites,
business cards, brochures, digital information, etc. is a good way to
demonstrate that a business meets that requirement.? Certification is a qualifier, maybe a
requirement, but it is not the only qualifier.?
Displaying it in the right places provides the information to those who
need to know without seeming to say, “I expect your business because I am an
M/WBE or DBE.”

?Being Certified may qualify a business for exclusive
opportunities.? Sometimes government
agencies, primarily federal or state, will do “set-asides” for a specific Small
Business classification.? In those cases a
business may be required to have a specific Certification to qualify.

?Certification appeals to customers and clients.? Even if a business provides products or
services to individuals instead of government agencies and corporations, a
certification may be helpful.? Consumers may
prefer a business because they know it is Minority or Woman Owned
Business.??

?One thing that hampers Small Businesses is not having the
right, or best, Certification. A business may think there is just one
Certification.? Or they assume that a
Certification does not apply to them and do not do any research to find out. So a business gets one Certification when
another one would have been more beneficial.?
This causes missed business opportunities.? It is important to determine which Certification
or Certifications will help.? Following
is some clarification about Certifications.?

?Most States offer some type of Certification for M/WBEs.? Most State Certifications were developed
primarily to identify qualified M/WBEs or DBEs for use by state agencies, and sometimes
for local government agencies and schools, in meeting their spend goals.? (Spend goal is the target percentage/amount
of a government agency’s or corporation’s budget to be spent with a particular
group, such as woman- or minority-owned business.)? Some corporations will accept a State
Certification, but most prefer a non-government Certification for meeting their
own spend goals.? A corporation that is a
Prime Contractor for state agencies may prefer the State’s Certification.

?Most State DOTs (Department of Transportation) have their
own Certification.? The Certification
offered by State DOTs is for DBEs (Disadvantaged Business Enterprises).? The requirements for this Certification are
specifically set to meet federal guidelines because DOTs receive much of their
funding from the federal government.?
This Certification was expanded in recent years to include all state and
local government agencies and departments that receive federal transportation
funding and it was named the UCP (Unified Certification Program).?

?Some local government entities offer their own
Certification.? Some cities, counties
and even universities or school districts conduct their own Certifications.? Any business trying to sell to these entities
needs to have the Certification of that entity.

?Corporations often prefer private Certification.? Most corporations prefer Certifications from
national private organizations because the requirements are the same for each
business no matter where they are located.?
There are Certifications for Minority Owned Businesses and for Woman
Owned Businesses.? These organizations
normally offer their Certified businesses training and access to Corporate
buyers.?

?

Certification can increase opportunities.? ?In
tough economic times, every opportunity or advantage should be used.

Article Tags:
Government Agencies