HubZone Certification
What is Hubzone certification?
The Historically Underutilized Business Zones (HUBZone) program helps small businesses in urban and rural communities gain preferential access to federal procurement opportunities. These preferences go to small businesses that obtain HUBZone certification in part by employing staff who live in a HUBZone. The company must also maintain a “principal office” in one of these specially designated areas.
Want to learn more?
Click here to visit the U.S. Small Business Administration for more details.
What’s in this for you?
If you’re a government contractor there are several reasons for you to know and want a Hubzone certified business as one of your “go to” subcontractors. Here are a few of the advantages for a prime contractor to employ a Hubzone certified partner or subcontractor.
1. Get Extra Funding
Utilizing a Hubzone certified partner can make you eligible for additional funding for your jobs. The government sets aside procurement monies for prime contractors who work with these companies that can open up new opportunities not originally on your radar.
2. Pushed to the top Positioning
If you keep your pricing less than 10% higher than non-Hubzone contractor, your bid will be considered lower. This is reflective of the Federal government’s commitment to actively do business with these companies. Working with a Hubzone certified company gives you preferential positioning on your bids.
3. Fulfills Requirements
a) Government contracts of more than $550,000 are required to allocate for a Hubzone certified company to participate as part of the contract submission.
b) There is a required budgetary target for all 600 Federal agencies purchasing departments to employ Hubzone certified companies that is equal to a minimum of 3% of total budget. Due to re-zoning the Hubzone maps, there is a constant need to engage with new partners to satisfy these requirements.
Looking to take advantage of these benefits? Looking for a new Hubzone partner? Aerospace Semiconductor is here to help!
Email Tom at tlibby@aerospacesemi.com to start a conversation.