If you are puzzled about the many types of certification, you are not alone! Much confusion exists, and to fully explain each is beyond the scope of this website. However, with just a short explanation most people can determine which certification is probably right for them to pursue.

What is the difference between 8(a), Small Disadvantaged Business, Disabled Veteran, Woman Business Enterprise, Minority Business Enterprise certifications?
The first three are administered by the U.S. Small Business Administration (SBA.) The 8(a) designation is actually a business development / mentoring program for a company that has been disadvantaged, and 8(a) certification is part of that program. Small Disadvantaged Business (SDB) certification is for businesses that are disadvantaged but are not participating in the 8(a) development program. Disabled Veteran (DV) certification is for the business owner who is a veteran of the U.S. Armed Forces and who has been disabled in action. Woman Business Enterprise (WBE) certification is gender-based for woman-owned businesses. Minority Business Enterprise (MBE) certification is race-based for minority-owned businesses.

What other agencies certify?
The U.S. Small Business Administration can be contacted regarding participation in the 8(a) program, or to obtain the Small Disadvantaged Business (SDB) certification as well as the Disabled Veterans (DV) certification. Their website is www.sba.gov.

Minority Business Enterprise (MBE) certification is done through National Minority Supplier Development Council (formerly known as the Minority Supplier Council, or MSC.) Their website is www.nmsdc.org.

We, NWBOC, provide WBE Certification. Click here to go to our Application page.

What is the difference between third-party certification and government certification?
Third party certification is geared to the private sector. NWBOC is a third-party certifier, denoting that an independent entity other than the vendor business owner or the corporate purchasing entity is ensuring that the vendor is in fact woman-owned and controlled. For doing business with a government entity, in most cases each city, county, state and federal agency has their own type of certification program and most are individual to that city, county, or state. However, due to pressure being brought by women business groups and minority business groups, the trend is to have government entities accept other sources of certification in addition to their own certification program. Changing the system in this way is a very slow process, but beneficial to the business owner who finds herself having to get multiple certifications for different purposes.

Should I apply for government or third-party certification?
If you are only interested in being a vendor/supplier to any government entity, it is recommended that you contact each specific agency to obtain their requirements. If you are more interested in doing work in the private sector, particularly with large publicly traded companies, WBE Certification by a third-party certifier is recommended. Keep in mind that many times a small business enters the government arena as a subcontractor to a large corporation who has won a government contract. As a subcontracting vendor with WBE Certification, the large corporation can count your participation toward WBE utilization goals set by the government as part of their contract.