All of Garrett County has been designated as a Historically Underutilized Business Zone (HUBZone) by the U.S. Small Business Administration (SBA). This certification qualifies businesses for preferential status in competition for federal government contracts. A SBA decision gives HUBZone-based businesses equal standing with minority-owned businesses.
What are the Federal contracting opportunities for HUBZone businesses?
- 3% of all federal prime contract dollars is targeted to HUBZone businesses. HUBZone contracting government-wide in Fiscal Year 2017 was valued at $7.53 billion.
- Set-aside awards
- Sole source awards
- 10% price evaluation preference (PEP) in full and open contract competitions
- Subcontracting opportunities
What are the HUBZone eligibility requirements?
- Be a small business as defined by the SBA
- Principal office located in a HUBZone
- At least 35% of employees must reside in a HUBZone
- Small by SBA standards for selected NAICS codes
- Ownership and control by at least 51% of U.S. citizens
What is the HUBZone application process and how long does it take?
Prior to application, a business must register for both SAM.gov and General Login System accounts. All applications must be submitted through the General Login System.
The type of information required in the application will vary based on the business structure and whether the business is already participating in other SBA contracting programs.
Complete applications are finalized in about 90 days. It may take more or less time depending on the specifics of the application. The application timeline provides a more specific breakdown.
The Application Guide is a valuable tool for businesses wanting to know what the online application will require, and the Document Request Checklist will help ensure all required documentation is submitted with the application.
Full qualification criteria can be found in Title 13, Part 126, Subpart B of the Code of Federal Regulations (CFR).
How does a business maintain a HUBZone certification?
A business must apply for recertification every 3 years. There is no limit to the length of time a business can continue to recertify as long as it continues to qualify.
HUBZone businesses must notify the SBA if there business undergoes any material changes that would affect their HUBZone status. Examples include:
- Change in ownership
- Change in business structure
- Change in principal office
- Falling below the 35% employee HUBZone residency requirement
The SBA may visit HUBZone businesses unannounced and conduct program examinations. This is done to confirm that businesses continue to meet HUBZone requirements.
Is a HUBZone-certified business eligible for other government contracting programs?
Yes. HubZone-certified businesses can compete for contract awards under other socio-economic program for which they qualify. Businesses may visit certify.sba.gov to determine the SBA contracting programs for which they may be eligible.
Businesses interested in applying for HUBZone certification or needing to recertify may wish to view SBA's HUBZone videos on YouTube.
Useful Links:
- HUBZone Quick Facts
- HUBZone Program Fact Sheet
- HUBZone Contracting With the Federal Government Fact Sheet
- HUBZone Frequently Asked Questions
- Understanding the HUBZone Program
- Applying for the HUBZone Program
- Maintaining the HUBZone Certification
- Understanding the Federal Marketplace
- Top 10 Lists for Contracting
- HUBZone Contractors' National Council
Contact (301) 334-1921 or business@garrettcounty.org for additional information or assistance.
