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Recent Changes to Requirements in MBE Certifications & What You Need to Know.

Based on the MBE Certification. You no longer need to be in business 2 years.

Removed: Must be in business for a minimum of 2 years (1 year is acceptable with substantial revenue). I spoke to NMSDC Corporate in the Florida office and there is no longer a time frame of how long you must be in business.  Can be a start-up company as long as you meet the other minority qualifiers.

The door to opportunities as a Minority-Owned Business Enterprise (MBE) just opened a little bit wider with a recent change to the certification requirements. If you’re wondering how that translates into more opportunities, first consider the total federal contract award goal of $2B to MBE certified businesses in 2017. A goal that, according to the Department of Commerce Minority Business Development Agency’s (MBDA) 2019 Congressional Budget Submission, was exceeded by a whopping $9M.


Want to capture more federal dollars?

If you’re among the entrepreneurs waiting out the 2-years in business MBE certification requirement, this is where opportunity may be knocking a little sooner than expected. The National Minority Supplier Development Council (NMSDC) has removed the requirement for MBE applicants to be in business for 2-years, (1-year with substantial revenue) entirely. This is great news for startups who want to hit the ground running in the world of federal contracting right out of the gate. It’s important to note that all the remaining requirements must still be met for your business to be considered for MBE certification.

The Requirements include all of the following:

  • United States citizens.
  • Minority businesses must be at least 51% minority-owned operated and controlled. For the purposes of NMSDC’s program, a minority group member is an individual who is at least 25% Asian, Black, Hispanic or Native American. Minority eligibility is established via a combination of screenings, interviews and site visits. Ownership, in the case of a publicly-owned business, means that at least 51% of the stock is owned by one or more minority group members.
  • Must be a for-profit enterprise and physically located in the U. S. or its trust territories.
  • Management and daily operations must be exercised by the minority ownership member(s).

Need MBE Certification Assistance?

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The minimum requirements aren’t the only thing you should know about the process of MBE certification. The documentation and actual logistics of a smooth application process and ultimately – approval, can be difficult to navigate when you’re trying to manage the daily operation of your business at the same time. To give yourself the best chance of approval the first time you apply, it can be helpful to seek assistance from professionals with a history of working within the convoluted world of federal contracting.

Select GCR has helped countless small businesses and entrepreneurs successfully complete, not only MBE certification, but also a myriad of other elements related to federal procurement opportunities. Whether it’s registering in SAM (System for Award Management), searching for the right contracts for your business, or navigating any of the disadvantaged business enterprise certification processes, Select GCR has a team member with specific expertise in that area. Contact us today and open the door to your future in the world of government contracting.