The United States Government Needs More Veteran Owned Small Businesses
The federal government sets aside lower competition contract opportunities to encourage small business ownership among veterans
In 2018, there are 19.6 million veterans in the United States
with over 4 million classified as service disabled veterans. These service members often have a hard transition into civilian life. Many need employment counseling and rehabilitation services to re-enter the civilian work force. While the Department of Defense provides a transition program for returning service members, the greater opportunity for veterans is small business ownership.
Currently, only 2.5 million U.S. businesses are veteran owned. Over 90% of veteran owned businesses do not bid on government contracting opportunities. The U.S. Government wants to encourage veteran owned small business by designating a portion of annual Government Contract revenue to small business. In 2018, 23% of all government contracts are set aside for small business. The Veterans Administration set aside is 20% for veteran owned small businesses. With so many opportunities available to work with the federal government, now is a great time to start a veteran owned small business.
The opportunities are not just for prime contracts with the federal government but also for sub-contracting work with large prime contractors. These prime contractors must utilize veteran owned and minority owned sub-contractor to satisfy their contract requirements.
Veterans considering opening a small business are eligible for services through the Veteran Administration Office of Small and Disadvantaged Business Utilization. Special programs are in place for women veterans and service disabled veterans.