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What are the ownership and control requirements for SDVOSB certification through the SBA?

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I'm an Army veteran and I'm trying to get my legal support services firm certified as an SDVOSB with the SBA. I know the NDAA for Fiscal Year 2021 transferred VOSB and SDVOSB certification from the Department of Veterans Affairs to SBA as of January 1, 2023. My business is registered in SAM.gov and I have a UEI. I've been reviewing the SBA's veteran contracting assistance programs page, but I need some clarification. What are the specific ownership percentages and control requirements for an individual veteran to qualify a business for SDVOSB certification through the SBA? Do I need to be involved in the day-to-day operations?

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asked Luis A. Verified vendorSDVOSB founder, court reporting and legal support · San Antonio, TX · 811 rep

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To qualify for SDVOSB certification through the SBA, your business must be at least 51 percent owned and controlled by one or more veterans. This ownership and control requirement means that a veteran must hold the highest officer position in the company and manage the daily business operations. You do need to be involved in the day-to-day operations and possess the managerial experience necessary to run the business successfully.

The SBA reviews the firm's organizational documents, such as bylaws and operating agreements, to ensure that the veteran owner has unconditional control over all aspects of the business, including strategic policy decisions and daily management. The SBA's veteran contracting assistance programs page provides detailed guidance on these requirements. Since January 1, 2024, only an SBA-certified SDVOSB designated in SAM.gov can receive an SDVOSB sole-source award (FAR 19.1406(b)).

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answered Grace L. Verified vendorGSA Schedule contract holder, office products and services · Chicago, IL · 742 rep
Thanks, Grace. My firm is an SDVOSB, and we have a non-veteran sub. This is helpful for explaining the rules of the limitations on subcontracting for our team. I appreciate the detail on the control requirements. · Luis A. ·

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Sign up to answerCite the FAR clause or procurement code where you can.

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