Veteran-Owned / Service-Disabled [Frequently Asked Questions]

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Veteran-Owned / Service-Disabled

Thursday, January 08, 2009 Site Map Program Menu

Frequently Asked Questions

last updated 1/29/2008

Service-Disabled Veteran-Owned Small Business Program

Question: How do I certify my company as a Veteran-Owned Small Business (VOSB)?

Answer: To begin this process, the majority shareholder, who must own not less than 51% of the company, must be in receipt of the Department of the Defense Form 214 (DD Form 214) indicating that the shareholder received an Honorable discharge from his branch of service. The shareholder must contact the local Small Business Administration (SBA) representative to register the company as a VOSB. Next, the shareholder must visit the Central Contractor Registration (CCR) and each of the Army's and other services' vendor registration databases and register their company as a VOSB and begin receiving future procurement opportunities.
Question: How do I certify my company as a Service-Disabled Veteran-Owned Small Business (SDVOSB)?

Answer: To begin this process, the majority shareholder (must own not less than 51% of the company, the management and daily business operations of which are controlled by one or more service-disabled veterans, or in the case of a veteran with a permanent and severe disability, a spouse or permanent caregiver of such veteran) must be in receipt of the Veteran Administrative Certificate/document indicating that the shareholder is classified as a Service-Disabled Veteran (a veteran with a service-connected disability who has been determined by the U.S. Department of Veterans Affairs to have a permanent and total disability for the purposes of receiving disability compensation or a disability pension) and a copy of the Department of the Defense Form 214 (DD Form 214) indicating that the shareholder received an Honorable discharge from his branch of service. This certificate/document self-certifies the company as a SDVOSB. The shareholder must contact the local Small Business Administration (SBA) representative to register the company as a SDVOSB. Next, the share holder must visit the Central Contractor Registration (CCR), each of the Army's and other services' vendor registration databases and register their company as a SDVOSB and begin receiving future procurement opportunities.
Question: What does the new Public Law 108-183 do for SDVOSBs?

Answer: This new law requires federal agencies and departments to give special consideration to service disabled veterans who own small businesses during the procurement process. These special considerations provide sole source and restricted competition contracting opportunities for SDVOSB entities. The legislation is monumental because it is the first time a contracting officer can award a contract based on service disabled veteran owned status.

Question: What types of opportunities are available to businesses (particularly small ones) that want to become government suppliers?

Answer: There are vast opportunities to do business with the federal government and particularly with the U.S. Army. The Army procures a wide range of supplies and services to support the Warfighter both in the field and in garrison through 11 Major Commands:

·         US Army Materiel Command (AMC)
o Combat Systems
o        Information Systems

·         US Army Corps of Engineers (ACE)
o        Military/Civil Works Construction Projects
o        Environmental Projects
o        Supplies and Services for Organizations in the National Capital Region
o        Intelligence Security Information Systems
o        Medical Supplies and Health Care Equipment

·         US Army Medical Research and Materiel Command (MRMC)
o        Medical Research

·         Military Traffic Management Command (MTMC)
o        Travel Services
o        Transportation and Storage of Personal Property

·         Space and Missile Defense Command (SMDC)
o        Research and Development

·         US Army Test and Evaluation Command (ATEC)
o        Development and Operational Testing of Weapon Systems

·         US Army Contracting Agency (ACA)
o        Installation Supplies and Services
o        Information Systems

·         National Guard Bureau (NGB)
o        Base operations; Information Technology Services/Equipment
o        Construction Environmental Projects

·         Contracting Center of Excellence (CCE)
o        Telecommunication Equipment and Services.
o        Advertising.
o        Training and Technical Conferences.
o        Research, Professional, Scientific and Technical Studies.
o        Information Technology (IT) Hardware, Software and Support Services.
o        Grants and Cooperative agreements with non-profit Organizations and Universities.
o        Manage the DoD Purchase Card Program for the National Capital Region customers.

·       US Army Intelligence and Security Command (INSCOM)
o        Intelligence Security Information Systems

·         US Army Medical Command (MEDCOM)
o        Medical Supplies and health Care Equipment
o        Professional Services

The most important step is identifying the supply or service you wish to sell to the Army. When making this decision it is important to review the relevance of the product, the amount purchased by the agency you want to do business with, and the core competencies within your business model to compete and deliver on time at a fair and reasonable price.
Question: How does a business become a government supplier?

Answer: Our website lists the 13 Steps for Doing Business with the Army. The staff at the Office of Small Business Programs (OSBP) is available to answer questions.
Question: Are there any types of challenges (in doing business with the Government) that business owners should be aware of? Here, I’m looking for reasons a small business may not want to become a supplier.

Answer: Starting a business is challenging regardless of whether the customer is in the private sector or the government. Doing business with the government is probably more bureaucratic, but acquisition reform has streamlined the procurement process to provide Contracting Officers the ability to award contracts based on best value criteria. Additionally, the government always pays validated invoices to include interest if late, ensures fair competition through regulatory enforcement, and protects contractor rights through clearly defined performance based standards and due process for performance issues. As with any business venture the guiding principles of market research to identify customer requirements, marketing your product or service, and execution through quality and on time performance are keys for successfully conducting business with the Army.

Recently, the government has begun to consolidate requirements to leverage purchasing power resulting in large dollar contracts. If starting a new business, it may be advantageous to partner with either another small business or a large business. Partnering allows the new company to share the contract burden and build past performance data that is used for contract award criteria.