A beautiful African American woman is typing a business report on a laptop keyboard while sitting at an office desk with documents.
Being a small business owner can be both rewarding and rewarding at the same time. Continually learning and serving your target audience and making ends meet while identifying growth opportunities are often some of the most difficult elements of entrepreneurship. Black women business owners are often among the most under-resourced groups and are often overlooked for lucrative contracting opportunities with government agencies and other developmental benefits. Fortunately, there are some steps you can take to close the opportunity gap: your MWBE certificate. If you haven’t heard of it, it’s time to get acquainted with it.
What is MWBE certificate
Minority/Women-Owned Business Enterprise (MWBE) or MBE/WBE is a state-issued certification that provides small business owners with operational advantages, particularly the opportunity to secure large contracts with government agencies.
Why you should consider getting certified
As we’ve mentioned several times already, being certified brings attention to certain contract opportunities and gives you a huge competitive advantage when competing for contracts. What many people may not realize is that MWBE also has tax benefits.As a capital service company One Park Financial It notes that companies “may be able to reduce their tax liability or receive tax benefits for projects funded with federal or state grants.” The federal government also tends to offer tax incentives to companies and states that work with minority- or women-owned businesses. ”
This will enable companies to obtain government contracts that were previously inaccessible. For example, if you run a catering company, you may have the opportunity to provide catering for Treasury lunches. If your company manufactures soap, you may be able to supply soap to state government facilities.
How to get certified
The first step here is to make sure you are certified. The requirements are:
WBE certified
- At least 51% of the organization must be owned, operated, or operated by one or more people who identify as women
- Be a U.S. citizen
- Persons identifying women must carry out daily tasks
- One or more owners are responsible for the overall management of the company
MBE certified
- At least 51% of the business is owned and operated by individuals from an eligible minority group.
- A minority individual is a U.S. citizen who is at least 25% Asian Indian, Asian Pacific, Black, Hispanic, or Native American*.
Each state typically has a dedicated entity that handles the application process. The most common ones are:
There are many organizations that offer WBE or MBE certifications. The application fee and process are the same no matter which program you apply through. If you are a woman-owned business, please apply through one of the following organizations:
- Small and Medium Enterprise Agency
- National Council for Women’s Business Enterprises
- National Association of Women Employers
- local government
After applying, it may take a considerable amount of time to receive certification. For example, in New York State, assuming the application is properly completed, an applicant can expect it to take her one to two years to receive New York State approval. But I promise it’s worth it.
