While holding a diversity certificate does not guarantee the company sales, it is a tool that can be used to open doors to opportunities, increase visibility and build relationships.
A major feature of this program is the ability to participate in federal procurements that are specifically set aside for 8(a) certified businesses. If your company is interested in doing business with federal agencies and it meets the disadvantaged SBA standards, the 8(a) certification program might be a good fit for you.
Don’t be intimidated by or worry about a site visit. We’ve been visited a lot … 14 certifications worth! The visits have been about confirming information and they give the certifying organization an opportunity to explore and understand the business first hand.
Governance boils down to the language in the governing documents of the diverse business. Review your governing documents BEFORE you apply for a diversity certification!
To be a diversity certified business, the diverse owners must control the business. The owner has to have the authority and “power to direct or determine” or influence what will happen in the business, both now and in the future.
Rejection can be quite frustrating, especially when you’ve spent hours filling out forms and locating supporting documents. Here are some things that can cause a certifier to reject your application for diversity certification, in no particular order…
I found another 2007 article with more about supplier diversity challenges from a purchasing point of view.
Check out the type of events they’re offering, whether they’re networking or educational, and see if any apply to your type of business or would be useful for the next stage of your business’ evolution.
Some certification applications will clearly state that your firm must be “licensed” or “registered” to do business within their state prior to applying for certification; some even include a question asking if the firm is registered or licensed with the state. This authority to transact business is different from being a licensed professional contractor, engineer, architect, etc.