Are you leaving money on the table? If you are a female or minority business owner and have not been certified as a minority or female-owned business enterprise (known as an M/WBE), you may be missing out on opportunities.

Reasons to get certified

Why do you need certification? Well, maybe not. Certification lets others know that your business is what you say it is: a minority and/or women-owned business. Chances are your average customer won’t ask you for a certification. However, certification is required when you want to do business with companies or government agencies that have supplier diversity programs and want to ensure a level playing field for businesses owned by women, minorities, or disabled veterans. While you may not have considered this as an avenue for your business, you’ll want to be ready to take advantage of an opportunity, should one arise.

The M/WBE certification will also give you the ability to expose your business to potential clients that you may not have considered or had access to before. Many of the rated agencies create meet and greet opportunities, directories, and notify you of upcoming opportunities. This alone makes the sacrifice of time and minimal fees, going through the certification process, worth it.

certification requirements

To be eligible for certification, the basic requirements are:

“Business must be at least 51 percent owned, controlled, and actively managed by members of minority groups (Native American, Black, Hispanic, Asian Indian, Asian Pacific, Aleut, Eskimo, or Native Hawaiian)

“In business for at least one year

How long is my certification valid for?

Recertification practices, as well as fees, vary by certifying agency. For example, the state of New Jersey requires recertification on your first anniversary. However, after that first recertification, your status is valid for five years, as long as you submit supporting documentation by your anniversary date each year.

Certifying agencies

Choosing a certifying agency should depend on your type of business and the opportunities you want to pursue. Your city and state government offices have certification processes, help, and opportunities. There are also a host of other agencies, such as the NY/NJ Supplier Development Council (formerly known as the NY/NJ Purchasing Council). According to its website, “The Council strives to expand business opportunities for minority-owned suppliers by linking them with buyers in the public and private sectors. As an advocate for its suppliers and corporate members, the Council fosters relationships among decision makers corporate and targeted minority suppliers.
Are all certifications recognized by all agencies and companies seeking M/WBE?

With all these certifying agencies, you may want to know if all certifications are recognized by all agencies and companies. The short answer is not necessarily. You should check with the requesting agency or company.

For example, in New York there is an agreement between the New York City Department of Small Business Services and the New York/NJ Minority Supplier Development Council called New York City Fast Track Certification.

As posted on its website, “The Minority Vendor Development Council of New York and New Jersey, Inc. (“The Council”) and the New York City Department of Small Business Services (SBS) are now promoting “Fast Track certifications” that will allow Council-certified providers to increase their contracting opportunities in the public sector The City and Council signed a Memorandum of Understanding (MOU) in an effort to increase certification of minority-owned businesses Under the agreement, businesses certified by the Council as a minority-owned business enterprise (MBE) will receive expedited approval of their certification applications with the City… Council-certified providers will have greater access to contracting opportunities , better preparation to compete for City contracts and additional navigation in the public contracting process.”

This partnership is great news for a small business looking to expand their opportunities. There are many such opportunities, but be sure to ask the certifying agency where the certification will be recognized, and ask companies providing opportunities what certifications will be accepted. Be sure to do this before committing to certification with any agency, as many fees, if required, are non-refundable.

getting help

The M/WBE Certification application process can be daunting for some. It may require more attention and time than you can spare, but don’t give up. There is a lot of support available to you, both free and paid. Each agency provides its own sources of assistance. In New York City, on the official website, http://www.nyc.gov, you can find applications, support documents, email addresses, and contact numbers for help. They also provide monthly training seminars where you can get free help from trained certification specialists.
For help and information on M/WBE certification in your area, start with your city and state government. Check their websites or call for help. Your local libraries will also be able to help. The Internet is a cornucopia of information. Use any of the various search engines like Google (www.google.com) and Yahoo (www.yahoo.com). If you change the word phrases as you search, ie minority certification, mbe agencies, or minority business opportunities, you will get different results giving you a wider variety of information.
There are also tremendous local organizations that are ready and willing to assist you. Start with the Small Business Administration and its local arms known as SBDCs or Small Business Development Centers, often located inside city colleges (http://www.sba.gov/localresources/index.html). Your local library is also a great resource.

There are times when all you need is someone to help you through the process. An executive, administrative, or virtual (remote) assistant can do wonders in this area, from researching qualified agencies and fees to helping you complete each step of the application. Pick someone who is thorough and detailed because a stalled application can cost you time, money, and missed opportunities.

If you qualify for certification and don’t, you’ve left money on the table, possibly thousands of dollars or more. Can you afford not to be M/WBE certified?