8(A) BUSINESS DEVELOPMENT PROGRAM OVERVIEW:
8(A) Case Number: 107949
KTC was certified as an 8(A) firm in March, 2002 and participates in the Small Business Administrationís (SBAís) 8(A) Business Development Program. This Program helps small businesses be successful while also helping facilitate procurement by government agencies with qualified small businesses. Companies just starting or in a growth stage can benefit from the wide-range of SBA services: support for government contractors, access to capital, management and technical assistance, and export assistance. SBA accomplishes its goals by building community-based small businesses, which revitalize neighborhoods, creates jobs, and encourages economic growth. SBA uses assistance intervention tools, ranging from contract support to low-interest loans for site acquisition, construction, and the purchase of new or upgraded equipment.
SBA has helped thousands of aspiring entrepreneurs over the years to gain a foothold in government contracting. Participation is divided into two phases over nine years: a four-year developmental stage and a five-year transition stage. In fiscal year 1998, more than 6,100 firms participated in the 8(A) Program and were awarded $6.4 billion in Federal contract awards.
Benefits of the Program
- Federal acquisition policies encourage Federal agencies to award a certain percentage of their contracts to SDBs. The SBA has signed Memorandums of Understanding (MOUs) with 25 Federal agencies allowing them to contract directly with certified 8(A) firms.
- New regulations allow Federal agencies to streamline their contracting process.
- Participants can receive sole-source contracts, up to a ceiling of $3 million for goods and services and $5 million for manufacturing. While SBA helps 8(A) firms build their competitive and institutional know-how, the agency also encourages them to participate in competitive acquisitions.
- 8(A) firms may form joint ventures and teams to bid on contracts. This enhances the ability of 8(A) firms to perform larger prime contracts and overcome the effects of contract bundling, the combining of two or more contracts together into one large contract.
Point of Contact
Kevin Terrell, Principal