Historically Underutilized Business Zones(HUBZone)
Historically Underutilized Business Zones (HUBZone)
The Historically Underutilized Business Zones (HUBZone) program helps small businesses in urban and rural communities gain preferential access to federal procurement opportunities. The HUBZone empowerment contracting program provides federal contracting opportunities for qualified small businesses located in distressed areas. The program falls under the auspices of the U.S. Small Business Administration (SBA). The SBA regulates and implements the HUBZone program. SBA does the following:
Determines which businesses are eligible to receive HUBZone contracts
Maintains a listing of qualified HUBZone small businesses that federal agencies can use to locate vendors
To qualify for the HUBZone program, your business must be located in an area designated as a HUBZone. You may determine if an address or a particular area is designated as a HUBZone by using the SBA HUBZone map tool.
To qualify for the program, a business (except tribally owned concerns) must meet the following criteria:
It must be a small business by SBA standards.
It must be owned and controlled at least 51% by U.S. citizens, or a Community Development Corporation, an agricultural cooperative, or an Indian Tribe.
Its principal office must be located within a “Historically Underutilized Business Zone,” which includes lands considered “Indian Country” and military facilities closed by the Base Realignment and Closure Act.
At least 35% of its employees must reside in a HUBZone.
The program’s benefits for HUBZone certified companies include:
Competitive and sole source contracting.
10% price evaluation preference in full and open contract competitions, as well as subcontracting opportunities.