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Minority Business Certification

Criteria to Become a CERTIFIED Minority Business Enterprise (MBE)


Minority Business Certification

A minority-owned business is defined as being owned, capitalized, operated and controlled by a member of an identified minority group. The business must be a for-profit enterprise which physically resides in the United States or one of its territories. Identified "Minority groups" are generally defined as having an ethnic background consisting of Asian, Black, Hispanic, East Asian Indian and/or Native American. Some applications require US Citizenship, some applications accept legal residents. Some applications require a 75% ethnic heritage others will accept as little as one fourth. Note: Non-For-Profit companies DO NOT qualify for any certifications.

Ownership by minority individuals means the business is at least 51% owned by such individuals or, in the case of a publicly-owned business, at least 51% of the stock is owned by one or more such individuals. Further, the management and daily operations are controlled by those minority group members. Non-For-Profit agencies DO NOT qualify for ANY certifications.

Generally, the identified minority groups are as follows:

  1. Subcontinent Asian Indian: persons with origins from India, Pakistan, Bangladesh and the surrounding countries.
  2. Asian Pacific Americans: persons with origins from Japan, China, the Philippines, Indonesia, Malaysia, Taiwan, Korea, Vietnam, Laos, Cambodia, Thailand, Samoa, Guam, Burma, Singapore, Brunei, Republic of the Marshall Island, Federated States of Micronesia, Hong Kong, Fiji, Tonga, Kiribati, Tuvalu, Nauru, the U.S. Trust Territories of the Pacific, the Northern Marianas [Republic of Palau].
  3. Black Americans: persons with origins in any of the Black racial groups of Africa.
  4. Hispanic Americans: persons with origins of Mexico, Central America, South America and the Caribbean Basin only. Brazilians should be listed under Hispanic designation for review and certification purposes.
  5. Native American - A person who is an American Indian of a North American Tribe, Eskimo, Aleut or Native Hawaiian, and regarded as such by the community of which the person claims to be a part. You must provide quantifiable proof of your heritage such as a Native American Blood Degree Certificate (i.e., tribal registry letter, tribal roll register number).

Certification is done at the local or regional level. Some certification offices that certify for the private sector do charge a non-refundable application fee. Certification must be renewed each year. Private sector certifications require an annual renewal fee.

Disclaimer: The following are the MINIMUM basic requirements for certification, and in no way guarantee your company will be a successful candidate for certification. Additionally each certifying agency may have different criteria standards and eligibility rules. Other criteria and standards exist for each industry, annual sales, number of employees, etc., etc. If you are applying to a local government entity, we have found on occasion, that the length of time it takes to acquire certification can be inconsistent and the final status of an application can be offset by other determining factors.

 

MWBE Enterprises Background

MWBE Enterprises was established in 1998 to address the needs of upscale Minority and Women-owned small businesses seeking opportunities in private-sector Supplier Diversity programs or their Local and Federal government procurement opportunities. Our mission is to provide the know-how and guidance to assist your company in successfully accessing and attaining new business. The purpose of MWBE Enterprises is simple: to provide an affordable, best-in-class, resource center for small Minority and Women-owned businesses.

MWBE Enterprises first objective is to assist a Women and/or a Minority-owned company through arduous process of certification. Through our Eligibility Analysis we will determine if your company is eligible for certification and if so, which certifications are appropriate for your business. The decision to apply for one, or several certifications, is based on your company's eligibility standing, current marketing strategies and future opportunities that best suit your goals. Additionally, one of the adjunct benefits of MWBE Enterprises services is that all of the required private financial information of the applying business owners remains confidential.

Certification, however, is just one small step in establishing a company as a certified Women or Minority-owned business. Although, obtaining certification is difficult, it is how a company utilizes it certification through applicable market segments that ultimately affects their bottom line. MWBE Enterprises will train your employees and or support your organizations efforts to obtain new business through a streamlined, strategic approach to the Corporate Supplier Diversity market or in Public Sector Procurement.

Success in local or federal government procurement marketplace and private-sector SDP's requires diligence and careful planning. Certifying agencies, local and federal government agencies, private-sector SDP's require contractors to comply with numerous regulations in establishing Minority, Women and Disadvantaged Business Enterprise certifications, award eligibility and performance competency. Once certified, the small business owner often finds themselves at a loss on how to utilize their certification, retrieve information on opportunities, responding to bid requests.

MWBE Enterprises assist certified organizations procure new relationships, through direct marketing, within the either the private and public procurement sector and specifically within Corporate 500 Supplier Diversity Programs (SDP's). We connect our clients with SDP's both locally and nationally based on each client's opportunities, capacity, individual expertise and strategic goals. MWBE will help you determine which companies to apply with for Preferred Vender Status as a certified Women or Minority-owned business. We will maintain and ensure that your company is on approved vendor lists, while being connected to quality opportunities. Additionally, should your company require, MWBE Enterprises can also help examine and critique potential opportunities and assist in responding to "Request for Proposal" (RFP's).

 

We hope you found this article helpful.

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