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Government contracts are competitive, but the 8(a) Business Development Program gives small businesses a chance against larger companies. It’s a nine-year program for economically and socially disadvantaged small business owners that helps unlock access to federal contracts while providing mentorship, training, and other one-on-one support. To participate in the 8(a) program, small businesses first need to obtain 8(a) certification from the Small Business Administration (SBA).
Here’s more on how the Business Development Program works and the 8(a) certification requirements that you need to meet to participate.
Key Points
• The SBA 8(a) Business Development Program is a nine-year initiative created to help socially and economically disadvantaged small business owners access federal contracts, mentorship, and training.
• Certified businesses can pursue set-aside and sole-source federal contracts, with the government aiming to reserve at least 5% of federal contract spending for disadvantaged small businesses, including 8(a) firms.
• The program unfolds in two phases: a four-year developmental stage with training and support, followed by a five-year transitional stage to build non-8(a) revenue.
• To be eligible, businesses need to be at least 51% owned by U.S. citizens who are socially and economically disadvantaged, with personal net worth under $850,000.
• Applicants must check eligibility, meet with a local office, find their NAICS code, register, gather documentation, and submit the online application.
What Is the SBA 8(a) Program?
The SBA 8(a) program encourages small businesses to grow by helping them access contracting opportunities in the federal marketplace. It also supports business owners by providing assistance with management, technical, financial, and procurement. This business development program is designed to lift up small businesses and help them compete against larger, more established companies.
It’s geared toward socially and economically disadvantaged small business owners who have historically faced barriers to federal contracts and other business opportunities. This includes small businesses owned by Alaska Native corporations, Community Development Corporations, Indian tribes, and Native Hawaiian organizations.
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How the 8(a) Program Works
Businesses that obtain 8(a) certification from the Small Business Administration (SBA) can compete for federal contracts that are set aside for program participants. They may also be able to access sole-source contracts that don’t involve a competitive bidding process.
The program offers several forms of business development assistance, including mentorship, training, and the chance to pursue joint ventures with established businesses. Participants can also work directly with experts who understand the ins and outs of government contracting regulations.
How Long Does the 8(a) Program Last?
The 8(a) program has a maximum time frame of nine years, though the SBA and/or the small business can choose to shorten that term. The program usually has two phases:
• Developmental stage: For the first four years, businesses get training and support while pursuing federal contract opportunities.
• Transitional stage: In the latter five years, businesses start to pursue an increasing number of non-8(a) revenue so they can be competitive in the federal marketplace after leaving the program.
Participating businesses also need to complete annual forms and keep meeting 8(a) requirements to stay in the program. These include filing yearly re-certification data and verifying that the business is at least 51% owned by eligible U.S. citizens who are socially or economically disadvantaged.
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SBA 8(a) Program Benefits
The government usually sets aside at least 5% of its annual federal contracting dollars for small disadvantaged businesses. Along with helping small businesses obtain federal contracts, the 8(a) program offers various forms of assistance, including:
• One-on-one business development assistance
• Mentorship through the SBA Mentor-Protégé program
• Guidance from procurement and compliance experts
• Opportunities to pursue joint ventures with established businesses
• Potential to receive federal surplus property
• Training from the SBA’s Empower to Grow program
Businesses focused on growth can also consider exploring financing options like SBA loans.
They might also find small business startup grants through the SBA or another organization.
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8(a) Certification Requirements
To qualify for the 8(a) program, you’ll need to meet several requirements:
• Have a small business that’s been operating for at least two years and hasn’t already participated in the 8(a) program
• Your business must be at least 51% owned and controlled by socially and economically disadvantaged U.S. citizens
• Demonstrate good character and pass a background check
Socially Disadvantaged Individual Requirements
The SBA definition of social disadvantage is “those who have been subjected to racial or ethnic prejudice or cultural bias within American society because of their identities as members of groups and without regard to their individual qualities.”
While the SBA historically took race and ethnicity into account when making this determination, in early 2026 the Trump administration directed it to take a race-neutral approach. Now the SBA reviews applicants on an individual basis and requires evidence of discrimination.
Not all groups are subject to this rule change, however. Tribal enterprises, Alaska Native Corporations (ANCs), and Native Hawaiian Organizations (NHOs) have their own paths to eligibility for the 8(a) program.
Economically Disadvantaged Individual Requirements
The SBA defines economically disadvantaged individuals as “those whose ability to compete in the free enterprise system has been impaired due to diminished capital and credit opportunities.”
The program is only open to business owners who have a personal net worth no greater than $850,000, adjusted gross income no greater than $400,000, and assets totalling no more than $6.5 million.
The SBA doesn’t include funds invested in retirement accounts, ownership interest in the applicant firm, or equity in a primary residence when determining net worth.
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How to Apply for 8(a) Certification
Here are the steps you can take to apply for 8(a) certification:
1. Check your eligibility: Start by reviewing program requirements. Then head to SBA Certifications and fill out the eligibility questionnaire to confirm the program is right for you.
2. Meet with a local office or counselor: The SBA encourages you to meet with your local SBA District Office or an APEX Accelerator counselor to make sure you’re ready to apply.
3. Find your primary NAICS code(s): The government uses the North American Industry Classification System (NAICS) code to classify businesses. It’s required to confirm your firm falls into the small business category.
4. Register in the System for Award Management (SAM): You’ll need to create your business profile in the SAM. This is where you’ll ultimately apply for the 8(a) program.
5. Gather documentation: The specific requirements may vary depending on your business type, but you may need to provide ownership documents, financial statements, proof of U.S. citizenship, and tax returns.
6. Submit your application: When you’re ready, you can fill out and submit your application for the 8(a) program online. The SBA’s preparation hub offers helpful resources for filling it out.
The SBA has 90 days to process your application and make a decision. If you’re approved for an 8(a) certification, you’ll see your approval date and exit date for the 8(a) program on your SAM account and the Small Business Search (SBS) portal.
If your business isn’t eligible for an 8(a) certification, there may be small business loans for minorities that you can apply for.
The Takeaway
Government contracts can be difficult to procure, especially for small business owners who are socially or economically disadvantaged. The SBA’s 8(a) program helps level the playing field by opening up more access to set-aside and sole-source contracts to its participants. Plus, the program’s mentorship, training, and support can be invaluable for growing your business. If you’re interested in applying, start by reviewing the SBA’s resources and connecting with your local SBA District Office or APEX Accelerator counselor to determine your 8(a) eligibility and prepare your application.
Ready to grow your business? SoFi Small Business Loans can give you fast access to the capital you need. Check your eligibility in minutes.
FAQ
Who qualifies as socially disadvantaged for the SBA 8(a) program?
The federal regulation that governs the 8(a) program originally defined socially disadvantaged individuals as “those who have been subjected to racial or ethnic prejudice or cultural bias within American society because of their identities as members of groups and without regard to their individual qualities.” As of 2026, however, the Trump administration has instructed the SBA to use a race-neutral policy and look for alternative proof of social disadvantage. Small businesses owned by Alaska Native corporations, Community Development Corporations, Indian tribes, and Native Hawaiian organizations are not impacted by the rule change.
How long does 8(a) certification approval take?
The SBA 8(a) certification approval process typically takes up to 90 days from the time you submit your application.
Can an LLC get 8(a) certification?
An LLC can get 8(a) certification as long as it meets 8(a) requirements, which include not exceeding certain revenue thresholds and being at least 51% owned and controlled by U.S. citizens who are socially and economically disadvantaged.
What types of contracts can 8(a) certified businesses receive?
A business with an 8(a) certification can receive set-aside and sole-source contracts from the federal marketplace. The government sets aside at least 5% of all federal spending for 8(a) firms. With an 8(a) certification, a business can also be awarded sole-source contracts that don’t involve the usual competitive bidding process.
Is the SBA 8(a) program the same as a minority business certification?
No, the SBA 8(a) program isn’t the same as a minority business certification. The SBA 8(a) program is a federal business development program that helps socially and economically disadvantaged small business owners access training, mentorship, and federal contracting opportunities. Minority business certifications are programs that different organizations offer that may help minority business owners access contracting opportunities on the local, state, or private sector level.
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