certificationsasa strategy presentation

Georgia SBDC NetworkCertifications

A Marketing Strategy for Winning Contracts

With Corporations and the GovernmentPresented by:

Erica BraceyBusiness Consultant

Georgia State University SBDC

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AgendaAlphabet Soup

Private Sector vs Public Sector Certifications

Benefits of Certification

Role of SBDC Consultant in the Certification Process

Certification Requirements & Documentation

Common Mistakes to Avoid

A License to Hunt – Marketing The Certification

Impact – Managing The Results

Certification as a Strategy

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Certifications 101Making sense of Alphabet Soup

Certification as a Strategy

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Certifications 101

Certification as a Strategy

Public Sector Certifications

Private Sector Certifications

Same Game….…..Different Perspective

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Certifications 101Making sense of Alphabet Soup

WBE

MBE

PDBE

GLBT

Private Sector

Certifications

Certification as a Strategy

8(A)

WOSBEDWOS

B

Hub Zon

e

SDB

Public Sector

Certifications

VOSB

SDVOSB

DBE

GSA Sched

ule

Certifications 101Making sense of Alphabet Soup

WBE

MBE

PDBE

GLBT

Private

Sector

8(A)

WOSB

Hub Zon

e

SDB

Public

Sector

VOSB

SDVOSB

DOT

DBE

GSA Schedul

e

Private Sector Certifications

  WBE

Woman Business Enterprise

  MBE

Minority Business

Enterprise  

PDBEPerson with Disabilities

Business Ent.  

GLBTGay, Lesbian,

Bisexual, Transgender Business Ent.

 8(A)8A Business

Dev. Program 

WOSBWoman Owned Small Business

  EDWOSBEconomically

Disadvantaged WOSB

  HubZoneHistorically

Underutilized Business Zone

VOSBVeteran Owned Small Business

 SDVOSB

Service Disabled VOSB

 DOT DBE

Dept. of Transp. Disadvantaged Bus. Enterprise

GSA Schedule

General Service Administration

Schedule 

Public Sector Certifications

SDBSmall Disadvantaged Bus.

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Private Sector Certifications

Certification as a Strategy

WBE’s

MBE’s

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Private Sector Certifications

The Women's Business Enterprise National Council (WBENC)

Largest third-party certifier of businesses owned controlled, and operated by women

14 Regional Partner Organizations WBENC is also the nation's leading advocate of women-owned businesses Approved Third-party for SBA WOSB

WBENC Certification 51 percent owned, controlled, operated, and managed by a woman or

women. Formal documentation and site visit process WBENC Certification gives women-owned businesses the ability to compete

www.WBENC.orgCertification as a Strategy

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Private Sector Certifications

The National Minority Supplier Development Council ® (NMSDC®)

Chartered in 1972 to provide business opportunities for minority businesses

Provides a direct link between corporate America and minority-owned businesses

One of the country's leading business membership organizations.

NMSDC Certification Gold standard for certifying minority-owned businesses by corporate

America 51 percent owned, controlled, operated, and managed by minority Formal documentation and site visit process Asian, Black, Hispanic and Native American business owners

www.NMSDC.org Certification as a Strategy

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Benefits of Private Sector Certifications

Access to supplier diversity and procurement executives

Formal & informal networking with corporate buyersConferences, business fairs and matchmaking

sessions Electronic database of certified small business

ownersFoster long-term and mutually beneficial business

relationshipsStrategic partnershipsJoint Ventures 

Certification as a Strategy

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NMSDC MBE Corporate Spend Provided by

NMSDC

$110.8 Billion – 2011 $105.2 Billion – 2010$101.1 Billion – 2009$100.5 Billion – 2008$104.7 Billion – 2007$100.3 Billion – 2006$ 94.6 Billion – 2005

Certification as a Strategy

Benefits of Private Sector Certifications

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Benefits of Private Sector Certifications

Certification as a Strategy

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WBE

Gender

Based

Ethnicity NOT a

consideration

Permanent Legal Resident

Alien

US Citizen OR

MBE

Ethnicity

Based

Gender NOT a

consideration

US Citizen ONLY

Certification as a Strategy

Certification Program Eligibility

Certification Program Eligibility

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WBENC WBE Certification

Certification as a Strategy

Documentation Required for WBENC Legal entity documentationTax returnsBank signature cards ResumesEvidence of genderEvidence of citizenshipFinancial statementsPersonnel documentation

Processing FeeBetween $350 - $1000

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NMSDC MBE Certification

Certification as a Strategy

Documentation Required for NMSDC Legal entity documentationTax returnsBank signature cards ResumesEvidence of ethnicityEvidence of citizenshipFinancial statementsWork History

Fees$500 processing fee$350 annual recertification fee

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WBE

Gender

Based

Ethnicity NOT a

consideration

Permanent Legal Resident

Alien

US Citizen OR

MBE

Ethnicity

Based

Gender NOT a

consideration

US Citizen ONLY

Certification as a Strategy

WBE vs MBE

July 2011The Small Business Administration (SBA) has APPROVED WBENC as a Third-Party

Certifier - providing Women Owned Small Business (WOSB) certification - for the

SBA's WOSB Federal Contracting Program.

For some time, WBENC has investigated additional ways in which it can support its mission of leveling the playing field for women's business enterprises (WBEs) not only in the private sector, but also in the public sector. Now WBENC is at an historic moment and is proud to announce it will take its world-class certification into the government arena by delivering WOSB certification.

January 2009GWBC entered into MOU with City of Atlanta

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Certifications 102More Alphabet Soup

WBE

MBE

PDBE

GLBT

Private Sector

Certifications

Certification as a Strategy

8(A)

8(M) WOS

B

Hub Zone

SDB

Public Sector

Certifications

VOSB

SDVOSB

DBE

GSA Sched

ule

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Public Sector Certifications

8(A) Business Development Program business assistance program for small

disadvantaged businesses socially and economically disadvantaged individuals participation in the program is divided into two

phases over nine years a four-year developmental stage and a five-year transition

stage

Certification as a Strategy

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Public Sector Certifications

Historically Underutilized Business Zones (Hub Zone) small businesses in urban and rural communities

gain preferential access to federal procurement opportunities

35% of staff must live in a HubZone company "principal office“ must be in specially

designated area 3% annual goal

Certification as a Strategy

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Public Sector Certifications

GSA Schedule fast, easy, and effective contracting vehicle “Most Favored Customer” (MFC) pricing Special Item Numbers (SINs) intensive screening criteria Indefinite Delivery, Indefinite Quantity (IDIQ)

contracts

Certification as a Strategy

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Public Sector Certifications

Service Disabled Veteran-Owned Small Business Veterans Entrepreneurship and Small Business Development

Act of 1999 Veterans Benefits Act of 2003 Service-Disabled Veteran-Owned Small Business Concern

Program

Purpose of the SDVOSBC Program exclusive competition sole source awards Certification as a

Strategy

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Public Sector Certifications

Women-Owned Small Business Federal Contract Program 51 percent owned, controlled, operated, and managed by a

woman or women self-certification OR certified by an SBA-approved Third-Party Certifier WOSB EDWOSB

Certification as a Strategy

Over 300 NAICS codes currently eligible for Federal contracting under the WOSB Program

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Public Sector Certifications

Disadvantage Business Enterprise DOT-assisted State and local transportation agency

is required to establish DBE goals. DBE subcontracting goals DBE Certification Officers widely accepted by most States

http://www.sba.gov/content/state-government-certifying-agencies

Certification as a Strategy

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Benefits of Public Sector Certification

Access to SADBU’s Formal & informal networking with government

buyersConferences, Business Fairs and Matchmaking

Sessions Electronic database of certified small business

ownersNetworking activities Foster long-term and mutually beneficial

business relations 

Certification as a Strategy

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Benefits of Public Sector Certification

Certification as a Strategy

  8 (A) 8 (M)WOSB

EDWOSB HubZone VOSB DBE GSASchedule

Managing Agency SBA SBA SBA SBA Department of Veteran Affairs

Department of Transportation

General Services Administration

Start-Up Businesses Can Apply No Yes Yes Yes Yes Yes No

Must Be In Business > 2 years  YesWaivers Eligible 

in Certain Circumstances

No No No No No Yes

Must Meet SBA Small Business Size Standards

Yes Yes Yes Yes Yes Yes No

Restrictions on NetWorth Yes Yes Yes Yes Yes Yes No

Restrictions on Location of Principal Office No No No Yes No No No

Business Tax Returns Required Yes Yes Yes Yes Yes Yes Yes

Personal Tax Returns Required Yes Maybe Maybe Maybe Maybe Maybe No

Must Demonstrate Past Performance Yes No No No Maybe Yes Yes

Program Length 9 years IndefiniteCertain 

information must be updated annually

IndefiniteCertain 

information must be updated annually

IndefiniteMust Recertify Every 3 Years 

IndefiniteMust Renew Every 2 Years 

Indefinite 5 Years with three 5 Year Extension 

Options

Average Time for Approval 6-9 Months (often longer)

Self-Certification

Does not require approval

Self-Certification

Does not require approval

3 –5 Months Approx. 4-8 Weeks

3 –5 Months 3-6 Months

Application Complexity  High Low Low Moderate Moderate Moderate High

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Benefits of Public Sector Certifications

Certification as a Strategy

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Benefits of Public Sector Certification

Certification as a Strategy

Estimated Obligations Negotiated

Direct Dollar Value Goal

Small Businesses $882 M 42.0%

Small Disadvantaged Businesses $105 M 5.0%

Women-Owned Small Businesses $105 M 5.0%

HUBZone Businesses $63 M 3.0%Service Disabled Veteran Small Businesses $63 M 3.0%

Subcontract Dollar Value Goal

Small Businesses $220 M 53.3%

Small Disadvantaged Businesses $20 M 5.0%

Women-Owned Businesses $20 M 5.5%

HUBZone Businesses $12 M 3.0%Services Disabled Veteran-Owned Small Businesses $12 M 3.0%

Fiscal Year 2012-2013 Agency GoalsThe U.S. Environmental Protection Agency (EPA) goals for Fiscal Years (FY) 2012/2013 are based on estimated obligations of $2.1 billion for direct and $400 million for subcontract.NOTE: 8(a) and SDB has a combined goal

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Role of SBDC Consultant

with Clients Seeking Certification

Certification as a Strategy

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Strategy

Certification as a Strategy

Strategy drives Marketing ….

……Marketing does NOT drive Strategy

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Role of SBDC Consultant

Educate client on benefits of certificationBe an objective 3rd partyServe as intermediary between applicant &

certifying organizationMaintain credibility & visibility within business

communityStay knowledgeable about national & local eventsSource & Recruit long term AND good clients

Certification as a Strategy

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Certification Assistance Process

Meet and interview the business owner

Determine certification eligibility

Educate business owner on the process

Review application and supporting documentation for accuracy and completion

Post certification follow up and ongoing consulting

Certification as a Strategy

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Why do applications get declined?

Certification as a Strategy

Industry Specific

Certifications

False Preten

se

Arms Length

Transactions

Bylaw Discrepanci

es

Board of

Director Issue

Ownership but not in Control

Business Not Eligibl

e

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Yeah!!! We’re Certified

Certification as a Strategy

Bag ‘O

Certifications

NOW WHAT???

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Marketing the Certification

“Don’t just send a check and expect magical contracts to just fall from heaven…

…The way to get the most out of certification is

to establish sound, long term relationships.”

Ken HuffSupplier Diversity Manager GA Power

Certification as a Strategy

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Marketing the Certification

Certification is the beginning of the process

Encourage developing marketing strategy and implementation plan for EACH certification

Coach clients on networking skills and best practices

Certification as a Strategy

Marketing the Certification

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Why Bother with Certifications?

Benefits to ConsultantReferral SourcesArea of ExpertiseImpact Clients Long Term CasesSuccess Stories

Certification as a Strategy

Final Thoughts

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Help at your fingertips

Helpful Siteswww.nmsdc.orgwww.wbenc.orgwww.sba.gov

Contracting Opportunitieswww.fbo.govwww.gtpac.org – Useful Links!

Certification as a Strategy

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Thank You

Certification as a Strategy

Questions

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Thank You

Ebracey@georgiasbdc.orgGeorgia SBDC Network * www.georgiasbdc.org

Certification as a Strategy