The benefits of obtaining a disadvantaged certification, which can range from a few thousand to millions of dollars, can be significant to small businesses interested in engaging in business-to-business (B2B) and business-to-government (B2G) contract opportunities.
Federal and many local government authorities have programs in place that set aside a percentage of what they spend on contracts and supplier opportunities exclusively for certified disadvantaged businesses. Additionally, many private organizations maintain supplier diversity policies that provide access to contracts for businesses with a disadvantaged designation. The benefit of certification programs to these public and private organizations is that the programs create a qualified, well-vetted pool of small businesses competitively bidding for their contracts.
There are diverse certifications, as well as certifying agencies. The grid below sorts out details to help you determine which certification(s) is best for your business.