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Purpose
To participate in the 8(a) Business Development Program (8(a) Program), a firm must be 51% owned and controlled by socially and economically disadvantaged individuals. The New applicant owner or owner(s) who are claiming social and economic disadvantage can demonstrate their individual social disadvantage through one of two options: by writing a narrative or by completing the fillable questionnaire in http://Certify.sba.gov . Existing Program participants should prepare their narrative and upload it to Certify according to the instruction posted here.
This guide will provide insight into what elements to include in demonstrating social disadvantage.
Definition
The definition of social disadvantage means that an individual has been subjected to racial, ethnic, or cultural bias within American society because of their identities as members of groups and without regard to their individual qualities. See 13 CFR 124.103(c).
An individual only needs to establish social disadvantage once for the entirety of the program term.
How SBA Determines Disadvantage
SBA must determine that the discrimination or bias experienced by an individual is chronic, substantial, and has occurred within American society (not within another country). Additionally, the discrimination must have negatively impacted your entry or advancement in the business world.
Key Elements of Social Disadvantage
To demonstrate social disadvantage, business owner(s) should include the following elements:
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Business owner(s) who choose to complete the questionnaire can input a maximum of 1,000 characters per each fillable field. SBA can request additional information, if needed.
Indication of Identity
Clearly describing which identity or characteristics you possess which have been subject to discrimination helps SBA understand your experience and eligibility for the 8(a) Program.
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One identity/characteristic is sufficient to establish social disadvantage, although individuals with multiple identities/characteristics may wish to specify more than one, as it is often difficult to determine which single characteristic is subjected to discrimination.
Descriptions of Incidents
An individual should typically provide two incidents of bias to establish chronic and substantial social disadvantage. One incident may be enough to establish social disadvantage if it is pervasive or recurring. SBA recommends limiting yourself to two examples to avoid unnecessary delays during the review process.
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For each incident, please describe who, what, where, why, when, and how discrimination or bias occurred. Incidents are more readable if they provide information in the following order within a narrative:
When – Explain when the discriminatory conduct occurred. Exact dates, where available, are preferred but are not necessary so long as the incident provides a specific time period. This discrimination can be from any period of your life; you do not need to be experiencing current discrimination to qualify.
Where – Explain where the discriminatory conduct occurred. The incident must have occurred in American society.
Who – Explain who committed the discriminatory action. This could include an individual, a group of individuals, or an institution. Individual names, where available, are preferred but not necessary so long as the incident provides a specific figure or organization.
What – Explain the discriminatory conduct.
Why – Explain the reason(s) that the conduct was more likely motivated by bias or discrimination than other non-discriminatory reasons. Without additional facts, a mere assertion that the action was the result of bias or discrimination is will not be enough to support a claim of social disadvantage.
How - Explain how each instance of discriminatory conduct impacted your entry into or advancement in the business world. Offensive comments or conduct, while reprehensible, will not support a claim of social disadvantage if there is no negative impact associated with the incident.
Examples: When
The following are examples that would satisfy the level of detailed required by SBA:
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Examples: Where
The following are examples that would provide the level of detailed required by SBA:
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Examples: Who
The following are examples that would satisfy the level of detailed required by SBA: ·
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Examples: What
The following are examples that would satisfy the level of detailed required by SBA:
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The following are examples that would not provide the level of detail required by SBA:
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Examples: Why
The following are examples that would satisfy the level of detail required by SBA:
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Examples: How
The following are examples that would satisfy the level of detailed required by SBA:
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The following are examples that would not provide the level of detail required by SBA:
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