A HUBZone Certification gives a business a 10% pricing advantage over its competition bidding on the same government contract. When federal contracting officers are purchasing off GSA Advantage, often times a HUBZone reseller of a product is less expensive than the manufacturer because of this 10% price preference. HUBZone firms with GSA Schedules sell 350% more in terms of dollar volume than their small business peers.
HUBZone firms are eligible to bid on set-aside contracts limiting the scope of competition to only HUBZone certified firms.
All branches of the federal government have a 3% HUBZone budgetary target. The purchasing arms of all 600 federal agencies are in need constant need of HUBZone qualified firms to perform on contracts to meet these budgetary targets.
Large firms bidding on government contracts in excess of $550,000 must provide an allocation for HUBZone firm participation as part of the contract. Therefore, having a HUBZone certification will avail a firm to subcontracting opportunities.
The SBA has special programs set up for Bonding and Loans for HUBZone firms. This enables the firm to meet the financial requirements needed to perform governmental contracts.
A HUBZone certification may not currently fit your firm’s business objectives. Taking this into consideration, the counter-argument for obtaining this certification is the regularity in which ez8a is called whereby a firm is in dire need of obtaining its HUBZone certification. This certification is usually needed within a few weeks’ time in order to be awarded a major governmental contract. In reality it currently takes between 2 to 4 months for a firm to become HUBZone Certified. We advise all firms that presently meet the requirements for HUBZone to obtain the certification, as there is no expiration for this certification, to avoid loss of future contracting opportunities.