A diverse business is any business that is at least 51 percent owned by a woman (WBE), minority (MBE) or a business that is independently owned and operated, and able to qualify under criteria defined in the U.S. Small Business Administration’s (SBA) Table of Small Business Size Standards concerning number of employees, average annual receipts or other criteria as outlined by the SBA.
Please see below for detailed descriptions.
A small business concern is defined as pursuant to Section 3 of the Small Business Act. Generally, this means a small business concern organized for profit, which is independently owned and operated, is not dominant in the field of operations on a national basis, and meets the size standards as prescribed in government regulations.
https://www.sba.gov/federal-contracting/contracting-guide/size-standards
A small disadvantaged business is a small business concern which is (a) at least 51 percent owned and control by one or more socially and economically disadvantaged persons, and (b) must be small according to SBA’s size standards.
https://www.sba.gov/federal-contracting/contracting-assistance-programs/small-disadvantaged-business
A woman business enterprise (WBE) is a U.S.-based business concern which is (a) at least 51 percent owned by women, and (b) whose management and daily business operations are controlled by one or more of the women who own it.
This program is based on the geographical area where your business is located and where 35 percent of your employees reside. The company must be small, located in a Historically Underutilized Business Zone (HUBZone), owned and controlled by one or more U.S. citizen(s) and at least 35 percent of its employees must reside in a HUBZone.
https://www.sba.gov/federal-contracting/contracting-assistance-programs/hubzone-program
A veteran-owned small business (VOSB) is a business which is (a) at least 51 percent owned and controlled by one or more veterans, and (b) must be small according to SBA’s size standards. The term “veteran” has the meaning defined in 38 U.S.C. 101 as a person who served in the active military, naval, or air service, and who was discharged or released therefrom under conditions other than dishonorable.
https://www.sba.gov/business-guide/grow-your-business/veteran-owned-businesses
A disabled veteran-owned small business (SDVOSB) is a business which is (a) at least 51 percent owned and controlled by one or more Service Disabled Veterans (SDV), (b) the SDV must have a service-connected disability that has been determined by the Department of Veterans Affairs or Department of Defense, (c) the SDV must hold the highest officer position in the SDVOSB and (d) must be small according to SBA’s size standards.
A woman-owned small business is a small business concern which is (a) at least 51 percent owned and controlled by one or more women, (b) the women must be US citizens, and (c) must be small according to SBA’s size standards. In order for a WOSB to be deemed “economically disadvantaged,” its owners must demonstrate economic disadvantage in accordance with the requirements set forth in the final rule.
A minority business enterprise (MBE) is a U.S.-based business concern which is (a) at least 51 percent owned by minorities, (b) who are US citizens, and (c) whose management and daily business operations are controlled by one or more of the minority individuals who own it. Minority persons include African-Americans, Hispanics, Asian-Pacific Americans, Asian-Indian Americans and Native Americans.
