Women Owned Business is also known as WOSB. Let’s explore this concept:
What to know about Women Owned Business Certifications
There is a lot to know about certifications for a business. One thing in particular to learn about is Women Owned Certifications. Companies owned, controlled, or managed by 51% women or more could qualify for a certification which would gain them government contracts. There are multiple types of certifications a business can apply for that are a little bit different. There are several certifications a business can apply for like the WOSB (Women Owned Small Business, EDWOSB (Economically Disadvantaged Women Owned Small Business), NAICS (North American Industry Classification System), and the WBE (Women Business Enterprise). There are differences between each of these certifications but they can help companies in their own ways. They may even combine to help businesses thrive more because they are classified as a small business and a women owned business. These different types of certifications make it so more groups are able to qualify for more assistance and different types of contracts. TRUiC is a website that guides business owners through the process of learning about and applying for these certifications which can be very helpful to new business owners. Visit their website to see https://startupsavant.com/how-do-you-become-a-certified-woman-owned-business.
What is a WOSB certification?
The WOSB is a program run by the SBA (Small Business Association). Once a company is established, they’d need to apply for the certifications through the SBA and can apply for any that they qualify for. Government agencies reserve contracts for businesses that are part of the SBA and this extends to WOSB companies. Many years ago the government created a program to financially help small businesses and women owned businesses with at least 5% of all federal contracting dollars. Recently, in 2015 this goal was met. This program helps women owned businesses thrive through government assistance because typically it is more difficult for women to be successful in creating their own companies and thriving in them. This is a way to encourage businesses to become more diverse in their hiring and staffing. It also encourages businesses that have women leaders to move forward with any plans or ideas they have. The encouragement from the government has helped establish women in a previously prominently male run industry.
What is an EDWOSB certification?
An EDWOSB certification is similar to the WOSB certification in that it is for companies who are at least 51% owned by women and helps them gain contracts through federal, state, and local governments. The difference with this particular certification is that it is aimed toward companies whose owners are disadvantaged. They may be from a more disadvantaged area or just come from different situations that the government is looking to help them rise above. Is it important to the local communities that are disadvantaged that the businesses thrive there to help stimulate the economy.
What is a WBE certification?
A WBE is another kind of certification for businesses owned by at least 51% women. This particular certification is for Women Owned Enterprises. These certifications are meant to help women owned businesses in federal and state levels to gain contracts and assistance from the government. The biggest difference between this certification and a regular WOSB certification is the type of contracts they’ll be eligible for. While a WOSB will make companies eligible for federal contracts, a WBE certification will allow companies to work with private contacts as well. This is more like an extension to the WOSB program.
What is the difference?
The biggest difference in these types of certifications is situation. Each type is meant for companies that are more than half owned and operated by women. Each certification also assists in gaining these companies contracts and assistance through federal, state, and local government. The only real difference is the type of assistance they may need. Some companies are basic women owned companies that just need assistance thriving. Others come from more disadvantaged groups of women or areas. Some are enterprises which require a different type of support. Each is a variation of what the government hopes they can help support to have successful and diverse companies in their small business group.
Is it a good idea?
There is no downside to certifying a company through this program, but there is a bit of a process to get the company certified. The business owners would need to prove they are at least 51% owned, run, or managed by women. It may be worth the work however, because the government would assist them in getting contracts and federal, state, or local assistance. Depending on the company, they’d also qualify for more or different contracts. Certifying a Women’s Owned Company can only help a business thrive and open them up to more possibilities. There are no negative effects of going through this process.