Q&A

Do businesses need Woman Owned Business?

Yes. Some of the reasons that businesses need Woman Owned Businesses are:

They are or want to be Prime Contractors with government agencies and are,

therefore, required to use Woman Owned Businesses (WBEs) as Subcontractors.

They have established goals for the amount of money they will spend with WBEs

They have a policy that rewards and measures their staff and management on how

they utilize WBEs

You will have to conduct research to find these businesses and qualify them as true prospects for your business. Janet Christy's book Capitalizing On Being Woman Owned provides detailed how-to guidance.

Note: A business may use the term Minority Business, but include woman-owned businesses in this classification. Do not assume that Minority does or does not include woman-owned. You may have to do further research to determine this.

What is Vendor Diversity?

Vendor Diversity means that a business or government agency understands that having a diverse list of vendors is beneficial and that if that list is truly diverse it will include Minority and Women Owned Businesses (MWBEs). A business or government agency may also have to use MWBEs because of contract or legal requirements and uses this term to describe the program/process they use to meet the requirements. Implementing Vendor Diversity usually involves one or more of the following:

A policy

Goals for the use of MWBEs

Vendor Diversity Coordinator(s)

A bidding/purchasing process that is friendly to MWBEs

How does Vendor Diversity apply to me?

If you are a Minority or Woman Owned Business (MWBE) then the fact that a business or government agency uses Vendor Diversity provides you:

An equal playing field

Opportunities

A competitive edge

Attention you might not otherwise have

I registered as a vendor on several large business and government websites, but no one has called me, why not?

It is very important to register as a vendor on the websites of large businesses and government agencies that you consider prospects. But that probably won’t make them call you. People still do business with people, usually people they know. You must let the prospects know about your business and how your products/services specifically fit their needs. You must contact them and then find ways to keep your business in front of them. Even though they want you on the vendor list, it’s seldom the first place they look when seeking a vendor. They look at their own list first and you need to be on that list. View registering on the vendor lists as a first step not the only step.

Janet Christy's book Capitalizing On Being Woman Owned provides detailed how-to guidance.

What is certification for Woman Owned Businesses?

Certification is both a process and a validation. The validation is that your business is a Woman Owned Business (WBE) and that your business meets specific requirements. The primary requirement is that the business is at least 51% owned and managed by a US Citizen woman or women. Other requirements used by certifying entities can include:

Business has been in existence and owned by a minority for a specific time

Business owner has a personal worth (assets minus liabilities) at or below a specific amount

Business owner is disadvantaged – certifying entity defines “disadvantaged”

How do I know if I should be certified as a Woman Owned Business (WBE) and which one is best for me?

Certification does not guarantee you business. It can open a door, provide a competitive edge or be a

tie-breaker. You must know your prospects and customers/clients in order to know if being certified gives you an advantage. Usually a prospect, customer or client will let you know that they have a policy and/or goal for using WBEs and that they require WBE certification. They may let you know by telling you, but more likely it will be published on their website and possibly in a vendor policy. The website and policy will include the specific certification(s) they accept.

Remember that some businesses and government entities include women business owners in the “minority” classification, but do not assume that is true. You may have to investigate further to be sure.

The Business Hospital for Women offers a one-time consulting session to help you make this determination. Cost for a phone session is $200. Call 864-244-4117 or email janet@businesshospitalforwomen.com to arrange an appoitment or get more information on this service.

What is involved in getting certified as a Woman Owned Business?

The certification process involves providing documentation that your business meets the criteria established by the certifying entity. It may also involve a visit to your business by a Site Inspector. Some of the typical documentation required is:

Sworn Affidavit that you are a woman business owner

Tax Returns for the business and the business owner(s)

Proof of investment

Proof that the Woman Owner actually manages the business (such as: organization structure, bank

signature authorization, signed contracts/leases)

Personal Financial Statement

Proof that your business can provide the products/services you offer (i.e. appropriate licenses,

equipment, inventory, etc.)

The Business Hospital for Women offers assistance in this process; cost is on a case-by-case basis determined by the specific help you need. Call 864-244-4117 or email janet@businesshospitalforwomen.com or get more information on this service.

What kind of Subcontracting opportunities are available to Woman Owned Businesses?

Most Federal Government Agencies require their Prime Contractors to submit Subcontracting Plans showing how they will use Woman Owned Businesses (WBEs) on projects valued at $500,000 or more ($1,000,000 if it is a construction project). That means these Prime Contractors are actually looking for qualified WBEs. One place to find this information is SUB-Net on the SBA (Small Business Administration) website at www.sba.gov.

Many State Government Agencies require, incent or encourage the use of WBEs as Subcontractors by their Prime Contractors. Some local government agencies and schools districts also use this practice.

More and more large corporations are requiring or encouraging their Tier One Suppliers (those that they deal directly with) to utilize WBEs as subcontractors. Some corporations even use this as part of their evaluation of vendors.

Prime Contractors need you, but you have to let them know you exist.

What kind of Subcontracting opportunities are available to Woman Owned Businesses?

Many State Government Agencies require, incent or encourage the use of WBEs as Subcontractors by their Prime Contractors. Some local government agencies and schools districts also use this practice.

Prime Contractors need you, but you have to let them know you exist.

The Business Hospital for Women offers assistance in identifying these opportunities. Cost for research and plan development is on a case-by-case basis. Call 864-244-4117 or email Janet Christy at

janet@businesshospitalforwomen.com to get more information on this service.