Thursday, February 5, 2015

The HUBZone--What is it?

The HubZone program, administered by the U.S. Small Business Administration, was enacted by Congress in 1997 to help small businesses located in HUBZones get contract help, thus promoting job growth, capital investment and economic development in economically depressed areas, in both rural and urban communities, and on Indian reservations. HUBZone stands for Historically Underutlized Business Zone.

What does this mean in Frederick County? 
There are three designated HUBZone eligible Census tracts in Frederick County, two are located in the City of Frederick and one is located in the Town of Emmitsburg and outlying areas. To view the map, click here.

The program’s benefits for HUBZone-certified companies include:
  • Competitive and sole source contracting
  • 10% price evaluation preference in full and open contract competitions, as well as subcontracting opportunities.
The federal government has a goal of awarding 3% of all dollars for federal prime contracts to HUBZone-certified small business concerns. Click hereDownload Adobe Reader to read this link content to see a list of the biggest industries, by contracting dollar amount, for HUBZone companies and small businesses.

Eligibility for HubZone
To qualify for the program, a business (except tribally-owned concerns) must meet the following criteria:
  • It must be a small business by SBA standards
  • It must be owned and controlled at least 51% by U.S. citizens, or a Community Development Corporation, an agricultural cooperative, or an Indian tribe
  • Its principal office must be located within a “Historically Underutilized Business Zone,” which includes lands considered “Indian Country” and military facilities closed by the Base Realignment and Closure Act
  • At least 35% of its employees must reside in a HUBZone
Interested in finding out more? Contact our Small Business Development Center at 301-600-1058 or click on this link for more information.