Friday, April 29, 2005

How to Apply for Minority-Owned Business Status

How to Apply for Minority-Owned Business Status

Being certified as a minority-owned business could help your company grow. Public and private organizations that are proactively looking to do business with minority-owned companies often want proof that the firm really is owned by a minority. Certification is available through many state and local governments, as well as private organizations such as the National Minority Supplier Development Council. Also, the Minority Business Development Agency, a part of the U.S. Department of Commerce, reports that certified minority-owned businesses can gain access to a percentage of government contracts that are "set aside" for minorities.

Instructions

    1

    Review your ownership structure to confirm that the company is at least 51 percent owned and operated by minorities -- the most important qualifying standard for minority certification according to the Department of Commerce. An example of minority groups includes Hispanic Americans, African Americans, Asian Pacific Americans and Native Americans.

    2

    Contact a regional office of the National Minority Supplier Development Council. According to its website, the council has certified more than 16,000 minority-owned businesses as of 2010. The organization reports that it uses a database and other efforts to promote the businesses it certifies. The businesses are promoted to major publicly-owned, privately-owned and foreign-owned companies, as well as to hospitals and universities.

    3

    Tell the council representative that you wish to be certified as a minority-owned business. Ask for the necessary paperwork to be sent to you by email or U.S. Postal mail. The process includes providing information about your company's owners, including copies of birth certificates, driver's licenses, resumes and more.

    4

    Apply for certification from a state or local government as well. Visit the Department of Commerce website to find a state or local government certifying agency near you. Certification by a government agency gives your company access to government contracts. The application process varies depending on the stage or local agency. Generally the process requires that you fill out of paperwork identifying the race of the company's owners along with other information such as a history of the business, its gross revenues and more.

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