How Do Veteran-Owned Businesses Benefit the Economy?
Veteran-owned companies are a powerful economic force in an increasingly competitive world. Their success is based on the skills and leadership they acquire while serving in the military and their commitment to the community.
They are an excellent example of what citizens can achieve when working together to help small businesses and communities. This is a small but significant deed that can help to strengthen our nation.
Small businesses are at the vanguard of employment creation and economic growth. In reality, they account for 44% of total economic activity in the United States.
The military teaches many skills that transfer to business, such as leadership and a feeling of mission. These characteristics, combined with discipline, assist veterans in navigating various challenges as entrepreneurs.
These abilities are necessary for establishing a thriving company. They also make it simpler for veterans to compete in the labor market.
While veterans face some unique challenges, they also offer a wealth of experience and expertise in small business. This enables them to thrive and remain in business longer than other small businesses.
Veteran-owned companies outperform other businesses in terms of success, which benefits the economy. They are more dependable and have a better track record when working with government contracts.
They are also more likely to have a robust support network. They are also well-liked by the general population and understand what it takes to get things done.
Whether you’re a veteran seeking to start a business or a small business looking to expand, you may be eligible to become a VOSB. This certification will allow you to compete for government contracts and funding reserved for veteran-owned companies.
The SBA has set a target of 3% of federal contracts going to service-disabled veteran-owned small companies. (SDVOSB). Many government agencies have committed to purchasing a portion of their work from these firms each year, creating many opportunities for those who qualify.
The federal government spends billions of dollars on private-sector goods and services. Veteran-owned businesses have access to this purchasing power and are more likely to obtain government contracts than non-veteran-owned businesses.
The Department of Veterans Affairs is one of the world’s largest buyers, spending approximately $3 billion annually with veteran-owned companies.
To be eligible for government contracting opportunities, you must demonstrate your veteran status and satisfy additional requirements. The VA, fortunately, has a helpful website and personal assistance counselors to assist you with the verification procedure.
You can also seek to become a Veteran-Owned Small Business (VOSB) or Service-Disabled Veteran-Owned Small Business Enterprise (SDVOSBE). (SDVOSB). You must own at least 51 percent of the business and have the authority to manage day-to-day operations and make strategic decisions to become certified.
Access to government assistance is a veteran-owned businesses’ most important advantage over non-veteran-owned businesses. This includes money, resources, and lucrative government contracts set aside just for them.
The Small Business Administration (SBA) provides various services to veteran-owned companies. Customized curriculums, in-person classes, and online courses that teach the basics of entrepreneurship are examples of these.
Through its Opens in new windowLender Match Tool, the SBA also offers financing options for veterans. Another excellent chance for veterans is the Military Reservist Economic Injury Disaster Loan Program (MREIDL), which provides loans to businesses if a key employee is called to active duty in the military.
