Black Owned Business: Government Contracts Can Increase Your Revenue
Do you want to know one of the best ways to grow the revenue of a black owned business: government contracts! Not only do federal, state, and municipal governments spend an annual average of $1,000,000,000,000 (1 trillion dollars) on contracts to purchase products or services from privately-owned businesses, these governments also give priority to minority-owned businesses, or MBEs. For example, the Department of Transportation requires that at least 10 percent of their budget is allocated for contracts awarded to minority-owned businesses. In fact, 5 percent of the federal government’s contracting budget is reserved for minority-owned businesses. Often, there are not enough minority-owned businesses submitting bids so, despite having priority, the contracts go to companies who are white male owned or the contracts are awarded to the same few minority-owned businesses.
What Is An MBE?
An MBE can refer to a Minority Business Enterprise or a Minority Business Executive. It is not only governments seeking to do business with minority-owned enterprises. Companies both large and small and including Fortune 500 companies and industry leaders, are actively seeking small and medium sized businesses owned by minorities to purchase from. Common misconceptions about MBEs include:
- It is difficult to become an MBE.
- MBE business owners know people in the governments or major corporations that help them secure the contracts.
Neither of these are true. Women, racial/ethnic minorities, veterans, and other groups considered to be disadvantaged are eligible for the many benefits that come with certification, and are eligible immediately after being certified. There are many benefits of certification. Certified business owners are eligible for opportunities with governments and Fortune 500 corporations that, as a small business, would be almost impossible to come by otherwise. With a minority certification, your business is placed directly in front of decision makers at leading corporations that are committed to doing business with minority-owned businesses. Benefits include:
- Preference for loans for new and existing businesses
- Access to databases of government agencies or large corporations seeking to purchase from minority or woman-owned businesses
- Training, mentorship programs, educational programs, and similar resources
- Access to networking opportunities with business owners, government officials, etc. to create relationships and grow awareness of your company
Businesses in almost every industry and sector are eligible for contracts with large corporations and governments with diversity supply goals. Industries include:
- Staffing/Human Resources
- Technology/Information Technology
- Interior Design
- Food Supply/Services
- Property Management
- Janitorial Services
- Much More
Contact BLKStreet today to find out if your business is eligible for certification and how to start receiving contracts from government agencies and leading global corporations: http://blkstreet.com/contact/