SDVOSB (Service-Disabled Veteran-Owned Small Business)

SDVOSB is a designation for small businesses owned and controlled by service-disabled veterans. SDVOSB set-aside contracts are reserved exclusively for these businesses, and the federal government targets 3% of contracting dollars for SDVOSBs.

How It Works

To qualify, the business must be at least 51% owned and controlled by one or more service-disabled veterans. The VA has additional certification requirements (VOSB/SDVOSB verification) for VA-specific contracts. SDVOSB status is particularly valuable for VA contracts, which have an aggressive SDVOSB preference policy. Sole-source awards up to $7M are possible.

Example

A veteran-owned security company with SDVOSB certification bids on a VA hospital security guard contract set aside for SDVOSBs. Only other certified SDVOSB firms can compete, dramatically reducing the competition.

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