Common Tricks to Streamline SBA 8a Application Process

 The rules and regulations of the SBA program are quite stringent, since the 8A certification offers federal benefit to a selected number of applicants. However, in order to avoid the austere SBA 8a application policies set by the SBA and to adapt federal contracts simultaneously, a number of small firm owners attempt to outwit the strict guidelines with few manipulations and tricks.

Here’s a look at some of the most common tricks used by the business owners during SBA 8a application.

SBA professionals highly recommend all 8A applicants, especially the ones who are rightful and honest in their approach, not to try any trick while applying for the certification. Applicants often overlook the simple fact that SBA has administered and managed the 8A certification programs for almost 50 years and is completely aware of all the loopholes. Hence, it is not possible to pull something over on the SBA by using some special business con, trick or manipulation. The SBA has seen all such workarounds before and has been dealing with such fraudulent activities since 1960.

Common tricks often tried by 8A applicants

According to SBA professionals, there are 10 frequent manipulations often attempted by a tiny subset of SBA 8a application. To get over with the entire application process in a hassle-free manner, such tricks can be utilized.

• Acquiring contracts from any past employer or a family member to display that the small firm owner has adequate expertise

• Concealing the expunged arrest record of the business owner, thinking SBA will never ever know about it

• Transferring the ownership to a female or wife of the owner to avail the benefits offered by women owned businesses

• Using documents and paperwork to cover up the truth that the business loan, official lease or bonding has been granted by a family member

• Introducing special clauses in the management of the company of the applicant to offer special powers to officials of the organization who are non-disadvantaged

• Appointing a minority as the President of the company in order to gain the benefits of social disadvantaged by claiming the communal status of its chief executive

• By giving away property or cash to the family members of the business owner in order to forcibly fit under the economic disadvantage section

• Having an offshore office and thinking SBA will overlook it if an applicant does not claim for the employees or revenues

• Trying to conceal a side business or active involvement in a different company

• Refusing to offer the required documents and paperwork asked by the SBA, thinking SBA will eventually overlook it

Final thoughts

According to SBA certification experts, maintaining an honest and open source providing complete disclosure of all the details of the applicant is the ideal way to approach the 8A programs. An applicant must divulge all the related facts such as past arrest or a 30%drop in the revenue of the company last year to make things streamlined in their SBA 8a application. To add to it, the SBA has recently bolstered its scam and hoax investigations and has visited a number of 8A companies to clarify the claims. Hence, when it comes to applying to SBA 8A application programs, maintaining honesty is the best policy for all candidates.