8(a) Business Development Program Knowledge Quiz

What does Section 8(a) of the Small Business Act setup?

• Small Business Development Centers

• Sets up a program to award government contracts to small businesses owned by disadvantaged individuals

• The Small Business Administration

• APEX Accelerators

How many years does the 8(a) business development program last?

• 1

• 3

• 9

• indefinitely

What factors determine eligibility to the 8(a) program?

• Small Business, 51% owned by disadvantaged US citizens, demonstrated business success

• 51% owned by women

• Participated in 8(a) before

• 1 Year of business history

What is the SBA formula for Personal Net Worth?

• Net Worth = (Home Value + Retirement Accounts)

• Net Worth = (Home Value + Retirement Accounts+Business Equity)

• Net Worth = (Assets) - (Liabilities) - (Home Value + Retirement Accounts+Business Equity)

• Net Worth = (Assets) - (Liabilities)

Pick all correct answers: What role must the disadvantaged applicant hold?

• CEO
  

• President
  

• 
  Managing Member

• General Manager

True or False: The disadvantaged applicant(s) can live outside the USA.

• TRUE

• FALSE

Pick the requirements to be identified as economically disadvantaged.

• <850,000 Net Worth
  <400,000 Avg Income

  <6.5 M assets

• <500,000 Net Worth
  <200,000 Avg Income

  <3.5 M assets

• <1,000,000 Net Worth
  <300,000 Avg Income

  <4.5 M assets

• <250,000 Net Worth
  <100,000 Avg Income

  <1 M assets

How is small business status determined?

• By # of employees and revenue in NAICS code

• Self identify

• Type of corporation

• Size of office

Pick all correct answers: What demonstrates potential success for the 8(a) program?

• 2 years business history with revenue

• Ability to finance operation

• Ability to self market company

• Earning WOSB or VOSB certification

True of False: 8(a) certification will guarantee you receive a government contract.

• True

• False