Part 3: What Are the Compliance Requirements for 8(a) Certified Companies?
Join Cherry Bekaert’s Government Contractor Services Group for part three of our new podcast series discussing various aspects of the Small Business Administration’s (SBA) 8(a) Business Development Program. In this third episode, Brynn McNeil, an Assurance Partner in Cherry Bekaert’s Government Contracting practice and John Ure, Tax Partner and member of the Firm’s GovCon practice discuss the compliance requirements 8(a) companies must follow once they have been certified by the Small Business Administration (SBA), including:
- An Annual Update Review (Form 1450)-8(a) based on the 8(a)’s annual program year, disclosing certain company data to remain in the program, including progress on meeting goals and annual personal financial statements for the individuals upon whom the 8(a) eligibility is based showing net worth, fair market value of all assets, personal income, and excessive withdrawal limitations
- Required company financial statements:
- 8(a) participants with > $10 million in revenue must submit annual audited financial statements within 120 days of the company’s fiscal year.
- 8(a) participants with revenue between $2M and $10M must submit annual reviewed financial statements within 90 days of the company’s fiscal year.
- 8(a) participants with < $2M in revenue must provide an annual in-house or compiled financial statement within 90 days after the close of the company’s fiscal year
If you haven’t already, catch up on part one and two of the series where we discuss the overall SBA 8(a) program and eligibility, and the application process and requirements:
- Part I: The SBA 8(a) Business Development Program – What Is It and What Are the Requirements?
- Part II: The SBA 8(a) Business Development Program Application Process and Requirements
In future segments, we will discuss winning sole source and competitive contracts and the All Small Mentor Protégé Program.
Our Government Contractor Services group has an in-depth understanding of the 8(a) program and advises a number of 8(a) government contractors through each step of the process to add value and anticipate ongoing opportunities. From the initial important decisions made in becoming an 8(a), to the first contract, to how the company is growing throughout the life of the program.