As a small business owner, you know how hard it can be for your business to stand out in the crowd. That’s why the United States government created the Executive Order 13985 in order to help disadvantaged businesses secure federal contracts. Let’s discuss what this order does and how it can help your small business get ahead.
What Is Executive Order 13985?
Executive Order 13985 was created by President Biden in January 2021 with the intention of providing support for economically disadvantaged businesses. This executive order requires federal agencies to review their contracting practices and ensure they are doing enough to provide equitable access to contracts for these types of businesses. The goal is to expand opportunities for these companies so that they can compete on an equal footing with larger businesses.
Small disadvantaged businesses are defined as any business that has been owned or operated by low-income individuals or socially and economically disadvantaged individuals, including members of minority groups, women, veterans, and disabled veterans who meet certain criteria. These businesses must also have fewer than 500 employees and annual revenues of less than $15 million.
How Does It Help?
The executive order sets aside a certain amount of money each year for contracts that are awarded specifically to small disadvantaged businesses. This is great news for small business owners because it means there is one more pool of money available that may be easier to gain access to than other sources of funding. Additionally, this could open up new opportunities for networking and collaboration with other like-minded entrepreneurs who are also looking for ways to grow their business.
Executive Order 13985 provides a great opportunity for small disadvantaged businesses who want to take advantage of federal contracts. This executive order sets aside money each year specifically earmarked for these types of companies, making them eligible for more lucrative opportunities than they may have had before. If you think your business may qualify, now is the time to find out more about this executive order and see if it could be beneficial for your small business growth!