What are the benefits of certification?

Small, Women-Owned and Minority-Owned businesses contribute to the economy of Virginia. These businesses pay taxes, create jobs, and directly, or indirectly through larger businesses, support the needs of the Commonwealth. It is in the best interest of the Commonwealth to have a strong SWAM Program to strengthen and support SWAM businesses.

It is important for SWAM businesses to certify with the Department of Minority Business Enterprises because SWAM businesses that are small businesses receive certain preferences when competing for Commonwealth procurements. Unless a SWAM business is certified, the business will not receive these preferences and may be excluded from competing on certain Commonwealth procurements. Since there are direct and tangible benefits for being a SWAM business, the SWAM certification program is important to ensure that a business is legitimately a SWAM business.

Some of the benefits that only SWAM small businesses may receive are:

• Certain Commonwealth statewide and agency procurements may be set-aside only for competition between small businesses and large businesses will not be permitted to participate.

• Certain Commonwealth purchases may be awarded to other than the lowest bidder or most successful offeror, if there is a reasonably price or reasonably ranked small businesses that is other than the lowest bidder or highest ranking offeror.

• Only one small business is required to be solicited for work below $5,000.