HUBZone

The Historically Underutilized Business Zones (HUBZone) program helps small businesses in urban and rural communities gain preferential access to federal procurement opportunities. Learn more in our HUBZone Video.

HUBZone offers eligibility assistance on Tuesdays and Thursdays from 2-3pm ET via toll free number: 1-888-858-2144 access code 1875223#. Participants influence the topics by their questions. HUBZone staff facilitates the discussion by providing the answers and introducing specific topics as time allows. This format offers the opportunity to learn how to maintain eligibility to decrease the possibility of an initial application being declined or being decertified after obtaining the HUBZone certification. If you are seeking status information, need help in resolving technical difficulties, or need individualized assistance please email hubzone@sba.gov. You may also request an appointment by completing the HUBZone Analyst Appointment Form.

The Historically Underutilized Business Zones (HUBZone) program was enacted into law as part of the Small Business Reauthorization Act of 1997. The program falls under the auspices of the U.S. Small Business Administration. The program encourages economic development in historically underutilized business zones - "HUBZones" - through the establishment of preferences.

SBA's HUBZone program is in line with the efforts of both the Administration and Congress to promote economic development and employment growth in distressed areas by providing access to more federal contracting opportunities.

How the HUBZone Program Works

The SBA regulates and implements the HUBZone program. SBA does the following:
  • Determines which businesses are eligible to receive HUBZone contracts.
  • Maintains a listing of qualified HUBZone small businesses that federal agencies can use to locate vendors.
  • Adjudicates protests of eligibility to receive HUBZone contracts.
  • Reports to the Congress on the program's impact on employment and investment in HUBZone areas.

Benefits of the HUBZone Program

The program’s benefits for HUBZone-certified companies include:
  • Competitive and sole source contracting.
  • 10% price evaluation preference in full and open contract competitions, as well as subcontracting opportunities.
  • The federal government has a goal of awarding 3% of all dollars for federal prime contracts to HUBZone-certified small business concerns.

Eligibility for HUBZone

Make sure to review the HUBZone Primer (transcript) to understand the HUBZone requirements. To qualify for the program, a business (except tribally-owned concerns) must meet the following criteria:

  • It must be a small business by SBA standards.
  • It must be owned and controlled at least 51% by U.S. citizens, or a Community Development Corporation, an agricultural cooperative, or an Indian tribe.
  • Its principal office must be located within a “Historically Underutilized Business Zone,” which includes lands considered “Indian Country” and military facilities closed by the Base Realignment and Closure Act.
  • At least 35% of its employees must reside in a HUBZone.


Get The Hottest Articles Delivered To Your Inbox

Sign up for EquityNet Newsletters to get the best articles each week on:

Funding
Investing
Entrepreneurship
And More!