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EDWOSB Certification vs. WOSB Program

Gavin Taylor • June 17, 2021

The Bureau of Labor Statistics shows that nearly 20% of small businesses fail within the first year, and about 30% fail within two years. To help such companies, the Business Administration (SBA) has started several contracting assistance programs to help small businesses get federal government contracts. Two such programs include Economically Disadvantaged Women-Owned Small Business (EDWOSB) and Women-Owned Small Business Program (WOSB). However, many people believe that these programs are essentially the same since both are designed to help women business owners.

However, there are some differences. Here we will discuss those to help you understand these programs better.

What is the WOSB program?

The WOSB Program enables contracting officers to expressly reserve or set aside specific contracts specifically for women-owned small businesses (WOSBs) or economically disadvantaged women-owned small businesses (EDWOSBs).

How EDWOSB differs from WOSB?

Qualifications

The major distinction between these two certifications is their qualifications - any business that qualifies for EDWOSB automatically allows for WOSB, but not the other way around. To be eligible for EDWOSB, over 51% of women’s ownership should also from economically disadvantaged backgrounds. Whereas, to qualify for WOSB, 51% ownership should lie with women.

To qualify as economically disadvantaged as per SPA rules, the disadvantaged woman owner should not have a personal net worth in excess of 750,000 dollars. In addition, their average adjusted gross income for three years before application should not be higher than 350,000 dollars. Also, the fair market value of their share should not be higher than 6 million dollars.

Advantages

The benefit of applying for EDWOSB certification is that businesses get an opportunity to bid for contracts expressly set aside for them. In addition to that, they can also bid for the contracts WOSB-certified companies are eligible for. However, WOSB companies cannot do that. They also get to take part in joint ventures for both certifications, giving them an upper hand.

Changes in the WSOB program

The SBA has introduced some significant changes to the WOSB programs in the year 2020. They include:

The WOSB program is replacing certify.sba.gov with beta.certify.sba.gov.
This new change eliminates the self-certification option for EDWOSB. It helps set apart the sole-source contract for the WOSB businesses.
The new process also makes the application process more complex than earlier.
As of October 15, 2020, the previous portal ceases to exist, and businesses that were self-certified before can get the records from the new portal.

How can you get WOSB and EDWOSB certification?

The best way to get certified without hassle is to seek professional help from experts like Government Acquisition Services. You can apply for certification here.

About Government Acquisition Services

Government Acquisition Services should be your one-stop destination to get all types of Government certifications. We have highly qualified consultants with over ten years of experience who will help you navigate the government registration process. Our services include SAM registration, MBE certification, DOT certification, FEMA certification . You can reach out to us at (800) 799-3942 to know more. You can also fill our online registration form.

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