The Historically Underutilized Business Zones (HUBZone) program helps small businesses in urban and rural communities gain preferential access to federal procurement opportunities.
To qualify for the program, a business (except tribally-owned concerns) must meet the following criteria:
It must be a small business for its primary NAICS code. Find out if your business is small with the SBA Size Standards Tool.
It must meet one of the following ownership and control requirements:
Owned and controlled at least 51% by U.S. citizens
Wholly owned or owned in part by one or more Indian Tribal Governments or by a corporation that is wholly owned by one or more Indian Tribal Governments
An ANC owned and controlled by Natives or a direct or indirect subsidiary corporation, joint venture, or partnership of an ANC
Wholly owned or owned in part by a CDC
A small agricultural cooperative or a small business concern wholly owned or owned in party by one or more small agricultural cooperatives
Except for certain concerns owned by Indian Tribal Governments, all other small businesses must have a principal office located in a qualified HUBZone.
At least 35% of all of its employees must reside in a HUBZone. Reside means to live in a primary residence at a place for at least 180 days, or as a currently registered voter, and with intent to live there indefinitely.
Firms that are owned in whole or in part by Indian Tribal Governments or corporations wholly owned by Indian tribal Governments, at the time of application must either:
Maintain a principal office located in a HUBZone and ensure that at least 35% of its employees reside in a HUBZone; or
Certify that when performing a HUBZone contract, at least 35% of its employees engaged in performing that contract will reside within any Indian reservation governed by one or more of the Indian Tribal Government owners, or reside within any HUBZone adjoining such Indian reservation. A HUBZone and Indian reservation are adjoining when the two areas are next to and in contact with each other; and the concern will “attempt to maintain” the applicable employment percentage stated above during the performance of any HUBZone contract it receives.
Historically Underutilized Business Zones (HUBZone) Program Preparation Checklist:
All businesses must provide
Limited Liability Company (LLC)
For more information visit SBA site.