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If you’re new to government bidding, you might have been unaware of the benefits that certification provides for your business. For any vendor doing business with the different levels of government agencies or even with other buying entities who require such certifications, being certified as a small business, MWBE, VBE or other special designation has many benefits when it comes to bidding on government contracts.
One question that many small businesses, MWBE, VBE or DBE owners have is “how do I get certified?” In this article we will discuss the steps you need to take to get certified, and link to some resources that will help you with your application to help answer any questions you may have about the certification process.
Prepare your Business Number
If you are a new entrepreneur, after you have determined the type of business you will be operating and chosen a name for your business, you’ll need to register the business name if it is anything other than your legal name.
You’ll need your business name to receive your Business Number (BN), also known as your tax ID number, and any other licenses or permits required for the legal operation of your business. To bid on federal contracts, you may also need a Procurement Business Number (PBN). To register your business name, you’ll need to register with the Canada Revenue Agency (CRA) or your respective province or territory that your business is located in. For example, if your business is located in Ontario, you can register with the Central Production and Verification Services Branch (CPVSB) of the Ministry of Government and Consumer Services (MGCS).
Working with the Government and Other Buying Organizations
Whether you’re doing business with government agencies or other buying organizations, your business has the opportunity to be certified if you meet all the eligibility requirements. This will help your business stand out and attract agencies that may be looking for small or MWBE’s to bid on their opportunities. Doing this allows buyers to check if you are eligible to bid on the products and services they are looking to acquire, and it also allows agencies to find your business more easily if they are looking for specific vendors.
Getting Certified
To begin the certification process for your business you’ll need to visit WBE Canada, CAMSC (Canadian Aboriginal and Minority Supplier Council), or the IWSCC (Inclusive Workplace and Supply Council of Canada) to name a few. There you will find the certification application and the requirements needed to be eligible. For further help getting these certifications you can visit the links below according to the type of entity your business will be certified as.
Eligibility Requirements
In order to get certified, businesses must meet the following eligibility requirements:
- Minority, Woman or Veteran Owned business owners must meet the definition of their respective category, as well as own and control 51% of the business
- The majority owner must be a Canadian citizen or legal resident
- Must be a legally established for-profit business headquartered and operating in Canada
The Application and Certification Process
Certification agencies will provide the application for certification, and they will review your application before submitting it. You will be required to provide the full legal business name, business number, physical address, contact person, phone number, any fax number or email address associated with the business, the nature of the business, type of products and services, and legal structure (i.e., sole proprietorship, partnership, corporation, etc.) to fulfill the application requirements.
There is an application fee, but it varies depending on which agency you apply through. If approved, your certification will last for one year, at which point you’ll need to re-certify and pay the annual fee.
The application will detail all the documents you need to send in with your application, which include:
- Proof of identification – passport or driver’s license
- Resumes/CV for all owners, directors, partners, officers, etc.
- Business name registration – Master Business License
- Business Registration Number
- Business insurance policy
- Financial statements
- Business and/or personal tax returns
- Most recent tax assessment receipt
- Lease/rental agreements for property or trust deed, or loan agreement for ownership
If you own more than one business that is eligible for certification and would like to certify each one, you will need to go through the certification process for each business separately and pay the application fee for each.
The certification and review process usually takes anywhere from 1 to 3 months to complete and will include an in-person interview to make sure that the business owner is in fact a minority, woman, or veteran and that the business is up and running. The onsite visit allows the agency to double-check that no false claims were made on the application.
Once the visit is complete, the review committee will meet again and either approve or deny your application. If a business owner is approved for certification, they will receive a certification packet; if an application is denied, the business owner will receive a letter with an explanation as to why they were denied. Business owners can appeal the agency’s decision within 30 days following the receipt of the letter.
After Getting Certified
Once your business is certified, you can start taking advantage of open tenders that are looking for MWBE’s to bid on them. Government agencies and other companies will be able to find your business on the national or provincial MWBE directories; this will make it possible for agencies to send you bids directly and gives other companies the opportunity to contact you about possible subcontracting opportunities.
During the registration process on merx, you have the option to select the appropriate type of certification for your business under the “My Organization” tab as well as include your business type and any other certifications you may have. Depending on the solicitation requirements, an agency may require you to attach your certificate.
Becoming certified can take time, but it’s worth the effort because it ensures businesses receive a fair shot at bidding on, and winning, government contracts. In addition, by getting your business certified it can help open the door to a world of new opportunities.
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