THE HUBZone
The HUBZone program provides federal contracting opportunities for qualified small businesses located in distressed areas. Fostering the growth of these federal contractors as viable businesses, for the long term, helps to empower communities, create jobs and attract private investment. The HUBZone Contracting program was enacted into law as part of the Small Business Reauthorization Act of 1997, and encourages economic development in historically underutilized business zones 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.
A HUBZone is an area that is located in one or more of the following:
- A qualified census tract of the Internal Revenue Code of 1986
- A qualified “non-metropolitan county” with a median household income of less than 80 percent of the State median household income or with an unemployment rate of not less than 140 percent of the statewide average, based on US Department of Labor data or
- Lands within the boundaries of federally recognized Indian reservations.
Eligibility – a small business must meet all of the following criteria to qualify for the HUBZone program
- It must be located in a “historically underutilized business zone” or HUBZone
- It must be owned and controlled by one or more US Citizens and
- At least 35% of its employees must reside in a HUBZone
For more information, or to determine if your small business may qualify for the HUBZone program, contact your local Small Business Administration.