Disadvantaged and Minority Business Certification in South Carolina
Introduction In South Carolina there are several programs designed to benefit those businesses owned and controlled by “disadvantaged” individuals. The key to obtaining certification or designation under all these programs is a demonstration that a qualified individual “owns” and “controls” the business. While those terms certainly appear straightforward, there are pitfalls for those businesses who do not understand the application process, the applicable rules, and their purposes. Background and Benefits of Certification Both federal and state law encourage the participation of businesses owned by certain groups in government contracts. On the federal level, these businesses are called Disadvantaged Business Enterprises (DBEs), and on the state level they are called Minority Business Enterprises (MBEs). (There are other flavors of certification as well, but this post addresses the most common). Federal Law and DBEs: Participation in Fed...