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Women Owned Small Business (WOSB) & Economically Disadvantaged WOSB (EDWOSB) Certifications

What are the WOSB and EDWOSB Certifications?

A Women-Owned Small Business (WOSB) or Economically Disadvantaged Woman Owned Small Business (EDWOSB) certification are powerful marketing tools for female owners of small firms. To qualify for a WOSB or EDWOSB Certification, the business must be at least 51% owned and controlled by one or more women, and primarily managed by one or more women who are U.S. citizens. To qualify for the EDWOSB, you must also be economically disadvantaged as an individual. An economically disadvantaged woman is defined as having a net worth of $750,000 or less. Both the WOSB and EDWOSB qualify your business for federal set aside contract opportunities.

Once an EDWOSB or WOSB certification has been granted, the women-owned small business can register on the SBA WOSB repository which directly links their business to government agencies seeking their goods and services. Businesses can also participate in matchmaking events where government agencies come to interview smaller businesses for vendor opportunities.

What Are the Requirements for the WOSB Application?

Some of the information required to pursue the WOSB or EDWOSB certifications include:

  • General Business Information
  • Owner Eligibility
  • Financial Structure
  • Financial Documents
  • Personnel Information
  • Management Information
  • SAM Registration

Why Hire a WOSB Certification Consultant?

The process is complex and requires submissions to be provided in a very specific manner. Let Cayenne’s experienced certification experts help you attain the valuable WOSB or EDWOSB certification in the shortest amount of time with the least amount of frustration. Contact us today using the form below!

Other FAQs about the WOSB/EDWOSB Certifications

What is the difference between a WBE certification and an EDWOSB/WOSB certification?

The WBE is the Women’s Business Enterprise certification that is administered by the Women’s Business Enterprise National Council (WBENC) and most States. To qualify, the business must be at least 51% owned and run by a woman who has industry experience. The WBE certification is favored by large businesses with a supplier diversity program. The EDWOSB/WOSB is the Woman Owned Small Business Certification administered by the SBA and is favored by state, local, and the federal government. The differences between the two certifications are the certifying bodies and what appeals to your target market, but they both can designate your business as a woman-owned small business. The WBE can be for any size business, but the EDWOSB and WOSB are only for businesses that meet the SBA standard for small businesses.

Who are the certifying bodies for each certification?

WBENC certifies both WBE and WOSB. The SBA certifies EDWOSB and WOSB, and the US Women’s Chamber of Commerce certifies both the EDWOSB and the WOSB. Most states have a WBE certification that may accept one of the aforementioned third-party designations.

How do you qualify as a woman-owned business?

To qualify as a woman-owned business the business must be at least 51% owned and directed by a woman (or women) with significant industry experience. And the woman owner, in general, should be the highest-paid.

What size business qualifies as a small business?

In general, the answer varies by industry, but a small business is one that has fewer than 1,500 employees and a maximum of $38.5 million in average annual receipts, according to the SBA.

What is a WOSB?

A Woman-Owned Small Business (WOSB) is a business designation administered by the SBA and the US Women’s Chamber of Commerce. Economically disadvantaged women business owners can also apply for the EDWOSB. This certification has a rigorous application and is favored by the federal government and some States for contracting.

Who qualifies as economically disadvantaged?

An economically disadvantaged woman is one who has a net worth of less than $750,000.00 according to the SBA.

How long does it take to get WBE or WOSB certified?

It depends on which certifying body you apply to, but it generally takes about 60 days. WBENC is generally faster than the SBA, USWCC, or State applications.

Which certification is best for my company?

This depends mainly on your target clients. Do you want to work with larger companies that have supplier diversity programs like Target? In that case, an MBE or WBE is the right choice. Do you want to work with the Federal Government? Then The WOSB or the EDWOSB is the correct choice. Do you want to work with the state or local government where your company is located? In this case, you must check with your state website to see which certification is favored. Call Cayenne Consulting for assistance to see which certifications are best for your business.

Do female-owned businesses get tax breaks?

In general, no, but the companies that hire certified woman-owned firms can get tax breaks.

What are the benefits of being a woman-owned business?

The federal government incentivizes companies with supplier diversity programs with tax breaks if they hire certified women-owned firms.

How much does the EDWOSB/WOSB certification cost?

There is no charge for the cost of the EDWOSB or WOSB, but WBENC charges a fee to join their organization to process your application. Their fee is based on the annual revenue of your company and starts at about $300. These fees and the certification must be renewed each year.

Is a female-owned business considered a minority-owned business?

In general, no, but some states do have a single MWBE certification that covers both women and minority business owners. And, of course, if the woman business owner also has a minority ethnicity, she can apply for the Minority Business Enterprise certification, too.

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EDWOSB and WOSB Certification Consulting Services

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