Small businesses are the backbone of any economy, driving innovation, creating jobs, and fostering vibrant communities. Recognizing their importance, Maryland has long been dedicated to nurturing the growth and success of its small business community. In 2004, the state took a significant step forward by establishing the Small Business Reserve (SBR) Program. This initiative aims to level the playing field for small businesses, providing them with opportunities to compete as prime contractors on state contracts in a marketplace tailored to their needs.
Program Overview
The SBR Program operates under state procurement law, directing 70 participating agencies/departments to allocate at least 15% of their fiscal year procurement expenditures to qualified small businesses. This commitment has steadily increased over the years, signaling Maryland’s dedication to fostering a competitive environment where small businesses can thrive. Previously, only 23 agencies were involved, with a minimum allocation of 10%, but this has since expanded to ensure broader inclusion and support for small enterprises.
Once a solicitation is designated as part of the SBR Program, only registered SBR suppliers can be awarded contracts. Registration is a straightforward online process through eMaryland, where suppliers attest to meeting eligibility standards and must recertify annually. Remarkably, there is no cost associated with participating in the program, making it accessible to businesses of all sizes and backgrounds.
Importantly, the SBR Program is designed to be race- and gender-neutral, emphasizing meritocracy and equal opportunity. Unlike some initiatives, minority status is not a criterion for participation, ensuring a level playing field where businesses compete based on their capabilities and qualifications.
Eligibility Standards
To qualify as a certified SBR supplier, for-profit businesses must meet specific eligibility standards:
- Independently owned and operated
- Not a subsidiary of another business
- Not dominant in their field of operation
Furthermore, the eligibility criteria vary depending on the nature of the business:
- Wholesale operations: Employ fewer than 50 persons or gross sales not exceeding an average of $4,000,000 in the most recently completed three fiscal years.
- Retail operations: Employ fewer than 25 persons or gross sales not exceeding an average of $3,000,000 in the most recently completed three fiscal years.
- Manufacturing operations: Employ fewer than 100 persons or gross sales not exceeding an average of $2,000,000 in the most recently completed three fiscal years.
- Service operations: Employ fewer than 100 persons or gross sales not exceeding an average of $10,000,000 in the most recently completed three fiscal years.
- Construction operations: Employ fewer than 50 persons or gross sales not exceeding an average of $7,000,000 in the most recently completed three fiscal years.
- Architectural and engineering operations: Employ fewer than 100 persons or gross sales not exceeding an average of $4,500,000 in the most recently completed three fiscal years.
How to Register
Registering for the SBR Program is a straightforward process:
- Access eMaryland Marketplace: Maryland’s Procurement Opportunities Portal is the gateway to registering for the SBR Program, catering to the procurement needs of various state entities, educational institutions, and county agencies.
- Complete SBR Screens: Eligible businesses can complete the optional SBR screens during the registration process to indicate their interest in participating in the program.
- Seek Guidance: For additional assistance or guidance on navigating the SBR Program, businesses are encouraged to reach out to the Governor’s Office of Small, Minority, and Women’s Business Affairs (GOSBA), which provides valuable resources and support.
In conclusion, Maryland’s Small Business Reserve Program stands as a testament to the state’s unwavering commitment to fostering an inclusive and competitive business environment. By providing small businesses with a platform to showcase their capabilities and compete for state contracts, the program not only drives economic growth but also empowers entrepreneurs to realize their full potential. Through continued support and participation, Maryland will continue to champion the success of its small business community, ensuring a prosperous future for all.
Source: https://purchase.umd.edu/supplier-resources/business-inclusion-supplier-diversity/sbr