The U.S. Small Business Administration (SBA) announced it has cleared a backlog of more than 2,700 Veteran Small Business Certification (VetCert) applications, restoring full support for veteran-owned and service-disabled veteran-owned small businesses (VOSBs and SDVOSBs) seeking federal contracts.
The agency says VetCert remains fully operational and continues to process new applications.
SBA Administrator Kelly Loeffler credited the restoration of funding and staffing for the milestone, emphasizing that the Biden Administration had put veterans “at the back of the line” by diverting VetCert resources to the 8(a) Business Development Program for “socially disadvantaged” businesses. With the backlog cleared, Loeffler said veteran entrepreneurs can now compete for federal contracts and access opportunities they had been denied.
Congress established VetCert to provide veteran entrepreneurs a dedicated pathway into federal contracting, separate from the 8(a) Program. The 8(a) Program, designed for socially disadvantaged businesses, became the focus of the Biden Administration in January 2024 when federal contracting goals were raised from 5% to 15%. To meet that target, SBA redirected VetCert staff and funding, leaving veteran-owned businesses without dedicated support. Application processing times, which previously averaged 30 days, rose to 81 days by the end of 2024.
Since taking office, Loeffler reversed the DEI-driven contracting goal back to 5%, restored full VetCert resources, and reduced application processing times to an average of 12 days. The SBA says all pending applications have now been processed, allowing veteran-owned businesses to reenter the federal contracting marketplace.
The cleared backlog comes as the nation prepares to honor Veterans Day, reaffirming the SBA’s commitment to ensuring veteran entrepreneurs have the tools and support to compete in the federal contracting arena.
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