10 Essential Insights on Women-Owned Business Enterprise and Minority-Owned Business Enterprise Certifications

By: Tanja Kern, associate publisher and editorial director, FLOOR Trends & Installation

Women of Starnet and Women in the Floorcovering Industry teamed up for a panel discussion in Carlsbad, California, on Women-Owned Business Enterprise and Minority-Owned Business Enterprise certifications. From left: Tanja Kern, Floor Trends & Installation; Jessica Hansen, Workplace Services, Inc.; Shelley Ackerman, Taylor Adhesives; Lara Rassette, Circadia Flooring; Nichole Poindexter, Poindexter Flooring; Sharyn Bernard, FCW; and Jennifer Sarette, EE Wilson Commercial Flooring. Photo: Floor Trends & Installation

By: Tanja Kern, associate publisher and editorial director of Floor Trends & Installation

Imagine unlocking government contracts worth millions, gaining a competitive edge over industry rivals, and building powerful strategic partnerships—all with a single business designation. At the recent Starnet Spring Meeting in Carlsbad, California, entrepreneurs Jennifer Sarette, president and owner of EE Wilson Commercial Flooring in Lexington, North Carolina, and Jessica Hansen, sales and finance manager of Workplace Services, Inc. in San Diego, California, pulled back the curtain on the potential of Women-Owned Business Enterprise (WBE) and Minority-Owned Business Enterprise (MBE) certifications. Whether you're considering certification or seeking partnerships with certified firms, these 10 game-changing insights from industry veterans will help you maximize this powerful business advantage.

1. It's About More Than Just Contracts
While securing government contracts is often the primary motivation for pursuing certification, the benefits extend far beyond this initial goal. Certification opens doors to numerous resources, networking opportunities, and partnerships that can significantly enhance business growth. As one participant noted, "There are so many resources available, so it's really more than just about securing those contracts," Sarette said. 

2. There Are Multiple Certification Levels
Business owners should be aware of the various certification options available:

• Federal certification (through SBA)

• State certification (varies by state)

• City/local certification

• Independent certifications (like the National Women Business Owners Corporation)

Importantly, these certifications are not interchangeable. A federal certification doesn't automatically qualify you for state or city contracts. Each certification serves different purposes and opens different doors, so businesses may need multiple certifications depending on their target markets.

3. The Process Takes Time and Patience
The panel was candid about the challenges of certification:

• The process can be lengthy, often taking 9-12 months

• Documentation requirements are extensive and detailed

• Once you begin the application, you typically have a 90-day window to complete it

• Annual renewals require ongoing attention

Be prepared for a substantial time investment and create a dedicated file system for all certification documentation, as similar information is required for different certifications and renewals.

4. Details Matter
Even minor oversights can lead to rejection. Jessica Hansen shared her experience of being rejected after a nine-month process due to her company name not appearing on a specific ledger. This highlights the importance of meticulous attention to detail throughout the process. "Put your name on everything... put that logo everywhere," Hansen said. 

5. Government Projects Offer Significant Opportunities
Projects funded by taxpayer dollars typically include minimum participation requirements for women and minority-owned businesses:

• Federal government allocates 5% of federal contracts to women-owned businesses

• State and local projects often have higher participation requirements

"Every time we get the contract they do have that form that you need to fill out and they're asking the woman-owned business, the disability, to kind of check those boxes. So they get competitive with their bidding process," Hansen said. 

6. General Contractors Actively Seek Certified Businesses
General contractors need certified partners to meet participation requirements on government projects, making your certification a valuable selling point in competitive bidding situations. Multiple panelists mentioned that general contractors regularly contact them specifically because of their certifications, creating valuable business opportunities.

7. Consider Starting with State Certification
Most panelists recommended beginning with state certification, which is generally easier to obtain than federal certification:

• State certification processes are often more streamlined

• Start by researching your state's specific requirements (often through the Departments of Commerce or Transportation)

• Use this experience to prepare for more complex federal applications

8. Small Business Administration (SBA) Certification Is a Good First Step
The SBA certification process is significantly simpler than full WBE certification:

• SBA certification might only take days versus months for WBE certification

• Still provides benefits for government contracting

• Can help you understand the certification process before tackling more complex applications

9. Build a Recession-Proof Business Model
The panel addressed how government funding fluctuations affect certified businesses. Recommendations included:

• Diversifying the client base across multiple sectors

• Cross-training employees for flexibility

• Building recession-proof business practices

• Securing pricing commitments early

As Sarette noted, "We try to be as recession-proof as you possibly can, but we try to diversify our clients... So we try to have a little bit of room in every avenue so that if the government does dip and their funding dips, at least we can keep going with all the other customers that we have."

10. Resources and Partnerships Are Available
Several resources were highlighted for those beginning their certification journey:

• SBA website for qualification requirements

• sam.gov for federal contracting information

• State-specific websites

• Sourcewell contract opportunities

• Third-party consultants or attorneys with certification expertise

For companies that don't qualify for certification, partnerships with certified businesses offer an alternative path to accessing these opportunities. Strategic partnerships can be mutually beneficial, with certified businesses gaining access to larger projects and non-certified businesses meeting participation requirements.

For those considering certification, panelists recommended:

1. Start with state certification (generally easier than federal)

2. Gather key documentation (financial statements, shareholder reports, business formation documents)

3. Create a dedicated file system for certification materials

4. Consider SBA small business certification as an initial step

5. Research specific requirements for your location and industry

While the certification process requires a significant investment of time and resources, panelists who successfully navigated it emphasized the valuable business opportunities it provides. For women and minorities in the flooring industry, especially, these certifications can be a powerful differentiator in a competitive market.

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Corporate sponsorships and individual Friends of WIFI donors (as low as $15/month) help fund our programming, scholarships, and mentorship efforts. Learn more and donate at womeninflooring.org.