Entrepreneurship

How WBENC Certification Is Priced From $350 to $1,250 and Renewed Every Year

WBENC certifies businesses at least 51 percent owned and controlled by women. Fees run from $350 to $1,250 by revenue, and each certification lasts one year.

How WBENC Certification Is Priced From 0 to ,250 and Renewed Every Year

Women-owned businesses that want to sell to corporate and government buyers can apply for WBENC certification. The Women’s Business Enterprise National Council runs a review that checks whether a business is majority-owned and run by women, then issues a credential that must be renewed every year.

The rules cover who qualifies, what applicants pay, how the review works and how renewal is handled. The figures below come from WBENC’s certification pages, its frequently asked questions and its 2011 announcement of federal approval.

Who Qualifies Under the 51 Percent Test

WBENC requires that a business be at least 51 percent owned, controlled, operated and managed by one or more women. The women must hold unrestricted control of the business and demonstrate management of its day-to-day operations.

Applicants must also show a proportionate investment of capital or expertise. For female owners, the documentation list makes proof of capital or equity investment mandatory. Documents showing how the female owner obtained her ownership interest include cancelled checks, an opening bank statement or proof of stock purchase.

WBENC’s FAQ says certification is based on the owner who applied and completed the full process.

Proof of gender and citizenship is required. For female owners, a current U.S. passport, a U.S. birth certificate, a driver’s license or a state ID card can serve as evidence of gender. Citizenship or permanent legal resident status can be shown with a U.S. passport, a U.S. birth certificate, naturalization papers or a Permanent Legal Resident Card.

Fee Range by Revenue
WBENC’s fee is $350 for a business with under $1 million in annual gross revenue and $1,250 for one with $50 million or more. The fee is non-refundable once documents are received.

Documents Applicants Must Provide With Their Application

WBENC recommends gathering the paperwork before starting the online application. The certification page groups the documents into five categories: general business information, owner eligibility, financial structure, personnel and management, and governance.

General items include a history of the business, professional and business licenses where applicable, and résumés of all owners, board members and key management. Owner eligibility requires one of the documents to be a photo ID.

Financial structure requires financial statements, three years of federal income tax returns and a bank signature card or corporate resolution, all listed as mandatory. Personnel and management requires an employee list, payroll for the month before applying, and W-2s or 1099s for owners and officers who receive compensation.

Governance depends on the business structure. Corporations must provide articles of incorporation and bylaws. Limited liability companies provide articles of organization and an operating agreement, both mandatory for WOSB applications.

What Applicants Pay, Tiered by Revenue

WBENC’s processing fee for new applications and recertification is based on annual gross revenue reported on federal taxes and is divided into five tiers. A business under $1 million pays $350. The fee is $500 for $1 million to $5 million, $750 for $5 million to $10 million, and $1,000 for $10 million to under $50 million. Businesses with $50 million or more pay $1,250.

The fee is non-refundable once documents have been received. According to the FAQ, that applies whether the application is approved or denied, and also when an application is incomplete or withdrawn before a final decision.

The applicant does not pay for the site visit. Site visits are part of the review and carry no separate charge.

How the Review Runs and How Long It Takes

Applicants register in WBENCLink2.0, WBENC’s online certification system, and complete the application there. The system also gives access to certification records, certificates and other resources.

Each application is handled by one of 14 Regional Partner Organizations across the United States. The partner checks that documentation is complete, reviews the file with a Certification Committee and arranges the site visit.

The review has two parts: a documentation review and a site visit interview with the female owner or owners. The Certification Committee is made up of trained volunteers drawn from certified women-owned businesses, corporations, and government or community organizations. It reviews the application against WBENC’s certification criteria.

WBENC says the review takes about 90 days from the date the file is deemed complete. The partner notifies applicants of the decision by email and letter.

Applicants cannot submit a recertification application 90 days past the expiration date.

Renewal Timing, Site Visits and Transfers

A certification lasts one year from its issue date. The FAQ says it is not a rolling twelve months, so applying early does not change the expiration date. Renewal is not automatic.

WBENC sends a courtesy reminder 120 days before expiration but does not guarantee that the email arrives. It recommends beginning the recertification application at least 90 days before expiration to avoid a lapse.

Applicants cannot submit a recertification application 90 days past the expiration date. After that point, the business must file a new application.

A site visit is mandatory with each initial application. For recertification, visits must occur every three years, and the Certification Committee can require them more often.

Certification is not transferable. According to the FAQ, it does not carry over if the business is sold to another woman.

Where WBENC Fits in Federal Contracting

WBENC is an approved third-party certifier for the Small Business Administration’s Women-Owned Small Business Federal Contracting Program. The certification page lists that role.

WBENC announced the approval in a release dated July 18, 2011. The release says the program allows contracting officers, for the first time, to set aside specific contracts for certified women-owned small businesses and for economically disadvantaged women-owned small businesses.

The release cites the existing statutory goal of directing five percent of federal contracting dollars to women-owned small businesses.

WBENC’s president and CEO at the time, Pamela Prince-Eason, described the approval as a historical moment for women’s businesses seeking public-sector work. The release also names Candace Waterman, then senior director of compliance and alliance relationships, as the contact for WBENC’s WOSB government certification program.

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