Business Facts and Information

Am I a Small Business?

You may take it for granted that your company is a "small business."  The distinction is important if you wish to register for government contracting as a small business.  To be a small business, you must adhere to industry size standards established by the U.S. Small Business  Administration.   As you register as a government contractor in the System for Award Management (SAM), you will also certify your business as small.

The SBA, for most industries, define a "small business" either in terms of the average number of employees over the past 12 months, or average annual receipts over the past three years,  In addition, SBA defines a U.S. small business as a concern that:

  • Is organized for profit
  • Has a place of business in the U.S.
  • Operates primarily within the U.S. or makes a significant contribution to the U.S.       economy through payment of taxes or use of American products, materials or labor.
  • Is independently owned and operated
  • Is not dominant in its field on a national basis

The business may be a sole proprietorship, partnership, corporation, or any other legal form. In determining and constitutes a small business, the definition will vary to reflect industry differences, such as size standards.