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SBA applies extension to 8(a) business development program

A one-year extension has been applied by the Small Business Administration to eligible participants in the 8(a) Business Development Program. The extension was granted due to COVID-19 and will continue to provide business counseling, training workshops and other services.

The U.S. Small Business Administration has granted an extension to select 8(a) Program participants due to COVID-19 challenges, allowing eligible applicants to elect a one-year program extension in the SBA’s 8(a) Business Development Program.

The 8(a) program helps these firms develop and grow their businesses through one-to-one counseling, training workshops and management and technical guidance.  It also provides access to government contracting opportunities, allowing them to become solid competitors in the federal marketplace. 

Eligible 8(a) firms must meet certain qualifications which include participation in the program between March 13, 2020 and Sept. 9, 2020. Non-applicable firms include those that were terminated, early graduated or voluntarily withdrew from the 8(a) Program during the same period.

Automatic extensions will be granted to participants in the 8(a) Program on Jan. 13, 2021, who will receive an automatic one-year program extension unless they decline it in writing. 

Firms that elect to extend their participation in the program will not be subject to a higher non-8(a) business activity target (BAT) for the extension period, according to a release from the U.S. Small Business Administration. The same 50 percent  BAT that applies to the ninth program year will apply to the extended program term.

Participants in the 8(a) Program as of March 13, 2020, but graduated before Jan. 13, 2021, are eligible for program readmittance.