WHAT IS AN MBE? A MBE (Minority Business Enterprise) eligible for certification through the CRMSDC must be a for-profit business that is owned, operated and controlled by a person (or persons) who is both a citizen of the United States, and who is ethnically at least 25% (by birth or bloodline) African-American/Black, Hispanic/Latino American, Native American, Asian-Pacific American, or Asian-Indian American.
WHAT IS MBE CERTIFICATION? MBE Certification is the process by which the National Minority Supplier Development Council (NMSDC) verifies the minority ownership status of a business. Through this process, NMSDC confirms that an approved business is owned, operated, and controlled by individuals who are recognized as members of a minority group. Certification is granted in alignment with NMSDC’s established guidelines.
WHAT ARE THE BENEFITS OF CERTIFICATION FOR AN MBE?
- Validation of MBE status
- Opportunities for Sales and Marketing
- Access to Educational Programs
- Business Advisory Services
- Technical and/or financial assistance and support
- National/International Market Access
HOW DOES A CORPORATION/ COMPANY BENEFIT BY DOING BUSINESS WITH A CERTIFIED MBE?
- Cost effective
- Opportunity to identify potential strategic partners
- Expanding customer base/market share
- Access to emerging markets in urban and global markets
- Compliance with governmental requirements
- Contribution to the economic viability of MBEs and the communities in which they are located
- Assurance of NMSDC certification quality and stringent requirements
WHO IS ELIGIBLE TO APPLY FOR CERTIFICATION? For purposes of National Minority Supplier Development Council’s (NMSDC) program, a minority group member is an individual who is a U.S. citizen with at least 1/4 or 25% minimum ownership (documentation to support claim of 25% required from applicant) and is a person whose bloodline reflects an indigenous heritage from the following countries:
- Black | African American – A U.S. citizen having origins in any of the Black racial groups of Sub-Sahara Africa. These countries include: Angola; Benin; Botswana; Burkina-Faso; Burundi; Cameroon; Cape Verde; Central African Republic; Chad; Comoros; Democratic Republic of Congo (DRC); Cote d’Ivoire; Djibouti; Equatorial Guinea; Eritrea; Ethiopia; Gabon; Gambia; Ghana; Guinea; Guinea-Bissau; Kenya; Lesotho; Liberia; Madagascar; Malawi; Mali; Mauritania; Mauritius; Mozambique; Namibia; Niger; Nigeria; Rwanda; Sao Tome &Principe; Senegal; Seychelles; Sierra Leone; Somalia; South Africa; Swaziland; Tanzania; Togo; Uganda; Western Sahara; Zambia; and Zimbabwe. Caribbean natives of African descent are also eligible. These islands include Aruba; Barbados; Bonaire; the Cayman Islands; Saint Croix; The Bahamas or Antigua; Cuba; Hispaniola; Puerto Rico; Jamaica; Dominica; Montserrat; Saba; Saint Kitts; Saint Lucia; Saint Thomas; Saint John; Tortola; Grenada; Saint Vincent; Guadeloupe; Martinique; and Trinidad & Tobago.
- Hispanic | Latin American – A U.S. citizen of true-born Hispanic heritage, from any of the Spanish-speaking areas of the following regions:Argentina, Belize, Bolivia, Brazil, Central America, Chile, Colombia, Costa Rica, Cuba, Dominican Republic, Ecuador, Guatemala, Guyana, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, South America, Uruguay, Venezuela.The Caribbean Basin only, Brazilians (Afro-Brazilian, indigenous/Indian only) shall be listed under Hispanic designation for review and certification purposes.
- Native American – A person who is an American Indian, Eskimo, Aleut or Native Hawaiian, and regarded as such by the community of which the person claims to be a part.Native Americans must be documented members of a North American tribe, band or otherwise organized group of native people who are indigenous to the continental United States and proof can be provided through a Native American Blood Degree Certificate (i.e., tribal registry letter, tribal roll register number).
- Asian-Indian – A U.S. citizen whose origins are from the Asian Indian region. These countries include Bangladesh; India; Indonesia; Nepal; Pakistan; Sri Lanka.
- Asian-Pacific – A U.S. citizen whose origins are from the Asian Pacific region. These countries include the following: Cambodia; China; Guam; Japan; Korea; Laos; Malaysia; the Philippines; Samoa; Thailand; Tibet; Taiwan; the U.S. Trust Territories of the Pacific or the Northern Marianas; and, Vietnam.
Being born in one of the countries listed above DOES NOT, by itself, qualify an individual as an ethnic minority.
WHAT GROUPS ARE NOT ELIGIBLE FOR CERTIFICATION? Groups not certifiable are those whose origins or heritage are of or from:
- Iberian Peninsula (Spain, Portugal)
- Asia Minor Region (peninsula between the Black Sea & the Mediterranean)
- Persian Gulf (Iran, Iraq, Saudi Arabia, etc.)
- Europe
- Northern Africa (Egypt, Libya, Morocco, Algeria, etc.)
DO YOU CERTIFY PARENT / HOLDING COMPANIES? As a general rule, NMSDC does not certify holding companies. Further, for the purposes of certification, NMSDC does not certify brands. The Council may certify such a subsidiary only if there is cumulatively fifty-one percent (51%) ownership of the subsidiary by minorities.
WHAT IS THE NMSDC? The National Minority Supplier Development Council (NMSDC) is one of the country’s leading business membership organizations that provides a direct link between corporate America and Minority-Owned Businesses. The NMSDC was chartered in 1972 to provide increased procurement and business opportunities for minority businesses of all sizes.
WHAT IS THE COST OF THE CRMSDC MBE CERTIFICATION? There is a NON-REFUNDABLE processing fee of $350.00 for the submission of the application. See Fees tab for the cost of the annual certification fee, which is based on annual sales.
WHAT QUALIFIES ME TO BECOME MBE CERTIFIED BY CRMSDC?
- A minimum of 51% of the company must be owned by an ethnic minority or group of minorities.
- Day-to-day operation and management control must be in the hands of the minority owner(s).
- The owner(s) must be a U.S. Citizen. Green card holders/resident aliens are not eligible for certification.
- The company headquarters must be located in the District of Columbia, Maryland, or Northern Virginia (down to Fredericksburg).
WHAT IS THE CERTIFICATION PROCESS? National Minority Supplier Development Council (NMSDC) certification recognizes those businesses that apply for certification and meet the eligibility criteria. Getting certified begins with gaining an understanding of the certification criteria and gathering the necessary information and documentation to complete the application. A dedicated team of certification specialists will review your application and work with you should you have any questions.
Learn More about the Certification Process here.
WHAT IS A SITE VISIT? A site visit is a physical tour and on-site interview with your company’s owner(s), conducted by the Council’s Certification Specialist, at the company’s physical address.
HOW LONG IS CERTIFICATION VALID? The certification is valid for one year and must be renewed each year.
HOW LONG WILL IT TAKE TO BECOME CERTIFIED? The certification process takes between 30 to 90 days to complete.
DO I NEED TO COMPLETE EVERY ITEM IN THE APPLICATION? Yes, all items applicable to your company must be completed on the application. Additionally, all required documents must be uploaded prior to submission of the application. If in doubt, contact the MBE Services.
WHAT ARE MBE SUBSCRIPTION SERVICES? The Minority Business Enterprise (MBE) Subscription is a select add-on that provides a multitude of value-added services for MBEs. The MBE Subscription Services was created upon recognizing the need to help businesses make an even greater impact in the marketplace. MBEs are not required to purchase the subscription. Please note that certification and recertification fees are not part of the subscription.
WHY MUST WE SUBMIT THE COMPANY’S FINANCIAL INFORMATION? Financial information is critical in validating a company’s business legitimacy. All information is kept confidential.
WHO HAS ACCESS TO MY APPLICATION? The NMSDC staff has access to your application. Everyone who has access to the applicant’s information must sign a nondisclosure / confidentiality agreement yearly.
I AM A RESIDENT ALIEN / GREEN CARD HOLDER, AM I ELIGIBLE FOR MBE CERTIFICATION? No; the NMSDC guidelines require that an applicant must be a US citizen. Green card holders are not US citizens.
WHAT ARE NAICS CODES? Major corporations use NAICS codes and key word to identify business opportunities. If your NAICS code is not precise and concise, you will miss out on potential business opportunities. Please be smart about the selection of your code(s). Major corporations are not looking for a “jack-of-all-trades.” They are looking for functional experts. North American Industry Classification System (NAICS) is an industry classification system that groups’ establishments into industry sectors based on the activities in which they are primarily engaged. The NAICS code is a comprehensive system covering the entire field of economic activities, producing and non-producing. This system replaces the former Standard Industrial Classification (SIC) designations. Corporate America as well as some local, state, and federal government entities use NAICS codes. You are required to identify your businesses’ NAICS designation code. The NMSDC and corporate buying groups use NAICS codes to identify certified MBEs. Six digit NAICS codes are required.
WHAT CHANGES WOULD AFFECT MY CERTIFICATION STATUS?
- If a change occurs in your business, it is your responsibility to inform NMSDC within thirty (30) days. The following is a list of common situations:
- Change in ownership, management, control, or operations
- Relocation of a business
- Change of products or services
CERTIFICATION AGREEMENTS: While some government agencies may require a separate certification process, being certified with the NMSDC can save time, reduce paperwork, and expedite approval for their supplier diversity program. Contact us about our certification agreements with:
WSSC, MONTGOMERY COUNTY, PRINCE GEORGES COUNTY, BALTIMORE COUNTY