“Small Business Socioeconomic Categories” is a term used to refer to the various designations given to businesses owned and controlled by individuals who are socially and economically disadvantaged. These categories are used by the government, particularly during contract awards, to encourage and stimulate the utilization of small businesses. The goal is to help these entities grow, create jobs, and contribute to the economy. Businesses that fall under these categories are given priority and assistance in securing government contracts.
Included in Small Business Socioeconomic Categories are the 8(a) Business Development contractors, businesses situated in historically underutilized business zones, service-disabled veteran-owned small businesses, small businesses, small disadvantaged businesses, veteran-owned small businesses, and women-owned small businesses. Each of these categories has a unique set of qualifications and benefits. By providing contracting assistance to these businesses, the government aims to level the playing field and create opportunities for these underserved groups. They serve as the government’s commitment to promote diversity and inclusion in the business sector.
