On June 1, 2021, President Biden marked the 100th anniversary of the Tulsa Race Massacre by announcing the Biden-Harris administration’s plan to increase contracting targets for disadvantaged small businesses by 50% (SDB ). The White House has also released new information regarding the US plan for the employment of President Biden. Below you will find key information about the new SDB contracts government goals entrepreneurs.
Biden’s announcement launched a whole-of-government effort to expand contracting opportunities for underserved small businesses across the country. The new target is to increase the share of contracts going to SDBs by fifty percent by 2026, which will translate to $ 100 billion over the next five years. Achieving the new target would represent the biggest increase in SDB contracts since data was first collected over thirty years ago.
To achieve the new goal, the Biden-Harris administration is asking agencies to assess all available tools to reduce barriers to entry and increase opportunities for small businesses and traditionally underserved entrepreneurs to compete for federal contracts. . This builds on the intentions outlined in Biden’s recent budget proposal, which explained that âthe administration will pursue agile, innovative, results-based, and equity-focused acquisition processes. . . [,] include[ing] a dedicated effort to remove the barriers small businesses in underserved communities face when competing for contracts.
The Biden-Harris administration has also released new details on the US plan for President Biden’s employment. Specifically, the White House explained that the U.S. Jobs Plan will invest $ 30 billion in new Small Business Administration (SBA) initiatives to reduce barriers to small business ownership and success. These initiatives aim to increase access to capital by establishing a new direct lending program for smaller businesses, developing new lending products to support small manufacturers and businesses investing in clean energy, and launching a new small business investment company that invests equity in small businesses with priority for those owned by socially and economically disadvantaged people.
The White House also announced that the U.S. Jobs Plan will invest billions of dollars in SBA technical assistance programs that incubate and provide mentoring and technical assistance to companies 8 (a), strengthen the network of sub- American contracting to create pathways to project management, will encourage companies to diversify their supplies and to integrate more socially and economically disadvantaged companies into federal research and development programs. These investments would include an innovative new billion dollar grant program through the Minority Business Development Agency to help minority-owned manufacturers access private capital.