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SDVOSB Certification Guide: Benefits and How to Apply in 2026

Complete guide to Service-Disabled Veteran-Owned Small Business (SDVOSB) certification. Learn eligibility requirements, application process, and how to leverage your status to win contracts.

GovCon Data TeamFebruary 5, 20264 min read

Introduction

The Service-Disabled Veteran-Owned Small Business (SDVOSB) program provides significant advantages in federal contracting. The government has a goal of awarding 3% of all federal contracting dollars to SDVOSBs, representing over $20 billion annually.

This guide covers everything you need to know about SDVOSB certification in 2026.

What is SDVOSB?

SDVOSB is a federal program that provides contracting preferences to small businesses owned and controlled by service-disabled veterans. Benefits include:

  • Set-aside contracts: Contracts reserved exclusively for SDVOSBs
  • Sole-source awards: Direct awards without competition (up to $5 million for services, $7 million for manufacturing)
  • Evaluation preferences: Extra credit in some competitive procurements
  • Subcontracting opportunities: Large contractors often seek SDVOSB partners

Eligibility Requirements

Veteran Requirements

  • Service-disabled: Must have a service-connected disability rated by VA or DoD
  • Any disability rating: Even 0% rating qualifies (presumptive conditions count)
  • Honorable discharge: Must have been discharged under honorable conditions

Business Requirements

  • Small business: Must meet SBA size standards for your NAICS code
  • Unconditional ownership: Service-disabled veteran(s) must own at least 51%
  • Control: Service-disabled veteran must control daily operations and long-term decisions
  • U.S. business: Must operate in the United States

Control Test

The service-disabled veteran must:

  • Hold the highest officer position (CEO, President, etc.)
  • Have managerial control of day-to-day operations
  • Control long-term business decisions
  • Possess required licenses and expertise (or employ someone who does)

SDVOSB vs. VOSB

CriteriaSDVOSBVOSB
Service-connected disabilityRequiredNot required
Sole-source threshold$5M services / $7M manufacturingNone
Set-aside contractsYesYes (VA only)
Federal goal3%Included in 3%

Pro tip: If you qualify for SDVOSB, you automatically qualify for VOSB status as well.

Certification Process

Step 1: SBA Certification (Required)

As of January 2023, SBA administers SDVOSB certification:

  1. Create account: Register at certify.sba.gov
  2. Complete application: Fill out questionnaire and upload documents
  3. Required documents:
  • DD-214 (discharge papers)
  • VA disability letter or DoD rating
  • Business formation documents
  • Tax returns (personal and business)
  • Financial statements
  • Resumes of owners and key employees
  1. SBA review: 90 days for initial review
  2. Site visit: May be required
  3. Decision: Approval or denial with explanation

Step 2: SAM.gov Registration

After SBA certification:

  1. Log into SAM.gov
  2. Update your entity registration
  3. Self-certify as SDVOSB
  4. Your SBA certification will be verified

VA Verification (Optional but Valuable)

For Veterans Affairs contracts specifically, consider also registering in VetBiz/VIP database. While SBA certification is now primary, some VA contracting officers still reference VetBiz.

Maximizing SDVOSB Benefits

Finding SDVOSB Opportunities

Use platforms like GovCon Data to filter for:

  • SDVOSB set-aside contracts
  • Agencies with SDVOSB spending goals
  • Sole-source opportunities under threshold

Top Agencies for SDVOSB Contracting

  1. Department of Veterans Affairs: Strong preference for SDVOSB
  2. Department of Defense: Largest spender with SDVOSB goals
  3. General Services Administration: Multiple SDVOSB contract vehicles
  4. Department of Homeland Security: Active SDVOSB program

Mentor-Protégé Program

The SBA Mentor-Protégé program allows SDVOSBs to:

  • Partner with experienced contractors
  • Bid on contracts as a joint venture
  • Learn from established firms
  • Build capabilities and past performance

Contract Vehicles

Consider getting on SDVOSB-specific contract vehicles:

  • VETS 2 (GSA): Government-wide SDVOSB GWAC
  • T4NG (VA): VA IT services
  • Agency BPAs: Many agencies have SDVOSB BPAs

Common Mistakes to Avoid

  1. Control issues: Ensure the service-disabled veteran truly controls the business
  2. Ownership documentation: Have clear documentation of 51%+ ownership
  3. Economic dependence: Don't be too dependent on a single large client
  4. Missing deadlines: Keep certifications and registrations current

Timeline and Costs

Timeline

  • SBA application preparation: 2-4 weeks
  • SBA review: 90 days (can be longer)
  • Total process: 4-6 months

Costs

  • SBA certification: Free
  • SAM.gov registration: Free
  • Legal/consulting assistance: $1,000-5,000 (optional but recommended)

Maintaining Certification

  • Annual recertification: Self-certify annually in SAM.gov
  • SBA review: Every 3 years or upon material change
  • Report changes: Notify SBA of ownership or control changes

Conclusion

SDVOSB certification provides significant contracting advantages for eligible veteran-owned businesses. While the certification process requires effort, the benefits—including set-aside contracts and sole-source opportunities—can transform your government contracting success.

Start your journey by searching SDVOSB opportunities on GovCon Data and finding contracts matched to your capabilities.

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