Certificate of Competency

A certificate issued by the Small Business Administration (SBA) stating that the holder is "responsible" (in terms of capability, competency, capacity, credit, integrity, perseverance, and tenacity) for the purpose of receiving and performing a specific government contract.

Updated on
September 9, 2022
Published on
June 20, 2018
The 7(a) Loan Program, SBA’s most common loan program, includes assistance for each business with unique needs.
SBA 504 loans are very popular for long-term, fixed rate financing of up to $5 million for major fixed assets.
The average Microloan is about $13,000. The Microloans program provides loans up to $50,000 to small businesses.
SBA Glossary

Common SBA Terms

Everything you need to know about common terms used to discuss SBA Loans.
Available Asset Test
Part of the CET that determines if an applicant(s) has...
DBA
ex. Blocker & Sons LLC, doing business as Bob's Burgers
Intermediary Organization
Organizations that play a funda...
Coastal Barrier Resource Area (COBRA)
A flood prone area in which...
Subsidiary
A company for which a majority of the...
Contractor Team Arrangement
An arrangement in which...
Projection
An estimate of future economic or...
Injury Analysis
Measures the effects of...
Fair and Reasonable Price
A price that is fair to both parties...
Substantial Damage
This means uninsured or otherwise uncompensated...
Normal Gross Margin
The margin that would have been...
Amortization
A non-cash operating expense that...
Extraordinary Items
Additional expenses that are...
Companion File
When an applicant has another application filed...
Federal Acquisition Regulation (FAR)
The body of regulations which is...

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