The United States Small Business Administration (SBA) is increasing the small business size standards for four industries in the North American Industry Classification System.
What Does That Mean?
The SBA.gov site explains…
“To determine eligibility for federal small business assistance programs, SBA establishes numeric small business definitions (referred to as size standards) for private sector industries in the United States. SBA’s existing size standards use two primary measures of business size—average annual receipts and number of employees. However, financial assets, electric output, and refining capacity are used as size measures for a few specialized industries.”
Why Did They Make These Changes?
Here is their explanation…
“Over the years, SBA has received comments that its size standards have not kept up with changes in the economy, in particular the changes in the Federal contracting marketplace and industry structure. The last comprehensive review of size standards occurred during the late 1970s and early 1980s. Since then, most reviews of size standards were limited to a few specific industries in response to requests from the public and Federal agencies. SBA also makes periodic inflation adjustments to its monetary based size standards. The latest inflation adjustment to size standards was published in theFederal Registeron July 18, 2008 (73 FR 41237).”
If you would like to check out the changes to the four industries, then click on the links below…
- Did You Know This Week Is “National Small Business Week”? (baybusinesshelp.com)