Why It's Important to be MBE Certified | Lead Bank

Jul 22, 2021

Corporations, the federal government, and state agencies all want to do business with minority-owned companies. To meet their objectives, private and public sector firms search for minority-owned suppliers through programs that have formal certification processes. And the bottom line is, if you aren’t certified, then you can miss out on business.  

Many states and cities have minority-owned business programs, which are often referred to as Minority Business Enterprise (MBE) programs. Certification can significantly help your business gain access to government contracts.  Whether you are just starting a business or your company is already established, you can drastically benefit from these "set aside" goals to gain revenue.

There are revenue benefits for taking the time to get certified, and there are also the reputational benefits. In addition to greater earnings potential, MBE certification enhances your businesses’ professional image and reflects your achievement.  

On all City projects above a certain dollar amount, the Kansas City Human Relations Department assigns goals for the participation of minority and women-owned businesses.  If you aren’t a certified business, then you miss the opportunity to participate.  At least 51 percent of the business must be owned by a minority and a U.S. citizen (or lawfully admitted permanent resident of the U.S.) The minority business owner must hold the highest position in the company and be capable of exercising direct control over the daily, as well as long-term decisions regarding the management, policies and operations of the for-profit business.


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