In addition to a heightened work ethic, collaborating with women-owned businesses presents the opportunity for tax incentives. Federal business statutes define “minority” to include people who are African-American, Alaskan Native, American Indian, Asian-American, Hispanic, and women. Since women are classified as a minority group in business operations, purchasing supplies and materials from a certified woman-owned business could result in a federal tax break. However, in order to receive this tax benefit, you need to make sure the business is WBENC Certified.
The Women’s Business Enterprise National Council (WBENC) has made it their goal to provide resources and certifications that help advance and innovate the global economy. One of the organization’s most valuable tools available to women-owned businesses is the WBENC Certification. To be WBENC Certified, a company must prove that at least 51% of the business is owned, controlled, operated, and managed by women. The authentication process is a lengthy and detailed undertaking for women businesses owners and involves comprehensive documentation and on-site visits to procure. When you come across a business with a WBENC Certification, you know its team will work tirelessly to get the job done.
Maybe the most profound reason to hire women-owned businesses is that utilizing their services contributes to the diversification of the workforce. While federal contractors and subcontractors are required to adhere to affirmative employment standards, many private firms have taken it upon themselves to create their own diversity initiatives. Actions speak louder than words. As cliché as the statement has become, it is completely true. Today more than ever, consumers are paying attention to how corporations and organizations use their influence. Choosing to partner with capable women-owned businesses shows your audience that you actively support diversity and economic equality.
Women leaders in the workforce are still severely underrepresented. For example, in 1994, an initiative was started to have women-owned businesses receive 5% of all government contracts. According to a PBS report, the US Government still awarded less than 5% of contracts to women-run businesses in 2012, almost 20 years later. Women business owners are some of the most enterprising and assiduous individuals you can encounter in the workforce. Hire a woman-owned business and find out for yourself.
It sure was nice when you said that the WBENC has made it to its goal to help advance and innovate the global economy by providing resources and certifications. This makes me think how important it is for an organization or a company to get proper help in qualifying for a minority business enterprise. I could imagine how helpful it would be to get the help of a professional so they could get the certification that they need for an MBE application.
Its interesting when you said that a company must establish that at least 51 percent of the company is owned and managed by women in order to be WBENC Certified. My aunt wants to open up a skin shop for beauty products. Thanks for the article on utilizing women’s businesses and I will surely forward this article to her!
Thanks for your blog, nice to read. Do not stop.