SDVOSB & VOSB Certification: Veteran-Owned Business Guide (2026)
Last updated: 2026-04-01
Summary:The SDVOSB (Service-Disabled Veteran-Owned Small Business) and VOSB (Veteran-Owned Small Business) certifications provide access to federal set-aside contracts, sole-source awards up to $4.5M/$7M, and a 3% government-wide contracting goal. Since January 2023, all certifications are processed through the SBA's VetCert system at certify.sba.gov. The VA's "Veterans First" program gives additional preference to SDVOSBs for VA contracts.
SDVOSB vs VOSB: Key Differences
| Feature | SDVOSB | VOSB |
|---|---|---|
| Disability required | Yes (any % service-connected) | No |
| 51% veteran-owned | Yes (service-disabled veteran) | Yes (any veteran) |
| Gov-wide contracting goal | 3% | No specific goal |
| Set-asides available | All federal agencies | Primarily VA |
| Sole-source threshold | $4.5M services / $7M manufacturing | VA contracts only |
| VA Veterans First priority | Highest priority | Second priority |
Eligibility Requirements
SDVOSB Requirements
- •Small business by SBA size standards
- •At least 51% owned and controlled by one or more service-disabled veterans
- •Veteran must have a VA service-connected disability rating (any percentage, including 0%)
- •Veteran must manage day-to-day operations and make long-term decisions
- •Veteran must hold highest officer position
- •Veteran must be a U.S. citizen
VOSB Requirements
Same as SDVOSB except no disability rating is required. The business must be 51% owned and controlled by one or more veterans (honorably discharged).
Permanent & Severe Disability Exception
If the service-disabled veteran has a permanent and severe disability (e.g., rated 100% permanent and total by the VA), the veteran's spouse or permanent caregiver may control the day-to-day operations on the veteran's behalf while the veteran retains ownership.
How to Apply (SBA VetCert)
Step 1: Register on SAM.gov and obtain your UEI (prerequisite).
Step 2: Gather required documents:
- •DD-214 (Certificate of Release or Discharge from Active Duty)
- •VA disability rating letter (for SDVOSB only)
- •Business formation documents
- •Tax returns (personal and business)
- •Financial statements
- •Proof of U.S. citizenship
Step 3: Submit application at certify.sba.gov (VetCert portal). The application is free.
Step 4: Processing takes approximately 90 days.
Recertification: Required every 3 years. The SBA may conduct eligibility reviews at any time.
VA Veterans First Contracting Program
The Department of Veterans Affairs has an enhanced "Veterans First" contracting program that gives priority to veteran-owned businesses. Under this program, the VA follows this order of priority when awarding contracts:
- SDVOSB set-aside or sole-source
- VOSB set-aside or sole-source
- Small business set-aside
- Full and open competition
The VA is the single largest source of SDVOSB and VOSB set-aside contracts. In addition to VA contracts, all federal agencies have SDVOSB set-aside authority and are required to meet the 3% government-wide contracting goal.
Frequently Asked Questions
What is the difference between SDVOSB and VOSB?
SDVOSB (Service-Disabled Veteran-Owned Small Business) requires the business to be at least 51% owned and controlled by a veteran with a service-connected disability rating from the VA. VOSB (Veteran-Owned Small Business) requires 51% ownership and control by a veteran, regardless of disability status. SDVOSB has access to more contracting opportunities because there is a 3% government-wide set-aside goal for SDVOSBs. Both VA and other federal agencies offer SDVOSB set-asides. VOSB set-asides are more limited and primarily available through the VA.
What is SBA VetCert?
VetCert is the SBA's online certification system for verifying veteran-owned and service-disabled veteran-owned small businesses. As of January 2023, the SBA took over the certification process from the VA's Center for Verification and Evaluation (CVE). All SDVOSB and VOSB certifications are now processed through certify.sba.gov. Previously certified firms under the VA system were automatically transferred to SBA jurisdiction. New applicants must apply through the SBA's VetCert portal.
What are the SDVOSB eligibility requirements?
To qualify as SDVOSB: (1) Be a small business by SBA size standards, (2) Be at least 51% unconditionally and directly owned by one or more service-disabled veterans, (3) The service-disabled veteran(s) must have a service-connected disability rating from the VA (any percentage), (4) The daily business operations and long-term decision-making must be controlled by one or more service-disabled veterans (or in the case of permanent and severe disability, the veteran's spouse or permanent caregiver), (5) The veteran must be a U.S. citizen.
How do I apply for SDVOSB certification?
Applications are submitted through certify.sba.gov (the VetCert portal). You need: SAM.gov registration with UEI, VA disability rating letter (for SDVOSB), DD-214 or equivalent military service documentation, business formation documents, tax returns, financial statements, and ownership documentation. The application is free. Processing takes approximately 90 days. The SBA may request additional documentation during the review process.
What contracts are set aside for SDVOSB firms?
SDVOSB firms have access to: (1) Government-wide set-aside contracts — any federal agency can set aside contracts for SDVOSB firms, (2) VA-specific set-asides — the VA has an enhanced 'Veterans First' contracting program with a preference for SDVOSBs, (3) Sole-source contracts up to $4.5 million for services and $7 million for manufacturing, (4) A 3% government-wide contracting goal for SDVOSBs. The VA is the largest source of SDVOSB set-asides, but all federal agencies must try to meet the 3% goal.
Can I hold SDVOSB certification with other certifications?
Yes. SDVOSB can be combined with other certifications including 8(a), HUBZone, and WOSB (if the veteran is also a woman). Stacking certifications opens more contracting opportunities. For example, an SDVOSB firm in a HUBZone could compete for both SDVOSB and HUBZone set-asides. An 8(a)-certified SDVOSB firm has access to both program's sole-source and set-aside authorities.
What if my disability rating is only 0%?
A 0% service-connected disability rating from the VA does qualify for SDVOSB certification. Any service-connected disability rating — including 0% — satisfies the disability requirement. The SBA requires documentation from the VA confirming the service-connected disability, regardless of the percentage rating. A 0% rating means the VA acknowledges the condition is service-connected but does not currently warrant compensation.
Related Resources on This Site
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- Business Owners Policybusiness owners policy (BOP)
- Business Licensebusiness license requirements by state
- DBA RegistrationDBA / fictitious name registration
- Home Business Permithome-based business permits
This is general information, not legal advice. Verify current requirements on SBA.gov and certify.sba.gov.