December 18 2009 Copyright 2009 Business Research Services Inc. 301-229-5561 All rights reserved.
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8(a) Applications Soar The number of applications for the 8(a) program has nearly doubled in recent months and SBA is falling behind in processing them. SBA is receiving about 400 new applications a month, up from around 220 last year, and the number is still growing, according to Joe Loddo, associate administrator for business development. He says the recession, coupled with contracting opportunities under the Recovery Act, has led more companies to seek federal work. Loddo says turnaround time for applications has slipped to about 80 days on average, up from 70. Applications are initially reviewed by SBA offices in Pennsylvania and California, and then forwarded to headquarters in Washington for approval or disapproval. The new applicants are offset in part by dropouts from the program. According to an analysis by Set-Aside Alert, the number of certified 8(a) companies fell by almost 100 in the past two months and is 150 less than in January.
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