SBA: Small Companies Must Recertify After Being Acquired
"The SBA's Office of Advocacy announced recently that roughly $2 billion in federal contracting money that was believed to have gone to small businesses actually went to large companies in fiscal year 2002. The reason: Larger companies like Titan, Raytheon, General Dynamics and Hewlett-Packard bought the small businesses that originally received the contracts.
Since the government strives to award 23% of all prime-contract dollars to small businesses, the SBA has implemented a new monitoring system that will force companies to recertify their small business status if they take part in an acquisition."
About.com.
