From my firsthand experience with successful women business owners, I have found trends and characteristics of high achieving women entrepreneurs and fast-growth businesses. This article will cover certification as a woman owned business. To read “Traits of Top Women Entrepreneurs,” the introductory article, please click here.

Accomplished women entrepreneurs frequently do business with their local and national government entities and invest time in applying for certification as a woman-owned business, such as that from the Women’s Business Enterprise National Council (WBENC). WBENC is the nation’s premier third-party certification organization for women-owned businesses. Organizations such as The Women Presidents’ Educational Organization (WPEO) are one of 14 regional affiliates of WBENC.

Research has found that leading edge companies are 2.5 percent more likely to be certified as a woman-owned business than others. According to the Center for Women’s Business Research, women-owned businesses represent about one-third of all businesses in the United States. However, women-owned businesses only receive 4 percent of the billions of dollars spent by Fortune 1000 companies on goods and services.

Fortunately, many of these corporations understand the economic impact of women-owned businesses and have supplier diversity programs to help reach out and build business among diverse vendors. The most successful ones now see women-owned businesses as a key target of their marketing and procurement efforts and participate in certification initiatives, specifically WBENC’s and the WPEO’s.

Concepts of Certification

The certification process involves three key concepts: awareness, approval and access.

• Awareness: Most Fortune 1000 companies are aware that it is a good business practice to contract with women-owned businesses. As a result, many corporations have instituted their own supplier diversity goals intended to increase the percentage of B-to-B contracts that are awarded to women- and minority-owned companies.
• Approval: WBENC-certification verifies that the woman not only owns her business but also operates, manages and controls it as well.
• Access: WBENC certification comes with an extensive database of certified WBEs and corporate-supplier diversity members. The database provides contact information, business profiles and diversity program information as well as a mechanism for building connections and responding to requests for proposals (RFPs), which all WBENC-certified businesses may utilize for their contracting efforts.

Who benefits from Certification?

Some businesses, more than others, can reap the benefits of WBE certification. Generally, those that are business-to-business, providing a service or product directly to the client, rather than a manufacturer’s broker or representative, can successfully market the certification. Some examples might include consultants, manufacturers and other niche market service providers. The industries that WBEs generally have had great success with their certification status are non-traditional industries, such as electricians, construction, general contractors and waste disposal. One reason for WBEs success in these types of industries is that there are so few women-owned businesses of this nature, giving the WBEs a competitive edge. Other B-to-B efforts also benefit from certification but not instantaneously. Real success is the result of ongoing and consistent marketing of their Woman Owned Business status and their company’s uniqueness.

As a rule of thumb, those B-to-B industries that are highly competitive, such as promotional marketing products, Internet technology and advertising can benefit from certification, though this should not be the sole marketing strategy. Due to the unique competitive nature of these industries, certification alone will not provide a competitive advantage. Regardless of your industry, should you decide to become certified, don’t rely on WBE status as the key to your marketing strategy.

Businesses must have a marketable competitive advantage — find yours. Then your certification can be an added advantage.

Is your company eligible for certification?

A company is eligible for certification if it is 51 percent or more owned, operated and controlled by a woman or women. An application and supporting documents are submitted and an ongoing conversation ensues between staff and applicants until all required documentation has been received. The files are reviewed by a committee that consists of corporate representatives, legal and financial professionals, and women owners of certified companies. Each company receives an on-site visit by a committee member. The committee then votes to either certify or deny the applicant. After the company is certified, the local affiliate provides ongoing opportunities to connect with corporate diversity executives and WBEs.

Certification Resources

Women Presidents’ Educational Organization - www.wpeo.us   212-688-4114 or 202-626-8238

The Women Presidents’ Educational Organization (WPEO) is a regional affiliate of the Women’s Business Enterprise National Council (WBENC), the nation’s premier third-party certification organization for women-owned businesses. The mission of the WPEO is to create increased access to business opportunities for WBEs. Our programs develop skills and knowledge for WBEs, advocate in the public and private sectors, foster relationships between WBEs, corporations and the government, and provide certification services. WPEO provides full-service third-party certification to women entrepreneurs in the New York, northern New Jersey (including Princeton and points north), southern Connecticut, and the Washington DC, Maryland and Virginia areas. WPEO is incorporated in the state of New York and is recognized as a 501(c)(3) organization.

Women’s Business Enterprise National Council -   www.wbenc.com   972-359-0697