Termination From the 8(a) Program

Being in the unfortunate situation of being terminated from the 8(a) Program, you may still have various reasons to appeal the SBA decision. Understanding these reasons can impact your ability to continue getting the benefits of the Program.

When Can the SBA Initiate Termination from the 8(a) Program?

The SBA may terminate you as an 8(a) Program participant prior to the completion of the nine-year program term for good cause. Under the regulations, good cause includes a number of non-exclusive factors. In other words, there can be a variety of reasons for the termination.

• You can be terminated for not complying with the same conditions that allowed you to get into the Program.
• Good cause can be as much as not responding to SBA inquiries or providing information on time.
• Good cause to terminate 8(a) companies can be as little as not informing the SBA about your activities or violation of the Participation Agreement.

Termination and SBA Notification Requirements

If the SBA decides to initiate your termination from the 8(a) Program, it must also notify you in writing of its intent and “the specific facts and reasons for SBA’s findings.”

The SBA must also notify you that you have 30 days from the date you receive the termination letter to submit a written response to explaining why its proposed ground(s) should not justify termination.

• Failure to comply with notification requirements could impact your due process rights.

Appealing Termination from the 8(a) Program

When you receive the SBA’s decision, you can appeal the decision to SBA OHA. When filing the appeal, you must also keep in mind that you must:

• State, with specific reference to the determination and the record supporting such determination, the reasons why the termination from the 8(a) Program was arbitrary, capricious or contrary to law.
• Factual and legal error should also be included in the appeal.

Find out more about 8a eligibility requirements.

For help appealing your SBA termination from the 8(a) Program. Call our 8(a) certification lawyers at 1-866-601-5518. FREE Initial Consultation.