Bona Fide Place of Business (BPOB) Moratorium

Office of Government Contracting and Business Development 

September 14, 2021

u s small business administration

Bona Fide Place of Business (BPOB) Moratorium

Government contracting

On August 26, 2021 the U.S. Small Business Administration announced a moratorium on the requirement that participants in SBA’s 8(a) Business Development Program must establish a bona fide place of business (BPOB)  in a specific geographic area in order to be awarded any construction contract through the 8(a) Program due to the ongoing challenges of COVID-19. 

The moratorium is effective August 25, 2021, and applies to all 8(a) construction contracts offered to the 8(a) Program between August 25, 2021 and September 30, 2022.  

To preserve equity and fairness no requests from program participants will be accepted by the SBA during the moratorium.  Any 8(a) Program participant seeking an 8(a) construction contract (either on a sole source or competitive basis) will not be required to have or establish a bona fide place of business in any specific geographic location.

For purposes of 8(a) construction procurements, a bona fide place of business means a location where a participant regularly maintains an office which employs at least one full-time individual within the appropriate geographical boundary. The term does not include construction trailers or other temporary construction sites.

The SBA believes this modification to the 8(a) Program will make it easier for small disadvantaged businesses to be eligible to be awarded 8(a) construction contracts.

Firms participating in the 8(a) Program can email questions to their local servicing District Office or visit Small Business Administration (sba.gov) to locate your Business Opportunity Specialist.