HAMTRAMCK, Mich. – Sterling Services LTD has been certified by the Wayne County Airport Authority (WCAA) as a Small Business Enterprise (SBE) for the purpose of contracting with the airport authority. As a certified supplier, Sterling Services can now leverage equalization credits when bidding on County contracts.
“This is a great benefit for our company,” said Graham Eddleston Founder and CEO of Sterling Oil and Chemical. “If we can do 20 to 30 percent, they set a one percent credit. It allows us to be a more valuable asset to clients for cost costing. If we did a contract, for comparison, against a non-certified small business enterprise it would be five dollars a gallon and up to four percent. The one percent credit gives us a competitive advantage against contracts.”
Under the SBE certification, If a contract is valued at less than $100,000 it can become eligible for equalization credits between one and three percent dependent on the proposed extent of the work to be performed by the SBE firm(s).
That means, if company A bids $60,700 with a non-SBE Prime Contractor and subcontracts 20 percent but less than 30 percent of the work to certified SBE(s), they would receive a one percent credit. If company B bids $60,350 with no SBE contractors they would receive zero equalization credits. Under this scenario, the WCAA would apply the credits to determine the winning bid. Company A’s bid of $60,700, would be adjusted by $603.50, for the adjusted bid amount of $60,096.50 which beat out Company B’s bid by $153.50. This is the advantage of being a Certified SBE with the WCAA.
Other benefits of being SBE Certified include eligibility to participate in the SBE program which is operated by the Wayne County Procurement Division (WCPD). This program’s goal is to help small-business development by designating commodities and/or projects to SBE bidders only. This process provides those businesses within SBE an equal opportunity to compete for contracts with larger businesses. The company, or SBE, will also be included within the WCPD Direct Solicitation List, opening the company to additional business. This certification is good through April 30, 2022.