Which is better: a disabled veteran owned business or a minority owned business?

2018-11-04T11:24:37-05:00

Creating a consulting group. Ok a service-disabled Veteran, my wife is a non-vet. So who should have 51% of the LLC?

Not looking for contracts like typical contracting. I’m more interested in the soft-touch of which ownership would have the better image? And yes, we will both be equally active in the LLC.

Response by SPC Margaret Higgins made Nov 4 at 2018 11:39 AM

2018-11-04T11:39:12-05:00

Minorities and Disabled Veterans are equal in status, Captain. This is my humble opinion, Sir. Capt Bob Abbott If I may add, Sir: Minorities can be Disabled Veterans; and vice versa.

Response by CAPT Kevin B. made Nov 4 at 2018 12:27 PM

2018-11-04T12:27:30-05:00

Neither is "better". However, depending on location, DUNS Code, etc. one frequently has better access to Government work. The SB world revolves around "goals". There are goals for everything. WOB, MOB, DVOB, and toss in Hub Zones. So it's a matter of what and where. If the local marketplace is saturated with one type, the contracting agency's SB Coordinator is typically beating the bushes for beans they need to "look good". I spent a lot of time in Government work and noted the pucker factor when stuff wasn't coming up to goals in the last quarter of the FY. So the best resource is the SBA office that services your area. Pick their brains on what your marketplace looks like. BTW being a SB Something doesn't mean you're guaranteed work. Your services, pricing, etc. needs to be in the reasonable range.

Response by SSgt Private RallyPoint Member made Nov 4 at 2018 9:24 PM

2018-11-04T21:24:31-05:00

Minority woman owned, disable veteran ran business

Response by Cadet SSG Private RallyPoint Member made Apr 19 at 2023 11:37 PM

2023-04-19T23:37:57-04:00

It's great to hear that you're thinking about starting a consulting group. As for your question about LLC ownership, since you and your wife will be equally active in the business, it might be worth considering an even split of 50/50. That way, both of you have an equal say in the decision-making process. In terms of which ownership structure would have a better image, it's tough to say for sure. It might be worth thinking about what message you want to send to potential clients or partners. If highlighting your service-disabled veteran status is important to you, you could consider having the veteran own 51% of the LLC. However, if having a non-vet as the majority owner makes more sense for your business model, that's worth considering as well. On a separate note, I came across an interesting guide on pre-pack administration from https://www.antonybatty.com/company-administration/pre-pack-administration/ that you might find useful. It provides a comprehensive overview of the process.

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