The Definitive Guide for LGBTQ-Owned Business Enterprises

We know that small businesses are a vital component of our economy. According to the U.S. Small Business Administration (SBA), there are nearly 30 million small businesses in the United States, accounting for 99.9 percent of all U.S. businesses, and roughly 8 million of those are classified as diverse businesses. These small businesses drive a significant share of job creation and innovation nationwide.

Lesbian, gay, bisexual, transgender, and queer (LGBTQ+)-owned business enterprises are a growing segment of that population. The National LGBT Chamber of Commerce (NGLCC) estimates there are now roughly 1.4 million LGBTQ+ business owners in the U.S., contributing close to $2 trillion to the economy each year through spending power, jobs created, and tax revenue.

Many large corporations continue to recognize LGBTQ+-owned businesses in their supplier diversity programs. The Billion Dollar Roundtable (BDR), a coalition of corporations each spending at least $1 billion annually with diverse suppliers, counts Certified LGBT Business Enterprises® (LGBTBEs) toward that spend. It’s worth noting, though, that the policy landscape for federal supplier diversity programs has shifted meaningfully in the past year — more on that below.

Read on to learn what qualifies a business as LGBTQ-owned, how to get certified, and where the current opportunities (and open questions) are.

A note on the current landscape (2026):

Executive orders issued in 2025 and 2026 rolled back race- and identity-based preferences in federal contracting, and federal contractors must now certify they don’t engage in DEI practices that involve disparate treatment based on protected characteristics. This mainly affects government set-aside programs like 8(a) — it does not eliminate private-sector corporate supplier diversity programs, which remain legal and widely used. This guide flags where that distinction matters.

What Is an LGBT-Owned Business?

Of all the diverse business classifications, LGBT is undergoing the most change as we become more inclusive of nonbinary and gender-fluid individuals. For now, the government and NGLCC, the main certifying entity, use the LGBT acronym, but efforts are underway to define and embrace the “Q” (queer/questioning) in LGBTQ.

LGBT-Owned Business Enterprise (LGBTBE) Requirements

An LGBT-owned business is defined as:

• Majority (at least 51%) owned, operated, managed, and controlled by an LGBT person or persons who are either U.S. citizens or lawful permanent residents
• Exercises independence from any non-LGBT business enterprise
• Has its principal place of business (headquarters) in the United States
• Has been formed as a legal entity in the United States

8(a) Economically Disadvantaged Small Business Requirements

The 8(a) program has historically helped small disadvantaged businesses access federal contracts, but its eligibility criteria and race-conscious elements are under active legal and regulatory review following 2025–2026 executive orders on federal contractor DEI practices. Requirements have included:

• Being a small business under SBA size standards
• Not having previously participated in the 8(a) program
• Being at least 51 percent owned and controlled by individuals the SBA classifies as economically and socially disadvantaged
• Meeting SBA income and asset thresholds
• Owner involvement in day-to-day management and long-term decisions
• Demonstrated potential for successful contract performance

Because these criteria are being actively contested and revised, check the SBA’s federal contracting page directly for the current eligibility standards before relying on 8(a) as a growth strategy.

Becoming Certified as an LGBT-Owned Business

If you meet the requirements to be an LGBTBE, your next step is to become certified. There are two types of certification, although they are not equal: self-certification and third-party certification.

Although self-certification is simpler than going through a third party, many of today’s corporations prefer the latter, and the BDR does not accept self-certification. Third-party certification provides corporate supplier diversity programs with the assurance that an independent, nationally recognized agency vetted your company and verified your LGBT-owned status.

Self-Certification

Follow the SBA online self-certification process. Use the link below to begin certifying your LGBTQ-owned business.

Third-Party Certification

Third-party certification through NGLCC remains the standard corporations look for. Certified LGBTBEs get access to NGLCC’s national network of corporate supplier diversity contacts and matchmaking events, and their spend is counted toward BDR members’ diverse-spend commitments. Self-certification through certify.sba.gov is free and immediate but isn’t accepted by BDR members or most large corporate programs, and self-certifications now need to be renewed every two years.

Education and Training

Education, Funding, and Contracting Resource

Fortunately, both government and private institutions realize the value of supplier diversity and are investing in supplier development. Whether you’re just beginning your business or you’ve been around for a while, these educational resources are sure to help.

NGLCC Affiliate Chambers

The NGLCC’s network of affiliates stretches across the United States and around the globe. Each affiliate offers its own resources, including business training and education, networking opportunities, and matchmaking events.

As it strives to be more inclusive of the entire LGBTQ community, NGLCC is currently convening a group of diverse leaders who will improve and advise upon efforts to procure goods and services from trans and nonbinary business owners through the Trans+ Inclusion Task Force.

StartOut

This nonprofit organization seeks to connect and educate LGBTQ entrepreneurs via resources such as a proprietary networking portal and forum, events located around the country, mentorship opportunities, and even coworking space for LGBTQ entrepreneurs located in San Francisco. StartOut also offers a premium membership service connecting LGBTQ entrepreneurs with accredited investors.

Lesbians Who Tech

Lesbians Who Tech is a community of queer women in Science, Technology, Engineering. And Mathematics (STEM). The organization’s summits are famous for a loaded speaker list, including Hillary Clinton, Sheryl Sandberg (Facebook), former FCC Commissioner Mignon Clyburn, Del Harvey (Twitter), and many more executives, leaders, and entrepreneurs.

The organization also awards the Edie Windsor Coding Scholarship, which covers up to 50 percent of tuition at partner tech schools for “incoming LGBTQ women, non-binary and trans techies to kickstart careers in technology.”

Stanford LGBTQ Executive Leadership Program

This first of its kind program offered at a top university is designed to address LGBTQ leadership in the C-suite. Entrepreneurs may also benefit from the weeklong intensive program, which focuses on topics such as bringing your authentic self to work, building peer networks, strengthening verbal and nonverbal communication skills, and building LGBTQ networks and career paths within your organization.

Reaching Out MBA

Reaching Out MBA (ROMBA) is a nonprofit organization with more than a dozen unique programs dedicated to educating, inspiring, and connecting the LGBTQ MBA community to impact change in the workplace and create the next generation of out leaders. ROMBA’s Out Women in Business conference offers programming and education specifically for lesbian, bisexual, and transgender women.

SCORE

For more than 50 years, the nonprofit SCORE has been helping small businesses get off the ground through education and mentorship.

Because LGBTQ-owned businesses are supported by the SBA, they can take advantage of their services at no charge or at a very low cost. Visit SCORE’s website to find more information on mentors, workshops, and other available resources.

8(a) Business Development Program

The 8(a) program is a business assistance program designed specifically for small disadvantaged businesses. The program is government sponsored, is highly involved, and has some inspiring success stories. Participants go through a four-year developmental stage followed by a five-year transition stage. In addition to the nine-year program, participants have access to specialized business training, marketing assistance, and mentorship programs, to name a few. Find out how your 8(a) minority-owned business can participate here.

Funding

Access to capital is one of the main obstacles to business equality. The federal government offers several forms of assistance for LGBTBEs to secure funding through loans and grants. Additionally, several angel investors specifically seek to invest in LGBTBEs to promote business equality and innovation. Crowdfunding is also increasingly popular as a vehicle for entrepreneurs to fund projects.

SBA Guaranteed Loans

One of the many resources the SBA provides is access to loans; however, the SBA does not loan money directly to small businesses. Instead, it establishes loan guidelines with partnering lenders around the country. The SBA guarantees these loans will be paid, which means small businesses generally receive lower, more competitive rates and fees compared to non-guaranteed loans. Find more information about SBA-guaranteed loans.

USA.gov

Aside from the SBA, the United States offers other government-backed loans and funding resources.

Angel Investors

A number of angel investors have turned their attention to investing in LGBTBEs as an emerging breeding ground of economic impact, innovation, and change. The Angel List has a directory of investors who are specifically interested in LGBTBEs. StartOut offers connections with angel investors as part of its premium membership.

Crowdfunding

As the name suggests, crowdfunding is used by businesses to pull small investments from a large number of investors—unlike traditional investments made by only a handful of people. Many small businesses have found success exercising this type of fundraising strategy.

Crowdfunding sites have become an increasingly popular way to raise money for business ideas ranging from video games to backpacks to feature films to beehives. The SBA provides more details on how to successfully crowdfund for your minority-owned business.

Contracting Opportunities

Both the federal government and many of America’s top corporations require their procurement departments to spend a certain percentage on diverse suppliers every year. Once you are certified as an LGBTBE, it’s time to leverage that certification to gain access to contracting opportunities.

Supplier Registration Platforms

To streamline supplier diversity, blue-chip firms invest in third-party supplier registration portals to streamline the buyer-supplier contracting process.

Free registration, seamless communication with potential buyers, and robust opportunity filtering are just a few features that a quality platform should provide to suppliers. Register your company today to start on the path toward working with Fortune 1000 companies.

Federal Contracting Programs (8(a) and HUBZone)

Given the current uncertainty around federal set-aside programs, the more durable opportunity for most LGBTQ+-owned businesses right now is corporate supplier diversity — registering directly with large companies’ supplier diversity programs, which operate under private contracting law rather than federal preference rules and have continued to grow even as federal programs face challenges.

Federal programs like 8(a) and HUBZone still exist and can offer real value (8(a) participants have historically had access to sole-source contracts up to $4 million for goods and services and $6.5 million for manufacturing), but eligibility rules are actively changing. Confirm current requirements on the SBA’s site before building a strategy around them.

Last updated: September 2026. Given how fast federal contracting policy is moving, we recommend confirming program-specific details directly with the SBA or NGLCC before applying.