The discipline transfers. The paperwork doesn't.
If you ran a platoon or managed a supply chain in uniform, you already have the hard part of running a business. What you don't have yet is the entity, the certifications that unlock contracts, and the financing that's actually priced for veterans. This walks through all three, with the real costs and timelines as of June 2026.
Step 1: Form the legal entity
Before any certification, you need a business that exists on paper. Pick a structure (most veteran-owned small businesses start as an LLC for liability protection and pass-through taxes), file your formation documents with your Secretary of State, and get a free EIN from the IRS. Open a business bank account so your personal and business money never touch. That separation matters later when a certifying agency reviews your ownership.
State filing fees run roughly $50 to $500 depending on where you incorporate. Budget for a registered agent if you don't have a fixed business address.
Before you spend a dollar on a business plan service, find your nearest Veterans Business Outreach Center (VBOC). The SBA funds 31 of them nationwide, and the counseling, mentoring, and business-plan review are free. If you're still transitioning out of service, the SBA's Boots to Business program (part of the DoD Transition Assistance Program) is a free two-day entrepreneurship course, and Boots to Business Reboot runs the same curriculum for veterans of any era, Guard, Reserve, and military spouses.
Step 2: Register in SAM.gov (this is non-negotiable for contracts)
If you want to sell to the federal government, you must register at SAM.gov. Registration is free. It assigns your Unique Entity ID (UEI) and is the system every federal buyer uses to find and pay vendors. You also choose your NAICS codes here, which classify what your business does. Get these right, because set-aside contracts are searched by NAICS.
Not sure which codes fit your work? Our NAICS lookup and guides walk through how to pick the codes that match real solicitations.
Step 3: Get certified as a veteran-owned business
This is where veterans get a real, legislated advantage. There are two tracks, and which ones you pursue depends on whether you're selling to the government, to corporations, or both.
Federal certification: SBA VetCert (free)
Since January 1, 2023, the SBA (not the VA) runs veteran certification through VetCert at veterans.certify.sba.gov. There are two designations:
- VOSB (Veteran-Owned Small Business): at least 51% owned and controlled by one or more veterans. VOSBs can compete for sole-source and set-aside contracts at the VA under its Vets First program.
- SDVOSB (Service-Disabled Veteran-Owned Small Business): at least 51% owned and controlled by veterans rated service-disabled by the VA. SDVOSBs compete for set-aside contracts across the entire federal government.
The eligibility rules live in 13 CFR Part 128, and the ownership has to be direct and unconditional. One disqualifier worth flagging: if your business or its principals owe significant unpaid federal debt (tax liens, defaulted federal loans), you're ineligible unless you're current on an approved repayment plan or the debt has been settled.
Two facts make 2026 a good year to apply. The certification is free when you apply directly through the SBA. And in November 2025, the SBA announced it had cleared the VetCert backlog and cut average processing time to about 12 days. Self-certification for SDVOSB is gone, so the certification is now the thing that actually opens doors.
The payoff is statutory. At least 5% of all federal contracting dollars are set aside each year for certified SDVOSBs, and the VA sets aside at least 7% of its contracts for VOSBs and SDVOSBs. That's not a corporate goodwill program that can vanish in a policy memo. It's federal law.
Corporate certification: NaVOBA VBE
If your customers are Fortune 500 procurement teams instead of (or alongside) federal agencies, the credential they recognize is the Certified Veteran's Business Enterprise (VBE) or Certified Service-Disabled Veteran's Business Enterprise (SDVBE) from the National Veteran-Owned Business Association (NaVOBA). Unlike the free SBA route, NaVOBA charges an application fee tied to your annual revenue, and the certification is valid for 1,095 days (three years). NaVOBA's certification is built around its corporate allies, so it's the right move when private-sector supplier diversity spend is your target.
If you also qualify as a minority owned business, a woman-owned business, or LGBTBE, stacking certifications widens the pool of programs you're eligible for. Not sure what you qualify for? Our certification quiz maps your ownership and demographics to every certification you're eligible for in a few minutes.
Step 4: Fund it with capital priced for veterans
Veterans get better loan terms than the general market, and they're worth using.
- SBA 7(a): the workhorse, up to $5 million for working capital, equipment, or acquisition.
- SBA 504: up to $5.5 million for real estate and major equipment.
- SBA Microloan: up to $50,000, the easiest path for an early-stage business with a thinner credit file.
- MREIDL (Military Reservist Economic Injury Disaster Loan): for businesses hurt when an essential employee is called to active duty, up to $2 million at a fixed 4% with terms up to 30 years.
The SBA Veterans Advantage program reduces or waives upfront guaranty fees on certain SBA Express and 7(a) loans for veteran-owned firms, which on a mid-six-figure loan can save five figures. The exact thresholds shift with SBA's annual fee schedule, so ask your lender to quote the current waiver before you sign.
Loans aren't the only option. Grant programs exist specifically for veterans, including Warrior Rising (grants reported up to $20,000 for entrepreneurs who complete its training) and the Second Service Foundation's Military Entrepreneur Challenge, a pitch competition with awards that vary by city. Treat grants as a bonus, not your operating plan. The amounts and deadlines change, so verify current terms on each program's site before you build a budget around them.
When you're comparing debt, our diversity lenders directory lists banks and CDFIs with programs aimed at veteran and diverse business owners.
A realistic first-90-days timeline
- Weeks 1–2: form the LLC, get your EIN, open the business bank account, book a free VBOC session.
- Weeks 2–3: register in SAM.gov, lock in your NAICS codes.
- Weeks 3–4: submit your SBA VetCert application (expect roughly 12 days to a decision).
- Weeks 4–12: start your financing conversation, build a capability statement, and search active set-aside solicitations on SAM.gov in your NAICS codes.
Your next step
The entity and the loan are things most founders can manage. The certification paperwork is where good businesses stall, because a single ownership or control error can bounce an application and cost you months.
CertifyAll captures your business details once and prepares your veteran certification applications for the agencies you qualify for, federal and state. If you'd rather spend your time finding contracts than formatting forms, start at CertifyAll.
