BiC-1 JV (2020-2025 Funding) (2025-2035 Operations) Small Business 

The Office of Advocacy generally defines a small business as an independent business having fewer than 500 employees. For industry-level small business size standards used in government programs and contracting, see the Table of Size Standards, https://www.sba.gov/document/support-table-size-standards. 

BiC-2 JV (2026-2036 Operations) 8(a) Set Aside  

The 8(a) program can be a valuable tool for experienced socially and economically disadvantaged small business owners, who have already been in business for at least two years or more, and are interested in expanding their footprint in the federal marketplace. The 8(a) program offers unique and valuable business assistance. The 8(a) certification does not guarantee contract awards but it is a dynamic tool to pursue and capture new opportunity from the government. 

Certified firms in the 8(a) program can: 

Efficiently compete and receive set-aside and sole-source contracts  

Receive one-on-one business development assistance for their nine-year term from dedicated Business Opportunity Specialists focused on helping firms grow and accomplish their business objectives 

Pursue opportunity for mentorship from experienced and technically capable firms through the SBA Mentor-Protégé program 

Connect with procurement and compliance experts who understand regulations in the context of business growth, finance, and government contracting 

Pursue joint ventures with established businesses to increase capacity 

Qualify to receive federal surplus property on a priority basis 

Receive free training from SBA’s Empower to Grow program 

The 8(a) certification qualifies your business as eligible to compete for the program’s sole-source and competitive set-aside contracts. The government authorizes sole-source contracts to 8(a) participants for up to $7 million for acquisitions assigned manufacturing North American Industry Classification System (NAICS) codes and $4.5 million for all other acquisitions. Entity-owned 8(a) program participants are eligible for sole-source contracts above these thresholds, but the Department of Defense requires approval of a formal justification if the 8(a) sole-source contract exceeds $100 million; all other federal agencies require approval for sole-source 8(a) contract actions that exceed $25 million. 

8(a) program participants are eligible to compete for contract awards under other socio-economic programs or small business set-asides they qualify for. 

BiC-3 JV (2027-2037 Operations) SDVOSB Serviced Disable Veteran Owned Small Business 

Department of the Navy SDVOSB Program: The Veterans Act of 2003 created a procurement program to enhance business opportunities for small business concerns owned and controlled by service-disabled veterans to provide Federal contracting assistance. BiC-4 JV (2027-2037 Operations) 

Getting certified by SBA as service-disabled veteran-owned (SDVOSB) makes your business eligible to compete for sole-source and set-aside contracts. At least 5% of all federal contracting dollars each year are set aside specifically for certified SDVOSBs. 

What is a joint venture? 

A joint venture is a strategic arrangement between two or more companies where they pool resources and expertise to achieve a common goal. Each company brings a specific set of resources to the table, including capital, technology, personnel, or intellectual property, in exchange for a share of the revenues, expenses, and ownership of the joint venture. 

Each participating company holds a stake in any profits, losses or costs associated with the joint venture to the direct ownership of the Joint Venture LLC. However, in most cases, the venture itself is its own entity, separate from each of its parent company’s broader business interests. 

Key aspects of project-based joint ventures include: 

• Access to new markets: Joining forces with STAHL the managing partner in a determined target market can provide quick access to new customers and distribution channels. 

• Shared risks and costs: Joint ventures allow the partners to share the financial burden and risks associated with the new venture. 

• Combining strengths: Partnering companies can leverage each other’s expertise, technology, or resources to create a more competitive offering in the market. 

• Learning from partners: Joint ventures provide an opportunity for companies to learn from each other, acquiring new skills, knowledge, and best practices. 

• Increased bargaining power: By joining forces, companies can often negotiate better terms with suppliers, customers, or regulatory authorities. 

• Joint ventures vs partnerships: what’s the difference? 

BiC-1 is a joint venture with limited, but defined partner roles and capabilities that involve working together towards a common goal. You might say joint ventures are a “type” partnership, which is why they share several similarities (e.g. pooling resources, working toward a common goal, etc.).  

To help you understand some of the key differences, we compiled them below: 

Definition: 

Joint Venture: A structured collaboration that establishes a new entity to pool risks, resources, and distributed workshare through Task Orders to its partners as an unpopulated Joint venture.  

Partnership: A commercial arrangement with reciprocal agreements like a preferred supplier-client relationship. 

Purpose: 

• Joint Venture: Specific task or project. 

• Partnership: Long-term business operation 
  

Duration: 

Our Joint Venture: Min. 2 years with small, shared partner investment, limited to the GWAC contract term and or task order project’s completion 

Partnership: Indefinite, ongoing 

Liability: 

Joint Venture: Limited to the scope of the venture under its operating agreement  

Partnership: Unlimited, partners are jointly liable at 1% Liability 

Risk: 

Joint Venture: Shared among participants 

Partnership: Partners share risks based on their agreement 

Profits: 

Joint Venture: Distributed according to established processes (Black Hat) MCSA master contract and SRA agreements at the task order level through its (Subcontract Registration Agreement)  

Partnership: Divided among partners as per their agreement 

Decision-making: 

Joint Venture: Based on the joint venture agreement – controlled by the majority managing partner who does not perform or receive workshare at the task order level and work distribution.  

Partnership: Collaborative, typically per partner’s contribution 

Investment/Funding: 

Joint Venture: Funded by participants for a specific project or Tier-entities (0,1,2,3) 

Partnership: Partners contribute as needed based on pre-established agreements 

What types of joint venture is BiC-1 LLC? 

Joint venture ventures come in all shapes and sizes, with participants ranging from individuals to small and large businesses to even governments. To give you a better idea of how joint ventures work, we’ve listed the four main types below: 

We Are: 

Horizontal Joint-Venture is BiC-1 Best-in-Class Joint Venture  

BiC-1 is a horizontal joint venture with strategic collaborations between vertical companies that operate within the same industry or market, often as competitors. These partnerships focus on combining resources, technology, or expertise to achieve a shared objective, e.g. expanding into new markets or creating innovative products. This type of venture can provide participating companies with a competitive edge by leveraging their collective strengths and helping them mitigate risk. 

Key aspects of horizontal joint ventures include: 

• Objectives: Horizontal joint ventures primarily seek to expand market share, pool resources, and achieve economies of scale by working together to enhance competitiveness.  

• Competitive Advantage: Provides a competitive edge by combining resources, expertise, and market presence, enabling companies to better compete against industry rivals.  

• Risk Management: By partnering with companies operating within the same industry, horizontal joint ventures can help manage risks associated with market fluctuations, increased competition, or other industry-specific challenges. 

Tiered partners 0, 1, 2, and 3, have the following characteristics serving under our Horizontal Joint-Venture   

Project-Based Subcontractor to the Joint Venture (Tier-0) Outside the Joint Venture 

Is a channel relationship Project-based Partners are formed outside the JV to collaborate on a specific project, usually with a specific goal and timeline. The participants pool their resources, expertise, and capabilities to achieve the project’s goals more effectively than they could individually.  

Once the project is completed or the desired outcome is achieved, the joint venture subcontracting relationship may end, and the partnering companies may go back to operating independently or collaborate on other projects in the future. 

Function-based subcontractor to the joint venture (Tier-1) Outside the Joint Venture 

In a function-based joint venture, companies collaborate to perform a particular business function or activity, like marketing, sales, or distribution. This type of joint venture allows companies to leverage each other’s expertise, resources, and networks in specific business areas, resulting in increased efficiency and market reach. 

Key aspects of function-based joint ventures include: 

Scope: Function-based joint ventures focus on specific business functions. 

Duration: Tend to be ongoing, as they often involve continuous business functions, while other types are typically time-bound, concluding when the specific project is completed. 

Flexibility: Companies can choose to form a separate legal entity or operate under a less formal agreement, depending on their needs and objectives, the Goal is to mature  

Key aspects of vertical joint ventures include: 

• Scope: They tend to focus on the synergies between companies at different stages of the supply chain. 

• Objectives: Primarily seek to enhance efficiency, reduce costs, and streamline operations within the value chain. 

• Enhanced coordination: Enable companies to identify potential bottlenecks, improve information flows, and streamline operations. 

• Quality assurance: Enable companies to maintain better quality control, ensuring that products meet specifications, regulatory standards, and customer expectations. 

• Timely delivery: By working closely with supply chain partners, companies can better manage lead times, optimize inventory levels, and ensure timely deliveries.  

The key aspects of product-based to the joint ventures (Tier 3) Outside the Joint Venture 

A specific goal: These ventures center on a specific project with a defined goal.  

Duration: Generally, time-bound, concluding when the specific project is completed, or the goal is achieved. 

Structure: Tend to involve a new legal entity, a contractual agreement, or an informal collaboration between the partnering companies. 

Final thoughts 

As illustrated in the examples above, joint ventures can be a powerful tool for companies to accelerate growth and achieve strategic goals. With the right partner and effective execution, joint ventures can help you, unlock new opportunities and lead to mutual success. 

Joint ventures help you reduce risk, pool valuable resources, boost brand recognition, and increase your overall chances of long-term success. BiC-1 can help you as the right partner and strategy to bring your company into our Best-in-Class concept for a better quality of life.