What is the employees who must live in a hubzone for HUBZone?

at least 35%, per SBA — HUBZone program. A continuing requirement, not a one-time test at certification. This figure was read from that source on 2026-08-04; thresholds are revised, so check the citation before relying on it in a bid.

Small-business programs

What is HUBZone certification?

Historically Underutilized Business Zone program

HUBZone is an SBA program for small businesses whose principal office is located in a Historically Underutilized Business Zone and at least 35% of whose employees live in a HUBZone, and certification makes a firm eligible for HUBZone set-aside and sole-source contracts.

Also written as: HUBZone certification, hub zone, HUBZone eligibility.

SBA states the requirements as: a small business at least 51% owned and controlled by U.S. citizens, a Community Development Corporation, an agricultural cooperative, an Alaska Native corporation, a Native Hawaiian organization or an Indian tribe; a principal office located in a HUBZone; and at least 35% of employees living in a HUBZone. The government's stated goal is 3% of all federal prime contracting dollars to HUBZone firms.

Unlike the other programs, HUBZone is geographic and therefore mutable. Designated areas are redrawn as the underlying data changes, so an address that qualifies today may not qualify at the next redesignation, and one that does not qualify now may later. SBA's HUBZone map is the authority for any specific address — nothing else is.

The 35% employee-residency test is the part firms most often fail on and the part they have most control over. It is a continuing obligation, not a one-time check at certification.

What this means when you bid

Verify your exact address on SBA's HUBZone map, not the neighbourhood or the ZIP code. Qualification is parcel-level and it changes.

HUBZone: the published figures

Each figure below was read from the regulation cited beside it on 2026-08-04. Thresholds are adjusted for inflation and changed by statute — follow the citation and confirm the figure in effect on your solicitation's date before you rely on it.

Employees who must live in a HUBZone: at least 35%
Ownership and control: at least 51% by U.S. citizens or a listed entity type
Governmentwide HUBZone prime contracting goal: 3% of federal prime contracting dollars

HUBZone compared with the terms it gets confused with

HUBZone vs 8(a)

HUBZone qualifies on geography and employee residency; 8(a) qualifies on the owner's social and economic disadvantage.

What 8(a)means →

Where this definition comes from

Federal contracting is one of the few fields where the authoritative answer is free, public and one click away. These are the sources this page is built from — go and read them.

SBA — HUBZone program→
13 CFR 126→
The HUBZone program.
FAR subpart 19.13→
HUBZone program.

This page explains a term in plain English and cites the authority it comes from. It is not legal advice, and the regulation governs where this page and the regulation differ.

Free tools for government contractors

Knowing the term is one thing. These free tools do something with HUBZone certification. No login, no credit card.

See the contracts this applies to

A free weekly digest of new government solicitations for your trade and your state, each summarized in plain English by Sam — so you find out about the work while there is still time to bid it.

We email you bid alerts — that's it. No spam, no selling your address. Unsubscribe anytime. Privacy Policy.

Free. No credit card. Unsubscribe any time.

HUBZone— common questions

What is HUBZone certification?: HUBZone is an SBA program for small businesses whose principal office is located in a Historically Underutilized Business Zone and at least 35% of whose employees live in a HUBZone, and certification makes a firm eligible for HUBZone set-aside and sole-source contracts.
What is the difference between HUBZone and 8(a)?: HUBZone qualifies on geography and employee residency; 8(a) qualifies on the owner's social and economic disadvantage.
What is the employees who must live in a hubzone for HUBZone?: at least 35%, per SBA — HUBZone program. A continuing requirement, not a one-time test at certification. This figure was read from that source on 2026-08-04; thresholds are revised, so check the citation before relying on it in a bid.
Why does HUBZone certification matter when you are bidding?: Verify your exact address on SBA's HUBZone map, not the neighbourhood or the ZIP code. Qualification is parcel-level and it changes.

Related terms

Set-aside
8(a) — 8(a) Business Development program
SDVOSB — Service-Disabled Veteran-Owned Small Business
WOSB — Women-Owned Small Business federal contract program
Size standard