SBA's Defense Economic Transition
Assistance program is designed to help eligible small business contractors
to transition from defense to civilian markets. A small business
is eligible if it has been detrimentally impacted by the closure
(or substantial reduction) of a Department of Defense (DoD) installation,
or the termination (or substantial reduction) of a Department of
Defense Program on which the small business was a prime contractor,
subcontractor, or supplier at any tier. In addition a business can
be deemed eligible if it is located in community that has been detrimentally
impacted by these same actions.
The DELTA program provides financial and technical assistance to
defense-dependent small businesses which have been adversely affected
by defense reductions. The goal of the program is to assist these
businesses to diversify into the commercial market while remaining
part of the defense industrial base. Complete information on eligibility
and other rules is available from each SBA district office.
This program can be used in conjunction with both SBA’s 7(a)
and 504 Loan Programs and generally follows the provisions of each
program. In order to be eligible for this program, small businesses
must derive at least 25 percent of its revenues from Department
of Defense or defense-related Department of Energy contracts or
subcontracts in support of defense prime contracts in any one of
five prior operating years.
Small businesses interested in utilizing this program must also
meet at least one of the program's policy objectives:
• Job retention --- retains defense employees
• Job creation --- creates job opportunities and new economic
activities in impacted communities
• Plant retooling and expansion ---modernizes or expands the
plant and enables it to remain available to the Department of Defense.
More information about SBA’s
7(a) Loan Program
More information about SBA’s
504 Loan Program |