SBA Proposes Sweeping Expansion of the Mentor-Protégé Program

On February 5, 2015, the SBA issued a proposed rule implementing portions of FY 2013 NDAA regarding the establishment of a universal mentor-protégé program available to all small businesses (instead of just certain SBA-approved 8(a) contractors under the current program) that would allow, among other benefits, approved mentor-protégés to compete as a joint venture for set-aside awards for which the protégé would otherwise be eligible. The SBA is seeking comments (due by April 6, 2015) on a number of aspects of this proposed rule, including whether the SBA should require all joint ventures in this program to be formed as separate legal entities and whether there should be a maximum of two mentors per protégé.