What Does DVBE Stand For? A Quick Guide for Prime Contractors
If you’ve worked in or around California government procurement, you’ve likely seen the acronym DVBE on bid forms, RFPs, and compliance documents—but what exactly does it mean?
In this quick-reference guide, we’ll explain what DVBE stands for, what it means to be DVBE certified, and how it affects state contracting requirements in California.
What Does DVBE Stand For?
DVBE stands for Disabled Veteran Business Enterprise.
It’s a formal business certification issued by the California Department of General Services (DGS) to companies that are:
100% owned by one or more service-disabled veterans
Managed and controlled by those veteran owners
In good standing with the state of California
What Is a DVBE-Certified Business?
A DVBE-certified business is a company that has gone through the State of California’s DVBE certification process and is officially registered on the Cal eProcure platform as an eligible vendor.
These businesses are granted special advantages in public contracting, including:
Access to set-aside opportunities
Bid price preference and evaluation credits
Eligibility for the 3% DVBE participation goal on most state-funded contracts
Capability as a Subcontractor to Enable a Prime Contractor’s Bid on a Solicitation with a DVBE-participation requirement.
Learn how to get certified here: How to Get DVBE Certified in California (2025)
Why Does DVBE Certification Matter in Government Bids?
California public agencies are required to meet a 3% DVBE participation goal on most procurement contracts. This means prime contractors and subcontractors often seek certified DVBEs to help meet this requirement.
As a government buyer or contract administrator, knowing which vendors are certified—and what DVBE status entails—can help ensure compliance, encourage supplier diversity, and streamline your sourcing process.
DVBE vs. SDVOSB: What’s the Difference?
DVBE = State-level certification (California only)
SDVOSB = Federal-level certification (administered by SBA)
Although both are for service-disabled veteran-owned businesses, they are managed by different agencies with different eligibility requirements and benefits. A company may hold both certifications if qualified.
The US Government’s Small Business Administration certifies and operates the Service Disabled Veteran-Owned Small Business (SDVOSB) program. A key attribute is SDVOSBs can act as a prime contractor and subcontract large portions of the scope of work to non-SDVOSB or even large companies. An SDVOSB subcontractor to a large non-SDVOSB prime cannot necessarily enable access to a set-aside opportunity or preferential bid treatment.
The California Department of General Services (DGS) Disabled Veteran Business Enterprise (DVBE) program is designed in the opposite fashion. DVBE companies enable access to set-asides and bid preference programs as a subcontractor on the opportunity, normally for a small percentage of the scope of work (3%).
🤝 Need a Certified DVBE Partner?
California Veteran DVBE Strategies LLC is a certified DVBE that specializes in:
Proposal development
Government sales strategy
Contract compliance consulting
Program Management
Contract Administration
We also maintain a curated list of non-competing DVBE suppliers for agencies and primes seeking to meet the 3% requirement efficiently and compliantly.
📞 Contact us to learn more.
DVBE Fast Facts (for Bidders & Buyers)
Term Meaning:
DVBE - Disabled Veteran Business Enterprise
DVBE Certification - Official CA State recognition for 100% veteran-owned businesses
Cal eProcure - California’s procurement and vendor registration system
3% DVBE Goal- Required DVBE participation in most state contracts
DGS - California Department of General Services
Summary
DVBE stands for Disabled Veteran Business Enterprise, a California certification that allows veteran-owned companies to access set-aside contracts and bid incentives.
If you’re a government buyer, procurement officer, or prime contractor in California, working with certified DVBEs isn’t just encouraged—it’s often required.
