In a landmark decision, the U.S. Department of Commerce has officially recognized Jewish-owned businesses as minority business enterprises (MBEs). This designation, formalized through a memorandum of understanding between the Orthodox Jewish Chamber of Commerce and the Minority Business Development Agency (MBDA), enables Jewish entrepreneurs to access a plethora of federal programs, contracts, loans, and grants previously unavailable to them.
Duvi Honig, founder and CEO of the Orthodox Jewish Chamber of Commerce, emphasized the significance of this development, stating, “We are going to be able to benefit from billions of dollars of these programs, contracts, some loans, grants, the hundreds of different programs that every single Jewish business is going to benefit from.” He further highlighted the nationwide impact, noting that this change affects “every single business in the Jewish world, in all 50 states.”
The signing ceremony, held in Washington, DC, was attended by Don Graves, the outgoing Deputy Commerce Secretary, along with Jewish business leaders and politicians. Graves underscored the importance of this initiative, stating that the work of the Orthodox Jewish Chamber of Commerce is “so important,” because “if you have a hope, if you have a dream, if you have an idea and you’re willing to work hard, we should give you the opportunity to turn that into something special.”
This recognition comes at a time when the Jewish community has faced increased discrimination, particularly in the aftermath of events since October 7, 2023. Honig pointed out that, despite being a significant minority, Jewish businesses were previously ineligible for minority grants and programs. He remarked, “We have a yellow star until today that we cannot be eligible to get minority dollars, minority grants or taxpayers, and it just did not make sense.”
As part of the agreement, the federal government is developing a new application process for MBE certification. The updated application will no longer require applicants to specify their minority background; instead, verification will occur during the certification process. While the exact methods for verifying Jewish heritage are still being finalized, Honig encouraged patience as these details are worked out.
This decision also has implications at the state level. Robert Singer, a New Jersey state senator, noted that minority businesses often have an advantage when bidding for state contracts. He stated, “This will also tie into federal dollars and therefore small business, Jewish-based business, will be able to tie into both federal and state dollars to help them grow, to help them bring more people on and be part of that entrepreneurship you wish to have, being an American.”
The recognition of Jewish-owned businesses as MBEs marks a significant step toward equitable access to resources and opportunities. It acknowledges the unique challenges faced by the Jewish community and provides a framework for fostering growth and resilience among Jewish entrepreneurs across the United States.
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