Veteran Entrepreneurship Guide
Veterans make exceptional entrepreneurs. You already have leadership, discipline, adaptability, and the ability to execute under pressure. Here is everything you need to turn that drive into a business.
Why Veterans Make Great Entrepreneurs
Veterans start businesses at significantly higher rates than the general population, and for good reason. The skills that made you effective in the military translate directly into entrepreneurship.
Leadership Under Pressure
You have led teams in high-stakes environments where failure was not an option. Running a business is stressful, but you have already operated in far more demanding conditions.
Discipline & Work Ethic
Entrepreneurship requires self-motivation and the willingness to grind when no one is watching. The military instilled that discipline in you from day one.
Problem-Solving & Adaptability
"No plan survives first contact." You know how to adapt, improvise, and find solutions when the original plan falls apart — an essential entrepreneurial skill.
Risk Management
Military operations require calculated risk assessment. You understand how to evaluate threats and opportunities, which is exactly what business strategy demands.
By the numbers: According to the SBA, there are approximately 2.5 million veteran-owned businesses in the U.S., generating over $1 trillion in annual revenue and employing nearly 6 million people.
SDVOSB & VOSB Certification
If you have a service-connected disability, Service-Disabled Veteran-Owned Small Business (SDVOSB) certification gives you access to federal sole-source and set-aside contracts worth up to $4 million for goods and services. Veteran-Owned Small Business (VOSB) certification provides additional benefits even without a disability rating. As of January 2023, the SBA manages these certifications through the Veteran Small Business Certification program (previously managed by the VA).
Step-by-Step Certification Process
- 1Confirm eligibility. You must own at least 51% of the business, control day-to-day management, and the business must be small by SBA size standards. For SDVOSB, you must have a VA-recognized service-connected disability.
- 2Register your business. You need a DUNS number (now UEI), SAM.gov registration, and SBA profile before applying for certification.
- 3Apply through the SBA Veteran Small Business Certification portal. Submit documents including DD-214, VA disability letter (for SDVOSB), business formation documents, tax returns, and proof of operational control.
- 4Wait for review. The SBA typically reviews applications within 90 days. They may request additional documentation or schedule a site visit.
- 5Maintain certification. Recertification is required every three years. Keep all business records current and respond promptly to any SBA inquiries.
SBA Veteran Programs
Boots to Business
A free entrepreneurship training program offered through the DoD Transition Assistance Program (TAP). Includes a two-day introduction to business ownership and an optional eight-week online course covering business plan development, market research, revenue models, and funding strategies.
Boots to Business PortalVeterans Business Outreach Centers (VBOCs)
The SBA funds 28 VBOCs across the country that provide free business counseling, training, and mentoring to veteran entrepreneurs. Services include business plan development, financial readiness assessments, and help navigating government contracting.
Find Your Local VBOCSCORE Mentors
Free mentoring from experienced business professionals. SCORE has a dedicated veteran mentoring initiative that pairs veteran entrepreneurs with mentors who understand the military-to-business transition. Available in person and online.
SCORE Veterans PageSmall Business Development Centers (SBDCs)
Nearly 1,000 SBDCs nationwide offer free business consulting and low-cost training. While not veteran-specific, many have dedicated veteran outreach specialists and programs tailored to military entrepreneurs.
Find an SBDC Near YouVeteran Business Loans & Grants
Funding is one of the biggest challenges for any new business. Veterans have access to several specialized financing options beyond traditional bank loans.
SBA 7(a) Loan Program
The SBA's most common loan program. Veterans benefit from fee reductions — the SBA waives guaranty fees for veteran-owned businesses on loans up to $1 million through the Veterans Advantage program. Loans up to $5 million for working capital, equipment, or real estate.
SBA Microloans
Loans up to $50,000 through SBA-approved intermediary lenders. Ideal for startups and early-stage businesses that need smaller amounts of capital. Average microloan is about $13,000 with interest rates between 8-13%.
StreetShares Foundation
Offers the Veteran Small Business Award — grants of $15,000, $6,000, and $4,000 awarded monthly through a competitive application. Also provides business loans with veteran-friendly terms and quick approvals.
Hivers and Strivers
An angel investment fund specifically for businesses led by military academy graduates (West Point, Annapolis, Air Force Academy, Coast Guard Academy). Provides seed and early-stage funding along with mentorship from fellow veteran investors.
V-WISE (Veteran Women Igniting the Spirit of Entrepreneurship)
A free training program specifically for women veterans and female military spouses interested in starting or growing a business. Includes a 15-day online course and a 3-day in-person conference.
Franchise Opportunities: VetFran Program
The VetFran program connects veterans with over 650 franchise companies that offer financial incentives — typically discounts of 10-20% on franchise fees, reduced royalties, or special financing for veteran franchisees. Franchising can be an excellent path because you get a proven business model with built-in training and support systems.
Popular Veteran-Friendly Franchises
Government Contracting
The federal government has a goal of awarding at least 3% of all federal contracting dollars to service-disabled veteran-owned small businesses. This represents billions of dollars in annual opportunities.
Key Programs
- ★SDVOSB Set-Aside Contracts: Federal agencies can reserve contracts specifically for SDVOSBs. Sole-source contracts up to $4 million (goods/services) or $7 million (manufacturing).
- ★8(a) Business Development Program: Nine-year program for socially and economically disadvantaged small businesses. Provides mentoring, government contract access, and business development support.
- ★Mentor-Protege Programs: Partner with established government contractors to gain experience and win larger contracts. Available through the SBA and individual agencies like the VA and DoD.
- ★GSA Schedule: Getting on a GSA Schedule (now called Multiple Award Schedule) makes it easier for government agencies to buy your products or services. The process takes 3-6 months but opens doors to billions in procurement.
Getting started: Register on SAM.gov (free), get your NAICS codes, and start monitoring contract opportunities. Many new government contractors start by subcontracting with established firms to gain past performance.
Veteran Entrepreneur Success Stories
From Infantry to IT Services
After 12 years as an Army infantryman, Marcus used the Boots to Business program during his transition. He earned his CompTIA certifications using the GI Bill, then started a cybersecurity consulting firm. Within three years, he secured his SDVOSB certification and landed his first DoD contract worth $2.1 million. Today he employs 15 people, including 8 fellow veterans.
Branch: Army • MOS: 11B • Industry: Cybersecurity
Navy Corpsman to Franchise Owner
After serving as a Navy Corpsman with two deployments, Diana used VetFran to open her first fitness franchise with a 50% discount on the franchise fee. She financed the remaining costs through an SBA 7(a) loan with reduced fees under the Veterans Advantage program. Three years later, she opened her second location and is planning a third.
Branch: Navy • Rate: HM • Industry: Fitness Franchise
Air Force Logistics to E-Commerce
Carlos spent 8 years managing supply chains in the Air Force. He applied his logistics expertise to build an e-commerce brand selling veteran-designed outdoor gear. Starting with $5,000 and a SCORE mentor, he grew the business to $1.2 million in annual revenue within two years. His military planning skills helped him manage inventory and shipping logistics from day one.
Branch: Air Force • AFSC: 2S0X1 • Industry: E-Commerce
Marine Intelligence to Construction
After 20 years in Marine intelligence, Tameka used her analytical skills to start a commercial construction firm. She entered the SBA 8(a) program, paired with a mentor through the Mentor-Protege program, and steadily built past performance on federal projects. Her firm now handles contracts across three states and employs over 40 workers.
Branch: Marines • MOS: 0231 • Industry: Construction
Common Pitfalls to Avoid
- ✕Starting without a business plan. The military taught you to plan operations. Apply the same rigor to your business. A basic business plan does not need to be 50 pages — but you need to know your market, costs, and revenue model.
- ✕Underestimating startup costs. Most businesses need 6-12 months of operating expenses as a runway. Do not drain your savings or retirement account. Use the funding resources above.
- ✕Trying to do everything yourself. In the military, you had a team. In business, you need one too. Hire for your weaknesses — if you are great at operations but terrible at marketing, find a marketing partner or hire help early.
- ✕Ignoring your VA benefits while building a business. Your VA disability compensation, healthcare, and GI Bill education benefits can provide a financial safety net while you grow your business. Make sure you are receiving everything you are entitled to.
- ✕Not using free resources. Between VBOCs, SCORE, SBDCs, and Boots to Business, there are millions of dollars in free training and mentoring available specifically for veteran entrepreneurs. Use them.
Not ready to start a business?
Explore career resources, translate your military skills, and find your path in the civilian workforce.