The next batch of redesignated HUBZone areas is set to lose HUBZone status as of October 1. HUBZone-certified firms located in an expiring HUBZone will be decertified from the HUBZone program unless they have moved their principal office to an eligible HUBZone by October 1.
HUBZone boundaries are fluid, with changes driven by census data and other statistics that are regularly updated. When new information causes a HUBZone location to lose HUBZone status, that area will no longer qualify for the HUBZone program. To soften the blow for HUBZone firms operating in a redesignated area, SBA permits the location to remain HUBZone-eligible for three additional years.
There has been some talk of extending this so-called “grandfathering” period by a few additional years, but right now it stands at three years. Therefore, the locations that are set to expire from the HUBZone program on October 1 actually lost HUBZone status three years ago—it is the three-year grandfather period that runs out as of October 1.
Keep reading this article at: http://www.jdsupra.com/legalnews/hubzone-redesignations-looming-on-92063/
Is your business located in a HUBZone? Check here: http://map.sba.gov/hubzone/maps/