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How to determine your Adjusted Net Worth

The applicant(s) for 8(a) Certification must have an Adjusted Net Worth of less than $250,000 and total assets of less than $4,000,000 to be considered economically disadvantaged by the SBA.

What is the definition of Adjusted Net Worth?

Adjusted Net Worth = Personal Assets – Liabilities – [Equity in primary residence + ownership interest in business + IRA/Other Retirement Accounts subject to a penalty for early withdrawal].

Additionally, Total Assets = Personal Assets – IRA/Other Retirement Accounts subject to a penalty for early withdrawal.

How do I determine if my Adjusted Net Worth meets the requirements for 8(a) Certification Purposes?

Cloveer has created an online Adjusted Net Worth calculator (See below) that will help determine if you meet the above requirements. Our calculator allows you to enter the current value of all assets and liabilities for the 8(a) Applicant.

Tip: Even though the SBA does not require you to initially submit statements backing up the values you reported to the SBA, we firmly suggest you keep a PDF copy of each supporting statement used to obtain the value for every asset and liability reported. Note. All values reported to the SBA must be no older than 30 days old.

Adjusted Net Worth Calculator

The Applicant(s) for 8(a) Certification should complete the calculator below using current values for all assets and liabilities from actual account statements that are no older than 30 days.

If you find that need additional time to complete the calculator you can click the “Save and Continue Later” link at the bottom to save and return at any time up to 30 days to complete your adjusted net worth.

FYI. Your Adjusted Net Worth and Total Assets will be automatically calculated at the bottom of this form.

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