# 13 CFR § 126.201: Who does SBA consider to be an owner of a HUBZone small business concern?

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-13-126.201

## Section

- **Citation:** 13 CFR § 126.201
- **Heading:** Who does SBA consider to be an owner of a HUBZone small business concern?
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 13—Business Credit and Assistance > CHAPTER I—SMALL BUSINESS ADMINISTRATION > PART 126—HUBZONE PROGRAM > Subpart B—Requirements To Be a Certified HUBZone Small Business Concern

## Text

For purposes of qualifying for HUBZone certification, SBA considers any person who owns any legal or equitable interest in a concern to be an owner of the concern. If an Employee Stock Ownership Plan owns all or part of the concern, SBA considers each stock trustee and plan member to be an owner. If a trust owns all or part of the concern, SBA considers each trustee and trust beneficiary to be an owner. In addition:
(a) Corporations. SBA considers any person who owns stock, whether voting or non-voting, to be an owner. SBA considers options to purchase stock and the right to convert debentures into voting stock to have been exercised.
Example:U.S. citizens own all of the stock of a corporation. A corporate officer, a non-U.S. citizen, owns no stock in the corporation but owns options to purchase stock in the corporation. SBA will consider the options exercised and the individual to be an owner. Therefore, if that corporate officer has options to purchase 50% or more of the corporate stock, pursuant to § 126.200, the corporation would not be eligible to be a qualified HUBZone SBC because it is not at least 51% owned and controlled by persons who are U.S. citizens.
(b) Partnerships. SBA considers all partners, whether general or limited, to be owners in a partnership.
(c) Sole proprietorships. The proprietor is the owner.
(d) Limited liability companies. SBA considers each member to be an owner of a limited liability company.
[69 FR 29422, May 24, 2004, as amended at 70 FR 51249, Aug. 30, 2005; 71 FR 69183, Nov. 30, 2006; 89 FR 102499, Dec. 17, 2024]

## Nearby sections

- [13 CFR § 126.100 § 126.100 What is the purpose of the HUBZone program?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.100.md)
- [13 CFR § 126.101 § 126.101 Which government departments or agencies are affected directly by the HUBZone program?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.101.md)
- [13 CFR § 126.102 § 126.102 What is the effect of the HUBZone program on the section 8(d) subcontracting program?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.102.md)
- [13 CFR § 126.103 § 126.103 What definitions are important in the HUBZone program?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.103.md)
- [13 CFR § 126.104 § 126.104 How can a Governor petition for the designation of a Governor-designated cover area?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.104.md)
- [13 CFR § 126.105 § 126.105 How often will the HUBZone Map be updated?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.105.md)
- [13 CFR § 126.200 § 126.200 What requirements must a concern meet to be eligible as a certified HUBZone small business concern?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.200.md)
- [13 CFR § 126.201 § 126.201 Who does SBA consider to be an owner of a HUBZone small business concern?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.201.md)
- [13 CFR § 126.202 § 126.202 Who does SBA consider to control a HUBZone small business concern?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.202.md)
- [13 CFR § 126.204 § 126.204 May a HUBZone small business concern have affiliates?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.204.md)
- [13 CFR § 126.205 § 126.205 May participants in other SBA programs be certified as HUBZone small business concerns?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.205.md)
- [13 CFR § 126.206 § 126.206 May nonmanufacturers be certified as HUBZone small business concerns?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.206.md)
- [13 CFR § 126.207 § 126.207 Do all of the offices or facilities of a certified HUBZone small business concern have to be located in a HUBZone?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.207.md)
- [13 CFR § 126.300 § 126.300 How may a concern be certified as a HUBZone small business concern?](https://www.frixlaw.com/law-library/statutes/ecfr-13-126.300.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-13-126.201. Check the current official text before relying on it. Not legal advice.