The "minority" is just skimming the "take" not building a business or anything else useful. In same cases? Maybe. In many cases (including my own MBE/DBE-certi

The "minority" is just skimming the "take" not building a business or anything else useful. In same cases? Maybe. In many cases (including my own MBE/DBE-certified business) we are using those projects to build a business (2 bootstrapped partners to 8 employees and national recognition in 4 years) and to use some of that revenue & expertise to help folks that normally couldn't afford our services. And there are any number of businesses I can point to that are achieving similar success (of course there are also failures, but that's true of businesses in general). With regard to Frondo's claim "where you get the minority contractor who acts as a pass-through to give the real work to the majority-owned firm" - at this point I'm pretty sure that's the exception rather than the rule. The various state MBE/DBE certifying agencies are extremely diligent at policing this behavior and will slap down firms found to engage in it. Primes and subs are audited, contacts are reviewed, MBE/DBE subs are interviewed (included onsite visits) etc. MBE/DBEs must submit annual sworn financial statements, along with examples of contracts, invoices and evidence that firm can conduct the work it's contacted for (resumes of principals, references, list of equipment, and so on).