The HUBZone Program stimulates economic development and creates jobs in urban and rural communities by providing Federal contracting preferences to small businesses. These preferences go to small businesses that obtain HUBZone (Historically Underutilized Business Zone) certification in part by employing staff who live in a HUBZone.
The company must also maintain a "principal office" in one of these specially designated areas. [A principal office can be different from a company headquarters]. The program resulted from provisions contained in the Small Business Reauthorization Act of 1997