Moore, Sewell, Ellzey Introduce Bill to Support Legacy of Service-Disabled Veteran-Owned Small Businesses
Bill would expand definition of SDVOSBs to include children of deceased Veteran owners
U.S. Representatives Barry Moore (R-AL1), Terri Sewell (D-AL7), and Jake Ellzey (R-TX6) have introduced legislation aimed at ensuring these businesses can remain family-run after the death of their veteran founders. This bipartisan effort will strengthen the future of service-disabled veteran-owned small businesses (SDVOSBs).
The proposed amendment to the Small Business Act would expand the definition of SDVOSBs to include the surviving children of deceased veteran owners. This change would allow children to operate the business for a transitional period of up to three years, preserving the business’s designation during that time.
“As a veteran and former small business owner, I know that businesses are the lifeblood of families and communities,” said Rep. Moore. “This vital legislation allows family businesses to gracefully transition without losing their service-disabled veteran-owned small business designation and encourages them to hire another service-disabled veteran in the future.”
Rep. Sewell echoed Moore’s sentiments, underscoring the bill’s importance for veterans and their families. “We must do all that we can to support our veterans, especially those who experience disabilities related to their service,” she said. “This legislation makes an important update to federal law to support small businesses owned by service-disabled veterans and their families.”
Rep. Ellzey noted that adult children often play a key role in the operation of veteran-owned businesses. “By expanding the definition to include surviving children, we are ensuring that the legacy of our veterans can continue through their families,” said Ellzey. “This legislation honors the sacrifices of our veterans while supporting their families.”
The initiative has received praise from veteran-owned business leaders. Dr. Alfred Seawright, CEO of Medical Place in Montgomery, Alabama—a family-run business serving the Department of Veterans Affairs for over 40 years—applauded the lawmakers’ efforts.
“We are delighted that Representatives Moore, Sewell, and Ellzey are advocating on behalf of the veteran-owned small business community,” said Seawright. “By including surviving children alongside surviving spouses in existing law, small businesses like ours can stabilize and continue operations—for the benefit of our employees and the veterans we serve.”
Supporters of the bill argue that this change is a necessary modernization of existing law. Under current regulations, only surviving spouses are eligible to carry on a business’s SDVOSB status after a veteran owner dies. Advocates say including adult children will help prevent unnecessary business closures and job losses.
The bill is expected to gain significant bipartisan backing in Congress, as it addresses both veteran affairs and small business sustainability—two areas of broad legislative interest.
