{"data":{"id":"us/38-cfr-21.257","jurisdiction":"us","citation":"38 CFR 21.257","heading":"Self-employment.","body":"(a) Approval of self-employment as a vocational goal. A program of vocational rehabilitation benefits and services may include self-employment for an individual if VA determines that such an objective is a suitable vocational goal. VA will make this determination based on—\n(1) The results of the individual's initial evaluation conducted in accordance with the provisions of § 21.50; and\n(2) The provisions of this section.\n(b) Definition. For purposes of this subpart, individuals with the most severe service-connected disability(ies) who require self-employment means individuals who have been determined by VA to have limitations affecting employability arising from the effects of each individual's service-connected disability(ies), which are so severe as to necessitate selection of self-employment as the only reasonably feasible vocational goal for the individuals.\n(c) Scope of self-employment benefits and services. (1) VA may provide the self-employment services listed in paragraph (d) of this section to program participants who are pursuing the vocational goal of self-employment.\n(2) VA may provide the more extensive services listed in paragraph (e) of this section to individuals with the most severe service-connected disability(ies) who require self-employment.\n(d) Assistance for other individuals in self-employment. Subject to the provisions of § 21.258, VA may provide the following assistance to any individual for whom self-employment is determined to be a suitable vocational goal—\n(1) Vocational training;\n(2) Incidental training in the management of a business;\n(3) License or other fees required for self-employment;\n(4) Necessary tools and supplies for the occupation; and\n(5) Services described in § 21.252.\n(e) Special self-employment services for individuals with the most severe service-connected disability(ies) who require self-employment. Individuals described in paragraph (b) of this section who are in a self-employment program may receive—\n(1) The services described in paragraph (d) of this section; and\n(2) The assistance described in § 21.214.\n(f) Feasibility analysis of a proposed self-employment business plan. VA will conduct a comprehensive review and analysis of the feasibility of a proposed business plan, as submitted by the individual or developed with VA's assistance, prior to authorizing a rehabilitation plan leading to self-employment (a “self-employment plan”). The feasibility analysis must include—\n(1) An analysis of the economic viability of the proposed business;\n(2) A cost analysis specifying the amount and types of assistance that VA will provide;\n(3) A market analysis for the individual's proposed services or products;\n(4) Availability of financing from non-VA sources, including the individual's personal resources, local banks, and other sources;\n(5) Evidence of coordination with the Small Business Administration to secure special consideration under section 8 of the Small Business Act, as amended;\n(6) The location of the site for the proposed business and the cost of the site, if any; and\n(7) A training plan to operate a successful business.","path":["Title 38—Pensions, Bonuses, and Veterans' Relief","CHAPTER I—DEPARTMENT OF VETERANS AFFAIRS","PART 21—VETERAN READINESS AND EMPLOYMENT AND EDUCATION","Subpart A—Veteran Readiness and Employment"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-38.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:25:50Z","sha256":"4ca73548225182541bfb54bbbfa86d7823b5a99c9eb7aea5ec16d68bd4265bcf","source_id":"us-cfr","stale":true,"prev":"us/38-cfr-21.256","next":"us/38-cfr-21.258"},"notice":"GroundRules: Original legal text. Not legal advice."}