The SBA Office of Technology have two R&D funding programs:
SBIR - Small Business Innovation Research program
STTR- Small Business Technology Transfer program
Each year, eleven federal departments and agencies are required by SBA to reserve a portion of their R&D funds for award to small high-tech business
Department of Agriculture
Department of Commerce
Department of Defense
Department of Education
Department of Energy
Department of Health and Human Services
Department of Homeland Security
Department of Transportation
Environmental Protection Agency
National Aeronautics and Space Administration
National Science Foundation
In average SBA awards $2,000,000,000 to small high-tech companies.
Let’s explore these 2 programs
SBIR
SBIR Qualifications:
Small businesses must meet certain eligibility criteria to participate in the SBIR program.
· American-owned and independently operated
For-profit
Principal researcher employed by business
Company size limited to 500 employees
10 Key elements for getting an award:
Scientific and technical merits
Responsiveness to the topic of the opportunity and contribution to the Federal Department
The degree of innovation
Soundness of technical concept
Offeror's awareness of the state of the art and understanding of the scope of the problem
Significance and originality of the technical approach effort needed to address/solve the problem,
The anticipated scientific impact within the field
The Offeror’s capabilities, related experience, facilities, techniques or unique combinations of these which are integral factors for achieving the proposal objectives
The qualifications, capabilities and experience of the proposed Principal Investigator (PI), team leader and key personnel who are critical to achieving the proposal objectives
Future market potential.
The SBIR Process: These agencies designate R&D topics and accept proposals with three phase programs:
Phase I - Awards of up to $100,000 for approximately 6 months
Phase I support exploration of the technical merit or feasibility of an idea or technology.
Phase II - awards of up to $750,000, for as many as 2 years
Phase II expand Phase I results. During this time, the R&D work is performed and the
developer evaluates commercialization potential. Only Phase I award winners are
considered for Phase II.
· Phase III is the period during which Phase II innovation moves from the laboratory into the marketplace.
No SBIR funds support this phase. The small business must find funding in the private sector or other non-SBIR federal agency funding.
STTR
STTR - Small Business Technology Transfer Program program expands funding opportunities in the federal innovation research and development arena. Central to the program is expansion of the public/private sector partnership to include the joint venture opportunities for small business and the nation’s premier nonprofit research institutions.
Each year, five federal departments and agencies are required by STTR to reserve a portion of their R&D funds for award to small business/nonprofit research institution partnerships:
Department of Defense
Department of Energy
Department of Health and Human Services
National Aeronautics and Space Administration
National Science Foundation
STTR Qualifications:
Small businesses must meet certain eligibility criteria to participate in the STTR Program:
American-owned and independently operated For-profit
Principal researcher need not be employed by small business
Company size limited to 500 employees (No size limit for nonprofit research institution)
The nonprofit research institution must also meet certain eligibility criteria.
Located in the US
Meet one of three definitions:
1. Nonprofit college or university
2. Domestic nonprofit research organization
3. Federally funded R&D center (FFRDC)
The STTR Process: These agencies designate R&D topics and accept proposals with three phase programs:
Phase I- Awards of up to $100,000 for approximately one year fund the exploration of the scientific, technical, and commercial feasibility of an idea or technology.
Phase II -awards of up to $750,000, for as long as two years, expand Phase I results. During this period, the R&D work is performed and the developer begins to consider commercial potential. Only Phase I award winners are considered for Phase II.
Phase III - is the period during which Phase II innovation moves from the laboratory into the marketplace. No STTR funds support this phase. The small business must find funding in the private sector or other non-STTR federal agency funding. #SBIR #STTR #non_dilutive
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