Eligibility
SBIR eligibility
The SBIR program allows small businesses to compete for federal R&D funds. Small businesses must meet the following eligibility criteria to be able to participate in the SBIR program:
- At least 51% American-owned, located in the US, and independently operated
- For profit
- Company size limited to a maximum of 500 employees (for information regarding determining number of employees, see 13 code of Federal Regualtion 121)
- Principal researcher must be primarily employed by the small business at time of award and not employed full time by another institution or company
- Two-thirds of Phase I, and one-half of Phase II work must be done by the small business (the rest can be performed by consultants or sub-contractors)
- All work must be done in the US
Strong SBIR candidates
Strong SBIR candidates are small businesses which have an innovative technology, or they apply an existing technology in a novel way. They must be able to perform the required percentage of effort in their facilities. Their technology should address a topic solicitation from one of the ten SBIR sponsoring government agencies, and it should have strong commercial potential.
The principal investigator (PI) and key individuals participating in a SBIR proposal must have credentials that support their ability to perform the work outlined in the proposal. One or more of the following would strengthen the proposal:
- Having experience as a PI on research proposals in the chosen topic field
- Project management experience in the chosen topic field
- Research and development experience in the chosen topic field
- A track record in commercializing technological innovations in the chosen topic field
- Holding an advanced degree in the chosen topic field
- Experience in the topic field of effort
- Publications in the topic field of effort
If the PI lacks strong qualifications, the business can hire consultants who have the credentials that strengthen the proposal application.
Advantages of SBIR over STTR
SBIR programs have more total funds available for awards than STTR programs.
Ten agencies offer SBIR programs, while only five agencies offer STTRs.
STTR eligibility
The STTR program is a joint research effort between a small business and a nonprofit research institution or federally funded R&D center (FFRDC). Small businesses must meet the following eligibility criteria to be able 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
- The small business must perform at least 40% of the STTR project
The nonprofit research institution must also meet the following eligibility criteria:
- Located in the US
- Meet one of three definitions: a nonprofit college or university, a domestic nonprofit research organization, or a federally funded R&D center (FFRDC)
- The research institution must perform at least 30% of the project
- A written intellectual property agreement must be in place between the research institution and the small business at the time of application
- All work must be done in the US
Advantages of STTR over SBIR
To qualify for an STTR, the business doesn’t need to employ the PI. With an STTR, a nonprofit research institute can employ the principal investigator (PI). STTRs received from the National Science Foundation (NSF) are an exception because they require two PIs, one at the small business and one at the nonprofit research institution.
The small business needs to perform at least 40% of the proposal work, while the nonprofit research institution may do up to 60%.
Home || Local Resources For Entrepreneurs || Federal Grants/Contracts Policies and Procedures || Agencies || Eligibility || Potential Program Benefits || How to Participate || One-to-One Assistance || FDA || Proposal Writing || Grant topics || State Partners || Award Winners || Useful websites || Accessibility ||
Page Published: 03/15/2002 · Page Last Modified: 10/18/2004
©2007 The Board of Regents, University of Wisconsin, Madison, Wisconsin