Two people talking at an SBIR workshop

Brink Programs for SBIR Readiness

What is SBIR?

The Small Business Innovation Research (SBIR) program, also known as America's Seed Fund, is one of the largest sources of early-stage capital for technology commercialization in the United States.

SBIR is a federal program that allows small businesses to compete for research dollars to test, prototype and commercialize new products. Small businesses are creative and flexible and can bring new solutions to the market quickly.

Background on SBIR

The Small Business Innovation Research (SBIR) program was created by Congress in the early 1980s to encourage innovation within small businesses across various technical fields. Its mission is to fund a diverse portfolio of startups and small businesses, stimulating technological innovation, meeting federal research and development (R&D) needs, and increasing commercialization efforts.

Program Overview

The SBIR program, along with the Small Business Technology Transfer (STTR) program, provides funding to support technology-based startups and assists in transitioning innovative ideas into commercial products. One of the major advantages of this program is its non-dilutive funding, meaning that businesses are not required to give up equity in exchange for the funds. This allows them to retain full ownership and control over their intellectual property.

SBIR vs. STTR

The SBIR program requires two-thirds of the work to be conducted by the small business itself. In contrast, the STTR program allows more funds to be allocated to research institutions, which must be involved in the project. This distinction provides flexibility in how businesses structure their research partnerships.

Grants vs. Contracts

SBIR funding can come in two forms: grants and contracts. Grants typically focus on supporting scientific research and technological innovation, while contracts are more structured, requiring specific deliverables and outcomes as part of the agreement.

Impact and Scale

Annually, around 4,000 companies receive over $4 billion in funding through these programs. The federal government serves as both a partner and a funder, offering financial support and credibility to projects while allowing the companies to maintain ownership of their technologies.

Key Aspects of the SBIR Program

  • Diversity: The program encourages a wide range of companies and solutions from different regions and technical fields.
  • Small Business Requirement: Only small businesses are eligible, ranging from solo entrepreneurs to larger, more complex entities.
  • Technical Innovation: Proposals must offer unique and innovative solutions to technological challenges.
  • Federal R&D Needs: Proposals should align with the specific technological gaps that federal agencies have identified.
  • Commercialization: Projects are evaluated on their ability to transition into the commercial market and create broader economic impact.

Proposal Phases

The SBIR program is structured into three phases:

  • Phase 1: A concept or proof of concept phase lasting 6 to 12 months. Funding ranges from $50,000 to $300,000, and the focus is on demonstrating feasibility.
  • Phase 2: This phase provides larger funding, up to $2 million, to advance development and move closer to commercialization.
  • Phase 3: Focuses entirely on commercialization. Although not directly funded by SBIR/STTR, successful Phase 2 projects may lead to non-competitive sole source awards if they meet specific mission needs.

Funding Opportunities

  • Direct to Phase 2 Awards: Under certain conditions, businesses can bypass Phase 1 and proceed directly to Phase 2.
  • Technology Transfer Opportunities: There are pathways for developing technologies originating from national laboratories or other government sources.

Agency Participation

Several federal agencies are involved in SBIR and STTR programs, including the Department of Defense, Health and Human Services (HHS), Department of Energy (DOE), National Science Foundation (NSF), NASA, and the U.S. Department of Agriculture (USDA). These agencies vary in terms of the level of funding available and their application cycles.

Eligibility

To qualify for SBIR/STTR funding, businesses must meet certain criteria: they must be for-profit, U.S.-owned and controlled, employ fewer than 500 employees, and perform the R&D work in the United States.

Equity and Inclusivity

SBIR and STTR programs are committed to fostering equitable opportunities. Approximately one-third of the awards go to women-owned, veteran-owned, and underserved small businesses, ensuring that the program encourages innovation across a diverse range of technology areas.

Application Strategy

Applicants are advised to align their technology with the missions or markets relevant to the agencies they are applying to. It's important to consider both market-driven and mission-driven agencies when developing an application strategy.

SBIR Writing Group Details

  • 4 Workshops weekly via Zoom
  • Registration includes FREE premium multi-month access to TurboSBIR to compile and submit application.

Topics Covered

  • Identifying funding topics
  • Specific Aims
  • Letters of Intent
  • Work Plan
  • Innovation and Impact
  • Biosketches
  • Research Plan and Budget
  • Commercialization Plan

Get Started Today

  1. Register for the SBIR Writing Group!
  2. Subscribe to our monthly newsletter "On the Brink" for future writing groups and opportunities.
The facilitators at The Brink SBDC introduced me to the concept of SBIR grants, helped me navigate through the complexities of federal grant writing, and were always available to help at a moment's notice. Without them, I never would have received my $150,000 Phase 1 award. I can't imagine writing an SBIR proposal without help from The Brink. Their hard-won experience, germane insights, and how-to workshops take a seemingly impossible task and make it manageable. Don't get me wrong - it's still really hard - but you now have a resource to help organize and translate all that gov-speak into an actionable to-do list.
―Scott Swaaley CEO of MAKESafeTools
The SBIR workshop allowed us to prepare a competitive and well scored application. The schedule and agenda were really well aligned with the application deadline and following it helped us to stay on top of many of the administrative requirements that are easily overlooked but can derail the application fast if not taken care off. The group of like-minded entrepreneurs in the life science field that we were partnered with provided much constructive feedback on our aims and research strategy. In many ways they peer-reviewed our application in a manner not too dissimilar how the study section reviewers at the NIH would do. I would strongly recommend any individual or company that is considering submitting their first SBIR application to take advantage of what this workshop can offer.
―Peter Teriete TumorGen

Thank you to our San Diego SBIR Partners!

  • Cleantech San Diego
  • Connect
  • JLABS
  • LaunchBio
  • PTAC
  • San Diego Entrepreneurs Exchange (SDEE)
  • OmniSync TurboSBIR

Is an SBIR right for you?

Email us at sbdc@sandiego.edu to request a one on one consulting session to see if an SBIR is right for your company.

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Our Partners

Funded in part through a Cooperative Agreement with the U.S. Small Business Administration.

Funded in part through a Grant with the California Office of the Small Business Advocate; all opinions, conclusions, and/or recommendations expressed herein are those of the author(s) and do not necessarily reflect the views of the California Office of the Small Business Advocate.

The Accelerate California: Innovation Hub Program (Accelerate CA) is funded by the State of California and administered by the California Office of the Small Business Advocate (CalOSBA).