Small Business Innovation Research (SBIR) / Small Business Technology Transfer (STTR)

OVERVIEW:

The Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs are highly competitive programs that encourage domestic small businesses to engage in Federal Research/Research and Development (R/R&D) with the potential for commercialization.

SBIR is a competitive three-phased process to solicit proposals for Research/Research and Development (R/R&D), production, services, or any combination to meet stated agency needs or missions; and to award funding agreements to qualifying Small Business Concerns (SBCs).

STTR is a parallel program to SBIR with the added requirement that SBCs partner with colleges/universities, Federally Funded Research and Development Centers (FFRDCs) or qualified non-profit research institutions on cooperative R/R&D.

MISSION:

The mission of the SBIR/STTR programs is to support scientific excellence and technological innovation through the investment of Federal research funds in critical American priorities to build a strong national economy.

The program's goals are to:

  • Stimulate technological innovation.
  • Meet Federal research and development needs.
  • Foster and encourage participation in innovation and entrepreneurship by women and socially or economically disadvantaged persons.
  • Increase private-sector commercialization of innovations derived from Federal R&D funding.

In addition, the STTR program aims to:

  • Foster technology transfer through cooperative R&D between small businesses and research institutions

THE THREE PHASES OF SBIR/STTR:

PHASE I: DISCOVERY/ENGAGEMENT Establishes the technical merit, feasibility, and commercial potential of the proposed R&D efforts, with the goal of finding a DAF member to partner with for Phase II.

 

PHASE II: PROTOTYPE DEVELOPMENT Develop a prototype/conduct an experiment and expand on the R&D efforts initiated in Phase I to determine if the solution meets the AF partner’s mission needs.

DIRECT TO PHASE II (P2P2) D2P2 topics allow small business concerns, having completed “Phase I-like” feasibility studies with resources other than SBIR/STTR, to apply for a Phase II award. D2P2 proposals submitted under an Open Topic shall include a Customer Memorandum, signed by a Department of the Air Force (DAF) customer and end-user(s).

PHASE III: COMMERCIALIZATION Small businesses pursue commercialization resulting from the Phase I/II R&D activities. The SBIR/STTR programs do not fund Phase III contracts. These contracts may involve follow-on funding, unit funds, other non-SBIR/STTR funded R&D or production contracts for products, processes, or services.

FUNDING OPPORTUNITIES:

The DAF SBIR/STTR announcements are part of the overall DoD SBIR/STTR program. The actual announcements are released by the DoD on their web site at https://www.defensesbirsttr.mil/SBIR-STTR/Opportunities/#announcements/. Each DoD agency component (i.e. Air Force, Army, Navy, etc.) will have their own unique set of technical topics listed.

SEED FUNDING OPPORTUNITIES:

The Department of the Air Force (DAF) maintains three different staged funding opportunities for small businesses.

OPEN TOPIC: The program encourages commercial industry to submit dual-use technology solutions without necessarily having a known DAF end-user. The solicitations are technology-agnostic as a means to capture the best commercial capabilities and emerging technologies. Open Topics utilizes an out-of-cycle solicitation schedule offering two Phase I (with follow-on Phase II) and two Direct to Phase II (D2P2) opportunities a year.

SPECIFIC TOPIC: The program seeks innovative solutions to a particular problem set defined by a DAF end-user or customer. The solicitation topic outlines the specific defense use case (not dual use) and clearly defines the DAF requirements to achieve a solution. Specific Topics typically follow the OSD BAA Solicitation Schedule.

STRATFI/TACFI: Unique to the DAF, the STRATFI (Strategic Funding Increase) and TACFI (Tactical Funding Increase) programs provide additional funds to scale Phase II efforts to achieve better technology transfer. By leveraging outside investment and multiple transition-vested partners, the program derisks development of the emerging technology and helps the small business to overcome the “valley of death”.

HOW THE PROGRAM WORKS:
 

 

Contact Information:

Innovation Research & Technology Transfer Programs

The Air Force Office of Small Business Programs utilizes the Department of Defense (DoD) Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs to harness the talents of our nation's small technology companies. These two similar programs stimulate technological innovation and accelerate development and production of promising technologies that can help the Air Force accomplish its mission. SBIR and STTR provide over a billion dollars in seed capital each year for early-stage research and development (R&D) at small technology companies. They fund projects that serve a DoD need and also have commercial applications.

  • SBIR focuses on small technology companies and individual entrepreneurs
  • STTR funds cooperative R&D projects between small businesses and research institutions
  • Both programs reach out to socially and economically disadvantaged firms
  • Funding is awarded competitively, but the process is streamlined and user-friendly.

Eligibility Criteria

SBIR

  • For-profit, U.S. small business
  • Maximum 500 employees
  • Work must be performed in the United States
  • Proposing firm must perform at least two-thirds of the effort during Phase I, and at least half of the effort in Phase II
  • Principal investigator must be employed by the proposing firm more than half of the time

STTR

  • For-profit, U.S. small business
  • Maximum 500 employees; no size limit on the research institution
  • Research institution must be a U.S. college or university, federally-funded R&D center or non-profit research institution
  • Work must be performed in the United States
  • Small business must perform at least 40% of the work and the research institution at least 30%, in both Phase I and Phase II
  • Small business must manage and control the funding agreement
  • Principal investigator may be employed at either the small business or the research institution

References