Small Business Innovative Research: Federal Funding for the Developing Business

written by: Susan Kristoff; article published: year 2007, month 10;


In: Categories » Business » Small business and online » Small Business Innovative Research: Federal Funding for the Developing Business

The federal Small Business Innovative Research program, commonly referred to as the SBIR program, is a valuble mechanism for small businesses to fund innovative development programs. Eleven different federal agencies participate in the SBIR program, providing over $2 billion in awards. These agencies include:

  • 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

Each of these agencies is required to set aside a portion of their budget for SBIR awards. The SBIR proposal and award process is performed by the specific agency, rather than through a central clearinghouse.

The basic requirements for small business eligibility are:

  • The small business must be American-owned and operated
  • The Principal Investigator must be an employee of the small business.
  • The small business must be a for-profit company
  • The small business must not have more than 500 employees.

Since each agency administers their SBIR programs in different ways, it is important to refer to the solicitation for each agency for all specific requirements. The programs for each agency vary by maximum budget, maximum time frame for completion, proposal requirements and submission mechanisms.

SBIR programs can have up to three phases of work:

  • Phase I programs generally have a budget up to $100,000 and a time frame of 6 to 9 months. The goal of Phase I programs is initial R&D, and does not focus on production and/or commercialization.
  • Phase II programs may be awarded to businesses who successfully complete a Phase I program. The Phase II program is more in-depth, with a budget generally between $500,000 and $750,000 over a period up to 2 years. The Phase II program expands on the proof-of-concept work performed in Phase I, and usually results in a fully functional prototype that is ready to be transitioned to commercialization. A portion of the Phase II program is dedicated to developing a commercialization channel for the potential product.
  • Phase III programs are not funded by the government, but rather through industry partnerships to move the product to commercialization.

References:

Description of the SBIR Program – Small Business Administration web site - http://www.sba.gov/aboutsba/sbaprograms/sbir/sbirstir/sbir_sbir_description.html

by Susan Kristoff – The Kristoff Group LLC

legal disclaimer

1) Our website is not responsible for the information contained by this article as well for any and all copyright infringements by authors and writers. E-articles is a free information resource. If you suspect this article for any copyright infringements, please read the Terms of service and contact us to investigate the problem.
2) The E-articles directory team is not responsible for inaccuracies, falsehoods, or any other types of misinformation this tutorial may contain and will not be liable for any loss or damage suffered by a user through the user's reliance on the information gained here. Please read the Terms of service

Useful tools and features

Translate this article to...    Send this article to you or to a friend

Link to this article from your page   
If you like this article (tutorial), please link to it from your web page using the information above. Linking to this page, this is the only way to help us improve our service, the same time providing your visitors with a way to improve their online experience.

related articles

1. How to get more customers for my online business and increase sales
Though the basic model is sound, it is quite lacking. For starters, it’s too simplistic that it’s even naïve for its purposes. A sales page will not automatically convert people into sales. A money router will be useless without profit generation. And the visitors who decided not to purchase your product will most certainly be lost if you don’t DO anything about it. The basic online business model is terribly lacking. Much like a car that can’t run with its skeletal...

2. Strategic Success Factors for Profitable Business with Online Content
Sellability of Content Compelling Forms If we wanted to merge the sentiments from observers in Europe and the United States into one sentence, it would sound like this: “To charge a fee for content, you need new products with entirely new content that is truly compelling, and that means things people have never seen before, never expected, or never assumed would be free.” The word “compelling” came up much more frequently in our discussions than the word ...

3. Guidelines to Launch a Content Based Online Business
Online ventures face huge marketing challenges. They must act quickly to optimize both the product and services they will offer, as well as the revenue model. To succeed, they need to: 1. Segment their markets. Not all customers can be treated the same. Identifying the most important segments is a must. Valid data will be crucial. Sophisticated research with state-of-the-art multivariate methods will provide indispensable insights that can be turned into a long-lasting strategic advantage. 2. Start with the m...

4. Positive Influences of E commerce for Businesses
Electronic Commerce or e-commerce is the exchange and processing of business transaction information using computers connected through a network. E-commerce does have unique advantages for businesses. It allows a shop, a showroom or an office to open 24 hours a day, seven days a week. It also means that time zones are not a problem. A Web site can bring a prospect from the point of advertising and information directly to the point of sale, seamlessly, without involving any other medium. E-commerce...

5. The Basic E Business Models
The emerging e-business market affords companies of all sizes and types the opportunity to leverage their existing assets, employees, technology infrastructure, and information to gain or maintain marketshare. For example, in the telecommunications industry, service, rather than technology, is now the key differentiator. With lower barriers to entry, new competitors are rapidly entering the market offering new services, such as online bill presentment and payment, and leveraging their unique digital assets. Information t...

6. How to Build an Effective E Business Strategy
There are four key issues that apply to most organizations. The following issues can be viewed as a prerequisite to building an effective e-business strategy: Identify measurable business objectives. Define costs and impact. Align IT architecture. Identify value propositions. Identifying Measurable Business Objectives Implementing an e-business strategy is a major undert...

7. Online Merchandising Strategies
Building a profitable and scalable e-commerce business requires flexible merchandising and an effective infrastructure. Flexible merchandising (delivering value and quality in meeting customer needs) is covered in this article. Effective infrastructure (building efficient processes to create the information required for flexible merchandising) is covered later in the article. Flexible Merchandising The keys to effective online merchandising are simple: the site and sales process shoul...

8. FFA (Free For All) Sites: Do They Work (q)
In the "old" days of the Web (2-3 years back ), FFAs were effective in generating traffic to many sites. FFAs are in effect lists of brief classified-type ads with a link to the submitting site. Submit a first class ad (most are not), and at least some hits would be generated. In general, a new submission goes to the top of the list or category, as the oldest listing is deleted. This plan was effective, for finding things on the Web was not as easy then as it is now. So many surfers had one or two FFAs bookmarked. W...