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Each year, 11 federal agencies set aside more than $2 billion to fund research and development at small businesses, through the Small Business Innovation Research (SBIR) Program and the Small Business Technology Transfer (STTR) Program. Federal agencies issue solicitations to small companies, including start-ups, for proposals on specific research and product development.

MCFL PTAC is helping small business concerns explore SBIR and STTR opportunities.

  • The SBIR program helps to create new technologies that offer solutions to the nation's most pressing scientific and engineering problems.¬†
  • STTR's most important role is to foster the innovation necessary to meet the nation's scientific and technological challenges in the 21st century.

Three Phases of SBIR and STTR

SBIR and STTR programs vary among the awarding agencies. General guidelines follow:

  • Phase I is the pre-prototype phase. Funded up to $100,000 for approximately 6 months (1 year for STTR) to explore the technical merit or feasibility of an idea, concept, or technology.
  • Phase II is the prototype phase. Funded up to $750,000 ($500,000 for STTR), for a period of up to 2 years, to expand on Phase I results. During this phase, R&D work is implemented and commercialization potential is evaluated.
  • Phase III is the commercialization phase. The innovation is moved from the laboratory into the marketplace, and outside funds (non-SBIR and non-STTR) are used to market the product.


SBIR program solicitations are issued by eleven federal agencies, including:
STTR program solicitations are issued by five federal agencies, including:

Local resource(s):