1. SBIR/STTR Programs Introduction John Ujvari, MBA SBIR Program Specialist North Carolina SBTDC Email: sbir@sbtdc.orgsbir@sbtdc.org Phone: 919-962-8297 Web: www.sbtdc.org/technology/sbirsttr.asp

2. Brief History  Small Business Innovation Development Act of 1982  Federal Agencies with R&D Budgets in Excess of $100 Million  Set Aside % of Extramural Research Budget  Currently 2.5% = $1.8 Billion  50,000 Awards Made Since Inception  Over $12 Billion Awarded Since Inception

3. SBIR in a nutshell  R&D funds set aside for high-risk/high-payoff research conducted by small (<500), for-profit firms….  ….that are likely to lead to a commercializable product  Three phases

4. Funding Breakdown Phase I Evaluate viability and feasibility of an idea Up to $100K for 6 month period* Phase II Expand results Further pursue development Up to $750K for up to 24 months* Phase III Commercialization No SBIR funds

5. Federal Agencies Participating in SBIR (11)  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  NASA  National Science Foundation

6. SBIR Eligibility Checkpoints  Organized for-profit U.S. business  At least 51% U.S. owned and independently operated  Business is located in U.S.  P.I.’s primary employment is with small business during the project  500 or fewer employees

7. STTR in a nutshell  Three phase program that parallels SBIR  Aimed at moving tech from academia through small business into marketplace  R&D must be a joint effort between small business (not <40%) and non-profit research institution (not <30%)  Program and funds are managed by the small business, but P.I. may be from non-profit

8. STTR Cont’d  Largest five SBIR agencies participate  DOD  DOE  HHS  NASA  NSF  Phase 1 – Up to $100K (12 months)  Phase 2 – Up to $750K  Phase 3 - Commercialization

9. SBIR/STTR Critical Differences Research Partner  SBIR: Allows for, but does not require, research institution partners  STTR: Requires partners from research institutions (e.g., universities)

10. SBIR/STTR Critical Differences Principal Investigator Principal Investigator  SBIR: PI’s primary (>50%) employment must be with small business concern  STTR: Primary employment not stipulated [PI can be from research institution or from small business concern]

11. SBIR vs. STTR Unique Features SBIRSTTR Set-Aside of Agency Budget2.5%.30 % Award Guidelines Phase I$100K $100K 6 mo 12 mo Phase II $750K $750K 2 yrs 2 yrs Subcontracts Phase I 33% 60% Phase II 50% 60% Academic Component Not Required 30% << << >

12. NC’s SBIR/STTR Rankings  NC’s lead SBIR outreach agency since 1999  High potential for continued ranking increases  Lag time issue NORTH CAROLINA’S SBIR/STTR NATIONAL RANKING YEAR Overall SBIR Increase Over Previous Year Overall STTR 200218th68% increase4 th 200121 st 24% increase22 nd 200022 nd 28 th

13. Major Advantages of Programs  Significant amount of funds reserved for small, innovative firms  Funds high risk projects  Firm retains IP – no dilution  Provides valuable credibility  Offers a simplified route to obtaining federal R&D funds

14. Important Facts to Remember  Eligibility determined at time of award  PI is not required to have a Ph.D  PI is required to have expertise to oversee project scientifically and technically  Applications may be submitted to different agencies for similar work  Awards may not be accepted from different agencies for the same project

15. Solicitations  Search all agencies for a fit  Some solicitations very general, some very specific  Do not force fit  Will not help you win  Not good for the direction of your company  Do not send in an unsolicited idea

16. Solicitation Release Sample Calendar Agency / ProgramReleaseClosing NIH - SBIR/STTRJanuary 9, 2004April 1, 2004 DoD - STTRJanuary 2, 2004April 15, 2004 DOT - SBIRFebruary 17, 2004May 3, 2004 EPA - SBIRMarch 25, 2004May 28, 2004 DoD - SBIRMarch 1, 2004June 17, 2004 NIH - SBIR/STTRJanuary 9, 2004August 1, 2004 USDA - SBIRJune 1, 2004August 29, 2004

17. Sample Solicitations  DoD  NIH

18. Where to Look for Information  Each agency has a website  Solicitation lists  Applications  Excellent portals  www.zyn.com  www.sbirworld.com

19. Submission  Done electronically for most agencies now  Proposals are not read on a rolling-basis

20. Review Timeline  Write Proposal: January - April 1  Submit Proposal: April 1  Agency Review: April - August  Receive Confirmation: August - October  Receive Funding if Successful: October - December  Generally a 9 month process  Note this is a hypothetical sample – all agencies are different

21. How the SBTDC can Assist you  Help determine if your company is eligible  Answer general questions during proposal process  Put you in contact with key individuals, universities and agencies  Review proposals from a business perspective and make recommendations

22. Information Resources Brochure Brochure  Clear overview of all services provided on one sheet

23. Information Resources SBIR Newsletter SBIR Newsletter SBIR Newsletter  Content:  Calendar of events  Success stories  Agency updates/announcements  Solicitation release and proposal deadlines  Proposal tips

24. Information Resource SBIR Website SBIR Website SBIR Website  www.sbtdc.org/technology/sbirsttr.asp www.sbtdc.org/technology/sbirsttr.asp  Content:  Program handbook  Proposal deadline calendar  Newsletter archives  Proposal Tips  Sample Proposals  Proposal tips  Success Stories  Agency Presentations

25. Counseling  Strategize  Answer questions during proposal process  Review proposals

26. Team Support  SBIR is the rallying point for our Tech Team  6 members statewide

27. Questions ? John Ujvari, MBA SBIR Program Specialist North Carolina SBTDC Phone: 919-962-8297 Email: sbir@sbtdc.org