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Small Business Innovation Research(SBIR)

A federal program that reserves a portion of agency R&D budgets for small businesses to conduct innovative research with commercial potential.

Overview

The Small Business Innovation Research (SBIR) program requires federal agencies with substantial R&D budgets to set aside a percentage (typically 3.2%) for small businesses. SBIR provides phased funding — Phase I for feasibility, Phase II for development, Phase III for commercialization — to advance innovative technologies with dual-use potential. Eleven agencies participate, with DoD and NIH being the largest.

Why It Matters in GovCon

SBIR is a major pathway for small businesses to enter federal R&D contracting. Awards are non-dilutive and can fund technology development that leads to larger contracts. The program has specific eligibility rules, application processes, and topic-based solicitations. Understanding agency priorities and topic structure is key to successful applications.

Key Details

  • Eligibility: U.S. small business, for-profit, 500 or fewer employees (with some exceptions).
  • Phases: Phase I (typically $50K–$250K, 6–12 months), Phase II ($750K–$2M+, 24 months), Phase III (non-SBIR funding for procurement).
  • Topics: Agencies publish topics; applicants respond to specific topics.
  • Set-Aside: SBIR is statutorily set aside for small businesses.
  • Data Rights: SBIR grants extended data rights to the awardee for SBIR-developed data.

How GovCon Data Can Help

GovCon Data helps you discover SBIR solicitations by agency and topic, track Phase I/II/III opportunities, and filter by your NAICS codes and capabilities.

Related Terms

  • Small Business Technology Transfer (STTR)
  • Research and Development (R&D)
  • Technology Readiness Level (TRL)
  • Small Business Administration (SBA)

More Programs Terms

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