STTR
FAQ
1. What is the STTR Program?
STTR is a highly competitive, three-phase program that reserves
a specific percentage of Federal research and development funding
for award to small businesses in partnership with nonprofit research
institutions to move ideas from the laboratory to the marketplace,
to foster high-tech economic development and to address the technological
needs of the Federal Government.
2. What are the three phases of the STTR Program?
Phase I is the startup phase for the exploration of the scientific,
technical, and commercial feasibility of an idea or technology.
Awards are for periods of up to one year in amounts up to $100,000.
Phase II is to expand Phase I results. During this period the
R&D work is performed and the developer begins to consider
commercialization potential. Awards are for periods of up to two
years in amounts up to $500,000.
Phase III is the period during which Phase II innovation moves
from the laboratory into the marketplace. There is no STTR funding
in this phase.
3. Must you be an established business when you
propose?
No. However, you must be organized as a business at the time of
award.
4. Who can propose?
Only small for-profit businesses can propose.
5. What is size criteria?
A small business concern with 500 or fewer employees including
subsidiaries and/or affiliates. The size of the nonprofit collaborator
is not relevant.
6. How are future rights to projects developed
under STTR determined?
The small business concern and the research institution must develop
a written agreement prior to a Phase I award. This agreement must
be submitted to the awarding agency if requested.
7. Who are the Federal participants in the STTR
Program?
The following five Federal departments and agencies are eligible
to participate: Department of Defense, Department of Energy, National
Aeronautics and Space Administration, Department of Health and
Human Services, National Science Foundation.
8. Can I skip Phase I and begin at Phase II?
No. Phase II awards can only be awarded to firms having successfully
completed Phase I at the same awarding agency.
9. Does SBA make any STTR awards?
No. The five participating Federal agencies have unilateral procurement
authority.
10. Can you subcontract in STTR -- either party
or both?
Yes. Either party may subcontract or they may jointly fund a subcontractor.
11. Can a small business concern participate
in both SBIR and STTR simultaneously at the same or differing
agencies?
Yes, but they may not perform the same or essentially similar
work under more than one contract or grant. Collecting funds more
than once for the same work is fraud.
12. Must a successful Phase I small business
concern use the same institution in Phase II?
No. The small business concern can change research institutions
in Phase II.
13. Will an unsolicited proposal be accepted
in the STTR Program?
No. Proposals must respond to the solicitation as published by
one or more of the participating agencies.
14. Who is the prime contractor or grantee?
The small business concern.
15. Must the small business concern and/or the
research institution be located in the United States?
Yes. Both the small business concern and the institution must
be on U.S. soil.
16. Can a Phase III follow-on contract for funding
be made, without competition, to the firm that successfully completes
Phase I and II?
Yes, the firm may be given a sole source contract in Phase III
for further work or production.
17. What is the minimum percent breakout for
small firms and institutions in conducting research?
Small business concerns must perform at least 40% and research
institutions must perform at least 30% of the work.
18. Who resolves problems concerning STTR topics,
awards, audits, etc.?
The agency issuing the Program Solicitation. SBA handles program
policy for across the board uniformity, reporting to Congress
and program oversight.
19. Where can I go for further information on
how I get started or if there is other assistance available?
Information can be obtained from SBA Online Bulletin Board
by dialing: 1-800-697-4636.
To receive information on other SBA programs, please
contact your local SBA office or call the SBA Answer Desk: 1-800-8-ASK-SBA.
