SBIR Dream Team: Who You Need for Phase I vs Phase II

Are you gearing up for an SBIR application and wondering, do I just need more than me on the team? And the short answer is yes. Especially if you're moving from a Phase 1 to a Phase 2. And that's because reviewers are looking carefully at your team's ability to execute, deliver, and scale. So in this video, I'm going to walk you through the essential team roles that you will need to strengthen your application and how your team must evolve when you transition from a Phase 1 to a Phase 2. Hey guys, welcome back to the channel. If you're joining us for the first time, I'm Stacy Chin, a professional federal grants and contracting consultant Keltan, who has helped to raise over $40 million of funding for startups developing innovations in healthcare, climate, and defense. All right, here's the truth: the same team that gets you funded for a Phase 1 won't cut it in a Phase 2. Why? Why? Because the goals change and the stakes get higher. SBIR Phase 1 applications are all about proving feasibility, whereas Phase 2 is about proving that you can execute, scale, and commercialize. So reviewers want to know, can this team actually bring their innovation to the market? And if your application still looks in science-y research project mode with no business expertise or customer attraction, you're gonna get dinged on your application. So think of it this way: Phase 1 is your pilot episode, whereas Phase 2 is your green light for the full season. Don't trust your cast to deliver, they won't fund the show. So what does this actually look like in practice? Starting with Phase 1, let's break down the rules that do get you funded early on and how to build a lean team that still checks all the right boxes for feasibility, technical expertise, and future vision. In Phase 1, your team can be lean, but it still needs to show the right mixture of expertise to pull off the proposed R&D efforts. Here are the key roles. First is the principal investigator, or the PI. This is your quarterback, the technical leader steering the ship. Reviewers want to see that the PI have academic or industry credentials and the time to mainly drive the project forward. So a typical expectation for a PI in an SBIR project is usually 20 to 50% of the effort during a Phase I. So if your PI is only involved in this project for 5%, that's gonna raise a red flag. Also, this person must own the R&D narrative, whether it is a biomedical engineer developing a new implant or computer scientist building a novel AI algorithm. Next is a co-investigator or technical lead. If the PI is more focused on business development or high-level strategy, you must include a strong technical lead as a second in command to lead the day-to-day science. And this role is especially important for projects with complex engineering or biology or software components. Here you wanna think material scientists running lab on the day-to-day for a bioresorbable stent or data scientists training your predictive algorithms. Bottom line, reviewers want to know who is doing the scientific R&D work. Now let's talk about a business leader or commercialization advisor, and this can be optional for a Phase I application, but having someone on your team that could think beyond the lab bench can be a big plus for your SBIR application. Even if they're part-time, a business lead can help shape your early value proposition, assess market size, and think through who will buy your end product once it works, of course. So whether it is a founder with startup experience, a medtech commercialization expert, or an industry advisor, having this person on your team in a Phase I will signal to the reviewer that you're thinking long term for commercialization purposes, not just for a peer-reviewed scientific publication. Next, let's chat about consultants and advisors. So if your core team doesn't have a mission-critical area of expertise, that's okay. You can fill in that gap with a commercialization, with a consultant or an advisor. And these roles can be critical by serving as a subject matter experts, which you can conclude in your application in addition to a letter of commitment. So for example, if your tech requires regulatory strategy, AI ethics, or clinical trial design, or DoD acquisition pathways, these critical advisors can help de-risk your proposal in the eyes of the reviewers. Because these goals require deep specialized expertise. Bottom line here, the key is to show that you don't know what you don't know and that you help bring in experts to cover those gaps. And here's a key tip: a sole founder with no team or support rarely gets their SBIR funded. So even if you have a lean team, make sure you show capacity, expertise, and coverage. So once you build your foundation in Phase 1, let's transition and talk about Phase 2 and who should be on your team for this critical step. And here's how your team should evolve. First is a full-time PI or technical lead. In phase 2, this can't be your weekend science project anymore. Reviewers now want to see that someone is fully committed to driving that technology forward, whether that's a PhD engineer refining a drone navigation system or a clinical scientist scaling wearable for chronic disease management. This role needs to own the R&D. Like it's their full-time job, because it actually is. Next, you need a commercialization lead because in Phase 2, you're not just building anymore, but you're scaling and preparing your technology for market entry. So that means you need someone that knows how to take your innovation and bring it into the real-world applications, whether that means going towards FDA approval or pitching DoD buyers or building sales channels. Reviewers want to see in a Phase 2 a clear path to commercialization. And someone capable of leading that ship. Next, a great person to have on your Phase 2 SBIR application is a product development lead. If you're building software, medical devices, or bioengineering products, someone needs to be in charge of the prototyping and scaling. If you're developing a wearable cardiac monitor, an autonomous drone system for defense surveillance, or a microfluidic device platform, you need a technical lead that can own product development from concept to pilot-ready build. And finally, make sure to include letters of support from key partners in a Phase II application. Here, think pilot sites, hospitals, end users, or distribution partners. For example, if you're developing a surgical imaging system, get a letter of support from a hospital or surgical center ready to pilot it. Or if you're developing a military-grade sensor platform, secure a letter from the DOD and customer or user or prime contractor. For hard tech like an advanced battery or robotic system, a manufacturing partner or industry customer can be a powerful addition to your Phase 2 application. And now here's a bonus move. Reviewers would love it if you can show that you're building a real company. So that means include plans for hiring, IP protection, or how you're securing follow-up funding. Because at the end of the day, reviewers aren't looking just to fund any cool idea. they're funding your ability to deliver and execute. So build the right team early on, grow it strategically, and show them that you're not just ready to innovate, but you're ready to execute and bring your innovation to market. If you found any of these tips helpful, I would really appreciate it if you can like this video and subscribe to this channel so that you can learn new ways to keep your equity throughout your fundraising journey. And of course, don't forget to check out our website at keepyourequity.co where you find more resources, templates, and advice of how you can secure non-dilutive funding for your startup. Thank you for joining me today, and I'll see you in a video very soon.