Stacy Chin breaks down SBIR and STTR, two federal funding programs for startups. SBIR requires the principal investigator to work mostly for the company; STTR mandates a nonprofit research partner doing at least one-third of the work. SBIR fits companies with internal technical teams, while STTR suits university spinouts with lab-developed IP.
I am an SBIR. And I am an STTR. I give out non-dilutive funding for small for-profit businesses. I do the same. Usually startups that apply for me are pursuing research to commercialize new innovations. Well, me too. Here, startups can partner with a nonprofit research entity like a university or research hospital, but it is not necessary. For me, this is mandatory. In fact, usually the startup's research partner, like a university or the research hospital, must do over one-third of the work in my applications. For me, the PI must be primarily employed by the small business, usually over 50%. For me, the PI can be employed by the small business or the research institution. I am a great fit for existing startups with internal technical capabilities and with a team ready to execute immediately. I'm a popular option for many startups that originally were spun out by universities with lab-oriented IP. Many of my applications are faculty-led innovations transitioning to the market. So are you thinking of applying for me, an SBIR application, or me, an STTR application? Comment below.
