Stacy L. Chin explains why SBIR grants are the best funding for deep-tech startups building hardware or biotech. You get cash without giving up equity, and a new Strategic Breakthrough Award can provide up to $30 million. A 2025-2026 funding freeze has frozen $4 billion in annual SBIR money, making it urgent to apply now.
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I seriously think the SBIR program is the biggest funding cheat code for deep tech startup founders in the US. Hear me out. If you're building something in hardware, biotech, materials, or anything that takes real R&D, you know how brutal the fundraising game is. VCs want traction that you can't have yet because you're still in the lab. Angels just don't write checks big enough to build a prototype that can cost 6 or even 7 figures. Then you have dilutions that start to eat away at your cap table even before you've proven the science has some commercial feasibility. Well, guess what? The SBIR program can flip that entire problem. It's a US-backed federal program that gives out grants and contracts just to de-risk your technologies. No equity given up, no investor calls, just funding to run R&D studies to prove your feasibility, build your prototypes, and actually generate data to prove that your technology actually works. And in 2026, they massively upgraded this program. Now there's something called a Strategic Breakthrough Award that can go up to $30 million, and that's not a And this is $30 million of non-dilutive funding designed for deep tech startups to cross the valley of death. And yet the SBIR program went dark between 2025 and 2026, which is the longest lapse I've ever seen. And that means over $4 billion of annual funding just immediately were frozen. But now the program is back, and I'm still shocked about how many deep tech founders have no idea this program exists for you guys. So if you're a deep tech founder in the US debating whether you should bootstrap your company or give away a bunch of equity to a VC, try the SBIR program. Find the right opportunity, apply, get funded, keep your equity, and just build your company. Make sure to follow along if you want more content like this. Share with another fellow founder so that you both can learn to keep your equity through SBIR grants and other non-dilutive funding opportunities.