National Science Foundation Small Business Innovation Research Program (NSF SBIR/STTR)
Below is a brief summary. Please check the full solicitation before applying (link in resources section).
Executive Summary:
The NSF SBIR/STTR Phase I program, also known as America’s Seed Fund powered by NSF, provides up to $305,000 in non-dilutive funding to U.S.-based startups to conduct high-risk, high-reward R&D based on novel science or engineering. The goal is to help companies build a proof-of-concept or prototype with strong commercial and societal impact. Companies must first submit a Project Pitch and receive an invitation before applying. Multiple submission deadlines occur each year.
How much funding would I receive?
Phase I awards provide up to $305,000 in total non-dilutive funding for a 6–18 month project. This amount is inclusive of all direct and indirect costs, the small business fee, and recommended commercialization support such as NSF I-Corps training and Technical and Business Assistance (TABA).
Companies that successfully complete Phase I are eligible to apply for Phase II funding of up to $1,250,000 over 24 months, with the opportunity to apply for additional supplemental funding that may exceed $500,000, bringing total potential NSF support to $2 million or more across phases.
What could I use the funding for?
Funding may be used to develop technologies in almost any area below - See a full expanded list here:
• Advanced Manufacturing (M)
• Advanced Materials (AM)
• Advanced Systems for Scalable Analytics (AA)
• Agricultural Technologies (AG)
• Artificial Intelligence (AI)
• Augmented Virtual and Mixed Reality (AV/VR/MR)
• Biological Technologies (BT)
• Biomedical Technologies (BM)
• Chemical Technologies (CT)
• Cloud and High-Performance Computing (CH)
• Cybersecurity and Authentication (CA)
• Digital Health (DH)
• Distributed Ledger (DL)
• Energy Technologies (EN)
• Environmental Technologies (ET)
• Human-Computer Interaction (HC)
• Instrumentation and Hardware Systems (IH)
• Internet of Things (I)
• Learning and Cognition Technologies (LC)
• Medical Devices (MD)
• Mobility (MO)
• Nanotechnology (N)
• Other Topics (OT)
• Pharmaceutical Technologies (PT)
• Photonics (PH)
• Power Management (PM)
• Quantum Information Technologies (QT)
• Robotics (R)
• Semiconductors (S)
• Space (SP)
• Wireless Technologies (W)
Are there any additional benefits I would receive?
Beyond the direct funding, NSF SBIR/STTR awards provide several significant indirect benefits:
Government Validation and Credibility:
Being selected through NSF’s highly competitive merit review process signals strong technical innovation and commercial potential, which can materially increase credibility with investors, partners, and customers.
Founder-Friendly, Non-Dilutive Capital:
Awards are grants with 0% equity taken, allowing founders to advance core technology without dilution or repayment obligations.
Expert Feedback and Coaching:
All applicants receive detailed feedback from technical and commercial reviewers, and awardees work closely with experienced NSF Program Directors.
Enhanced Market Visibility:
Awardees are publicly recognized through NSF communications and often gain increased visibility within the deep tech and innovation ecosystem.
Stronger Follow-On Funding and Exit Potential:
Companies that de-risk technology with NSF funding are often better positioned for Phase II funding, venture capital, strategic partnerships, and higher-value exits.
What is the timeline to apply and when would I receive funding?
Project Pitch: Can be submitted on a rolling basis starting mid-February (estimated)
Full Proposal Deadlines: Multiple deadlines each year. Estimated deadline March 2026.
Review Process: Typically 5–7 months from proposal submission to award decision.
Funding Release: Most funds become available 1-2 months after award notification.
Where does this funding come from?
Funding is provided by the U.S. National Science Foundation (NSF) through its congressionally mandated SBIR and STTR programs, administered by the Directorate for Technology, Innovation and Partnerships.
Who is eligible to apply?
Eligible applicants must:
Be a U.S.-based small business with 500 or fewer employees
Be majority U.S.-owned
Perform R&D primarily in the United States
Not be majority-owned by venture capital, hedge funds, or private equity firms
Have a Principal Investigator primarily employed by the company (≥51%)
What companies and projects are likely to win?
Successful applicants typically demonstrate:
A novel scientific or engineering breakthrough with strong differentiation
High technical risk that requires R&D to resolve
Clear commercial market pull and scalable business potential
A defensible competitive advantage difficult to replicate
A technically strong, committed founding team focused on commercialization
Are there any restrictions I should know about?
Key restrictions include:
No funding for clinical trials, marketing, or incremental product development
No foreign R&D or foreign travel
Letters of support from customers are not allowed in Phase I
Equipment purchases over $5,000 are not allowed
Only one proposal per company per submission deadline
How long will it take me to prepare an application?
Most first-time applicants should expect 80–120 hours of effort over 8–12 weeks, including technical writing, budget preparation, registrations (SAM, SBA, Research.gov), and internal reviews.
How can BW&CO help?
Our team specializes in complex federal R&D proposals and can:
Triple your likelihood of success through proven strategy and insider-aligned proposal development
Reduce your time spent on the proposal by 50–80%, letting your team focus on technology and operations
Ensure you are targeting the best opportunity for your project and positioning your company for long-term growth under Federal & State R&D Initiatives.
How much would BW&CO Charge?
Our full service support is available for a flat fee of $9,000 + 5% Success Fee.
Fractional support is $300 per hour.
For startups, we offer a discounted rate of $250 per hour to make top-tier grant consulting more accessible while maintaining the same level of strategic guidance and proposal quality.