News & Views
Volume 4, Issue 1

SBIR related program allows more university involvement

Universities play a larger role in small business technology development under the Small Business Technology Transfer (STTR) program than under the SBIR program. Similar to the SBIR program, the STTR program is a federally funded program designed to assist small businesses. However, STTRs focus on technology transfer from a research institution to a small business, and cooperative research and development of that technology.

Accordingly, STTRs require businesses to collaborate with a research institution (university or other non-profit research institution) by sub-contracting at least 30 percent of the project to the institution. Under the SBIR program only a small portion of the research can be done at a university and the principal investigator must be employed by the small business on a more than half-time basis. Under STTRs, the employment requirement for principal investigators is relaxed. Additionally, Phase I STTR awards generally fund one year of research compared to SBIR Phase I awards, which generally fund only six months of research.

Currently, the following five federal agencies participate in the STTR program:

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