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Kentucky SBIR/STTR Matching Funds Program

Kentucky SBIR/STTR Match — Phase I

Funds Kentucky companies with state matching support for early federally aligned innovation projects.

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The Kentucky SBIR/STTR Matching Fund — Phase I is administered by KY Innovation, a program of the Kentucky Cabinet for Economic Development. It provides a non-dilutive, reimbursable state grant of up to $100,000 to Kentucky-based for-profit technology companies that have already received a federal SBIR or STTR Phase I award. The grant is awarded on a competitive basis through two application windows per year: a Spring round typically open from March through April, and a Fall round typically open from September through October, each window lasting eight weeks. Companies submit applications by email to sbir@kyinnovation.com during an open window, following the guidelines PDF published when the window opens.

Eligibility has three hard requirements: the applicant must hold an active federal SBIR or STTR Phase I award, must operate as a for-profit company, and must be headquartered in Kentucky or willing to relocate there. Universities, nonprofits, and research organizations are not eligible. The grant is reimbursable — the company incurs expenses first and then seeks state reimbursement — so applicants should plan for bridge financing. In February 2026, Governor Andy Beshear announced eight awardees sharing $862,479 in matching funds, which collectively leveraged $6.6 million in federal SBIR awards. Since program inception, KY Innovation has made 353 match awards to 161 unique companies, leveraging $179.77 million in federal funding and supporting the creation of more than 781 jobs, 91 percent of which carry annual salaries above $50,000.

Applicants with a federal Phase I award in hand should prepare their application materials — including project description, commercialization plan, and supporting federal award documentation — well before a window opens, since the eight-week window is the only opportunity per cycle. KY Innovation also offers free proposal accelerators through partner organizations and micro-awards (Phase 0) through the Kentucky Science and Engineering Foundation to help companies prepare federal SBIR applications before they have a federal award in hand.

Provides up to $100,000 in non-dilutive state matching funds to Kentucky-based for-profit companies that have already received a federal SBIR or STTR Phase I award.

CycleiHow often this grant runs — e.g. annually, on a rolling basis, or a one-off call.Multiple per year
Next deadlineiThe next date applications are due. Rolling means you can apply any time.
Decision timeiTypical time from the deadline to the funder's decision.
Project durationiHow long the funded work is expected to run.
Award typeiThe form of funding — grant, equity, loan, tax credit, etc.Grant
Match fundingiThe share of project costs you must cover yourself. 0% = fully funded.0%
Funding pooliThe total budget available across all awards in this round.

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Last verified: 29 Jun 2026Source: newkentuckyhome.ky.gov