NIH SBIR / STTR — Small Business Innovation Research and Small Business Technology Transfer

NIH SBIR Phase I

Funds early stage United States biomedical teams through NIH seed support for feasibility work on prototype ready ideas.

NIH SBIR Phase I awards are non-dilutive grants that support feasibility studies and early-stage technical merit assessments for biomedical and health-related innovations developed by US small businesses. NIH sets aside more than $1.4 billion annually from its extramural R&D budget specifically for its Small Business Programs (SBIR and STTR combined), making it the largest source of non-dilutive early-stage biomedical R&D funding in the United States. Phase I is the entry point: it funds proof-of-feasibility work up to a budget cap of $323,090 for a project period of six months to two years. Applications are researcher-initiated and topic-agnostic at the parent announcement level; 24 of NIH's 27 Institutes and Centers participate, each publishing its own Funding Considerations and priority topic areas. The SBIR and STTR programs were reauthorized on April 13, 2026; NIH currently has no active NOFOs but expects to publish new parent announcements before the next standard receipt date of September 5, 2026.

To be eligible, the applying entity must be a US small business (fewer than 500 employees) with the Principal Investigator employed more than 50% of their time by the company. The company must be more than 50% owned and controlled by US citizens or permanent resident aliens, or by another US small business. Venture-capital-majority-owned companies may apply through a special VC opt-in election. SBIR Phase I allows outsourcing up to 33% of the research work. Universities, nonprofits, and research organizations are ineligible as lead applicants. NIH takes no equity stake, requires no repayment, and claims no royalties on funded work. For-profit companies in all biomedical and health-related domains — including biotechnology, medical devices, diagnostics, AI-enabled health tools, drug development, and health IT — may apply.

Applications are submitted through the parent SBIR grant announcement to the NIH Institute or Center best aligned with the applicant's research topic. Each IC independently scores, reviews, and makes funding decisions; applicants should consult NIH ICO Funding Considerations (grants.nih.gov) to identify the most appropriate IC and its priority areas before submitting. Standard receipt dates are September 5, January 5, and April 5. Budgets above the $323,090 cap are allowed for certain SBA-approved waiver topics but require prior contact with program staff. Phase I awardees may subsequently apply for Phase II funding.