Small Business Admin - Innovation Research Proposa

PREFACEThepurposeofthispublicationistoenhancetheabilityofsmallbusinessestocompeteeffectivelyinSmallBusinessInnovationResearch(SBIR)programs.Inordertoparticipateintheseprograms,firmssubmitSBIRproposalstofederalagenciesindirectresponsetospecificsolicitations.Accordingly,theprimaryemphasisofthispublicationisonproposalpreparation.Asproposalsubmissionistheculminationofaplanningprocess,prudentfirmsdevoteattentiontoplanningtheirproposalpriortotheactualwriting.ThispublicationcontainsthreechapterscorrespondingtoaprocessthroughwhichyourfirmdeterminesthesuitabilityofSBIRparticipation,selectsprojects,andfinallypreparesproposals.ChapterIdescribestheSBIRprogramandhowitcanrelatetootheraspectsofyourbusiness.ChapterIIpresentssuggestionsforgatheringinformationnecessarytodeterminethesuitabilityofanyprojectforanSBIRprogram.Suchinformationincludesinformationonfederalagencies(whosolicitresearchanddevelopmentefforts),technology,andcommercialmarkets.ChapterIIIdiscussesspecificitemsyoushouldconsiderinpreparingyourproposal.ThecontentofthischapterisbasedoninformationprovidedbytechnicalevaluatorswithinvariousagencieswhoreviewedSBIRproposalsandonasampleofwrittenevaluatorcomments.Thispublicationwaspreparedbythe:OfficeofTechnology,U.S.SmallBusinessAdministrationI.USINGTHESBIRPROGRAMTOFURTHERBUSINESSDEVELOPMENTA.WhatIsSBIRSmallBusinessInnovationResearch(SBIR)programsfundresearchanddevelopmenteffortsofahighrisknaturethatmayhaveexcellentcommercialpotential.TheSmallBusinessInnovationDevelopmentActof1982(P.L.102-567),and1992(P.L.102-564),presentsanexceptionalopportunityforanyinnovatorwhoiscapableofconductinghighqualityresearchanddevelopment(R&D).ThepurposesoftheActareto1)stimulatetechnologicalinnovation;2)usesmallbusinesstomeetfederalR&Dneeds;3)encouragetheparticipationbydisadvantagedandminoritypersonsintechnologicalinnovation;and4)increaseprivatesectorcommercializationderivedfromfederalR&D.UndertheSmallBusinessInnovationDevelopmentAct,eachagencywithanextramuralR&Dbudgetinexcessof$100millionmustestablishanSBIRprogram.ThefollowingagenciesarecurrentlyparticipatingintheSBIRProgram:•DepartmentofAgriculture•DepartmentofCommerce•DepartmentofDefense•DepartmentofEducation•DepartmentofEnergy•DepartmentofHealthandHumanServices(includingtheNationalInstitutesofHealth)•DepartmentofTransportation•EnvironmentalProtectionAgency•NationalAeronauticsandSpaceAdministration•NationalScienceFoundation•NuclearRegulatoryCommissionThroughitsSBIRprogram,eachagencywilldeveloptopicsandreleasesolicitationsdescribingthosetopics.Proposalsaresubmittedtotheagencywheretheyarereviewedandevaluatedonacompetitivebasis.Eachagencymakesitsownawardsusingcontracts,grants,orcooperativeagreements.UnderthelawtheSBIRprogramisathree-phaseprocess.PhaseIisbasedonproposalssolicitedbyparticipatingagencies.Thesesolicitationscontaintopicsonwhichsmallfirmsareinvitedtosubmitproposals.Theproposalsdescribetheresultsthefirmintendstoattain,theapproachthefirmwilltake,andhowitwillprovethefeasibilityofitsapproach.PhaseIawardscanbemadeupto$100,000forapproximatelyasix-montheffort.ThepurposeofPhaseIistoshow:1)thattheproposingfirmcandohighqualityR&D;2)thattheproposedeffortistechnicallyfeasible;and3)thatsufficientprogresshadbeenmadetojustifyamuchlargeragencyinvestmentinPhaseII.PhaseIenablestheagencytoaddressthesequestionswithrelativelysmallagencyinvestment,therebyincreasingtheefficiencywithwhichfederalR&DdollarsinPhaseIIareutilized.ThoseprojectswhichcompletePhaseIcancompeteforPhaseIIfundingtofurtherdeveloptheproposedidea.PhaseIIistheprincipalR&Deffort,withadurationwhichnormallydoesnotexceedtwoyears.AwardsforPhaseIIarefor$750,000orless.AwardsforPhaseIIarebasedupontheresultsofPhaseIandthescientificandtechnicalmeritofthePhaseIIproposal.TheobjectistocontinuetheR&DinitiatedunderPhaseI.However,thegovernmentisnotobligatedtofundanyspecificPhaseIIproposal.Inordertofairlyhandletheproblemofchoosingbetweenproposalsofapproximatelyequalmerit,wherethefundsavailabletoagenciesdonotpermitfundingallproposals,theSmallBusinessInnovationDevelopmentActmandatesthatcommitmentsforfollow-onfundingfromnon-federalsourcesbegivenspecialconsideration.Formally,SBIRprogramshaveathirdphase.Whereappropriate,PhaseIIIisconductedbythesmallbusiness(includingjointventuresorR&Dpartnerships)topursuecommercialapplicationsoftheR&DconductedinPhasesIand11.Non-federalfunds,includingthoseobtainedthroughexercisingthefollow-onfundingcommitment,supportPhaseIII.PhaseIIImayalsobesupportedbynon-SBIRfundedR&DorproductioncontractswithafederalagencyforproductsorprocessesintendedforusebytheUnitedStatesGovernment.SmallU.S.businessesareeligibletoparticipateintheSBIRprogramiftheyareforprofitandhave500orfeweremployees.Thisincludessoleproprietorships,partnerships,jointventures,associationsorcooperatives.Nonprofitorganizationsarenoteligible.Theprimaryemploymentoftheprincipalinvestigatormustbewiththesmallbusiness.Heorshemustspendmorethanone-halfofhisorhertimeemployedbythesmallbusinessatthetimeofawardandduringtheconductoftheeffort.DuringPhaseI,aminimumoftwo-thirdsoftheresearc