What are the 3 phases of SBIR/STTR?

Phase I

SBIR/STTR Phase I aims to determine the technical feasibility, commercial potential, and performance quality of the small business awardee's proposed R&D efforts. The program typically awards $50,000 - $250,000 for 6 months (SBIR) or 1 year (STTR). The objective of Phase I is to evaluate the small business's capability before providing further federal support in Phase II.

Phase II

During Phase II of SBIR/STTR, R&D efforts initiated in Phase I continue. Eligibility for funding is based on Phase I results and proposed project merit. Only Phase I awardees are eligible for Phase II awards, which are typically $750,000 for 2 years.

Phase III

Phase III aims for small businesses to pursue commercialization objectives resulting from Phase I/II R&D activities. The SBIR/STTR programs do not fund Phase III. In some Federal agencies, Phase III may involve follow-on non-SBIR/STTR funded R&D or production contracts for products, processes, or services for use by the U.S. Government.