SBIR and STTR are the closest thing in federal contracting to research funding that does not cost you equity or your intellectual property. For a company with genuine technical capability and no defense revenue, a Phase I award is often a more realistic entry than a competed contract — you are judged on the idea and the plan rather than on past performance you do not yet have.
GERC develops the proposal. Your engineers and scientists supply the technical substance; we handle topic fit, structure, compliance, the commercialization plan and the writing.
Call (909) 454-7076, book a consultation, or use our contact form.
Where the programs stand in 2026
Authorization for SBIR and STTR expired on September 30, 2025 and the programs went dark for roughly six months. Reauthorization was signed on April 13, 2026 and extends both through September 30, 2031.
Three changes from that reauthorization affect how you should approach a proposal:
- Foreign affiliation screening. Agencies must now examine applicants and key personnel for affiliations, investments, licensing arrangements and business relationships involving countries of concern, and exclude entities on specified federal watch lists.
- Strategic Breakthrough Awards. A new Phase II category with awards up to $30 million at agencies spending over $100 million a year on SBIR, requiring prior phase experience and a 100% funding match. For DoD, the technology must carry a program acquisition executive’s commitment, address a high-priority operational need, and draw at least 20% of matching funds from new DoD sources outside SBIR and STTR.
- Proposal limits from FY2027. Agencies will set their own caps on how many proposals a single company may submit, a direct response to firms that accumulated disproportionate award volume.
What we do
Topic fit assessment
The most common reason a proposal fails is that it should not have been submitted to that topic. We read the solicitation topic against what you actually build and tell you whether the fit is real, marginal or absent — before you spend three weeks writing.
Phase I proposal development
Technical volume structure, objectives and work plan, personnel and facilities, and the narrative discipline these proposals reward: specific, testable and honest about risk. Reviewers read a great many of these, and vagueness reads as absence of substance.
Phase II and commercialization
Phase II turns on whether anyone will use the thing after the government stops paying for it. That means a commercialization plan with an identified transition path, a customer or program office that wants it, and a credible account of the market — which is ordinary market research work, and something we do outside SBIR as well.
Resubmission after a loss
Most awarded proposals are not first attempts. Reviewer comments, read carefully and acted on, are the most valuable input available for the next cycle. We rework rather than repackage.
Whether this fits your company
SBIR suits a small business with a specific technical capability, a plausible path from research to a fielded product, and the appetite to write seriously about both. It does not suit a company looking for general operating funding, and it is not a fast source of cash — the cycle from solicitation to award is measured in months.
If you are not sure which side of that line you are on, that is a fifteen-minute conversation and we will give you a direct answer. If SBIR is not the fit, competed solicitations or subcontracting may be.
Common questions
Is SBIR still running after the lapse?
Yes. Authorization expired on September 30, 2025 and the programs lapsed for roughly six months. Reauthorization was signed on April 13, 2026 and runs through September 30, 2031. That is the longest runway the programs have had in years, and it is a reasonable basis for building a multi-year strategy rather than chasing one solicitation.
What is the difference between SBIR and STTR?
Both fund early-stage research and development at small businesses. STTR requires formal collaboration with a research institution, with a required split of the work between the company and the partner. If you already work with a university lab, STTR may fit better; if the capability is entirely in-house, SBIR usually does.
Do we give up our intellectual property?
No. Retaining data rights in the resulting technology is a core feature of the programs, which is much of why they are attractive compared with ordinary contract research. The specific rights and their duration are governed by the terms of your award, and that is worth reading carefully rather than assuming.
What are the new foreign affiliation rules?
The 2026 reauthorization requires agencies to screen applicants and key personnel for foreign affiliations, investment ties, licensing arrangements and other business relationships with countries of concern, and excludes entities on specified federal watch lists. If your company has foreign investors, foreign-national key personnel or overseas partnerships, that needs to be worked out before you apply, not after.
What is a Strategic Breakthrough Award?
A new Phase II category created in the 2026 reauthorization, with awards up to $30 million at agencies spending more than $100 million annually on SBIR. It requires prior Phase I or Phase II experience and matching funds equal to 100% of the award. For DoD specifically, the technology must be mature enough to carry a commitment from a program acquisition executive, address a high-priority operational need, and draw at least 20% of the matching funds from new DoD sources outside SBIR and STTR.
Will there be limits on how many proposals we can submit?
Yes, beginning in fiscal year 2027. Agencies will set their own limits per company, solicitation or topic, aimed at firms that have won disproportionate numbers of awards. If your strategy assumed high-volume submission, it needs revisiting.
Can you write the proposal without a technical background in our field?
We structure, write and make the proposal compliant and persuasive; your technical staff supply the substance. In practice the technical content is rarely the reason a proposal fails. Topic misfit, a weak commercialization plan and non-responsive structure are.
Start before the solicitation opens
The companies that win are usually the ones who identified the topic area early and had the technical narrative largely worked out before the window opened. If you are looking at a cycle six months out, that is the right time to talk.
Call (909) 454-7076, book a consultation, or use our contact form.
GERC is a woman-led advisory firm led by Dr. Shirley Ayangbah, a PhD legal economist with more than 14 years of experience. Based in downtown San Bernardino, delivering nationwide. CAGE code 11SD2, registered and active in SAM.gov, certified California Small Business (Micro) and for Public Works.
GERC provides consulting, research, administrative, proposal, procurement and organizational support services. GERC is not a law firm, an accredited CMMC Third-Party Assessment Organization (C3PAO), or a provider of legal or tax advice. Where a matter requires an attorney, CPA or accredited assessor, we say so and work alongside the professional you choose.