SBA Handbook for SBIR Proposal Preparation
Chapter II - Getting Started
A. Understanding What The Federal Agencies Want
In the SBIR program, agencies solicit proposals to meet their own R&D needs. You can only submit a proposal in response to a topic presented in an agency SBIR solicitation. Your chances of obtaining federal R&D funding are greater if you submit your proposal to those agencies whose R&D needs are most compatible with your particular project and the expertise and experience of your R&D team.
1. Agency R&D Interests
SBIR solicitations involve a tremendous variety of technical areas. Many agencies also have an interest in the same technology.
Because SBIR programs cover such a large range of technologies, we recommend that companies look first to their own expertise and business plans (as described in Chapter I). That is, first decide what type of technical effort will product results which contribute to the growth of your business. Then find an agency solicitation topic which is consistent with the technology you want to develop.
Some agencies focus on solving specific, targeted problems (which may include product development) and their R&D is conducted with direct practical applications in mind. Other agencies focus on advancing generic scientific and engineering disciplines. As a rule of thumb, agencies with distinct missions (defense, transportation, education, etc.) will predominantly offer solutions to problems or ways of exploiting opportunities; agencies with missions to support generic science and technology (e.g. the National Science Foundation, National Institutes of Health, etc.) will predominately offer solicitation topics focused towards solving problems which will enhance knowledge in that area.
This distinction is important for understanding the way in which the agencies look for originality and innovativeness in SBIR proposals. The problem-solving R&D agencies tend to emphasize originality and innovativeness in the approach to solving a problem; the more research oriented agencies tend to emphasize originality and innovativeness in the contribution to the scientific/technical discipline.
Nearly all solicitation topics can be divided into one of the following three categories:
produce a product with performance characteristics described in the topic statement;
solve or contribute to the solution of a particular problem important to the agency's mission;
perform research in a technical area, the advancement of which would have implications for the agency's future needs.
Note that in the latter two categories, it is up to the proposing firm to suggest what form the product of the R&D effort will take. There have been nearly an equal number of both topics and awards in each of these three categories.
Whatever the character of the solicitation topic, it is important to remember that agency R&D programs focus on agency needs. You should provide the agency with information on how your proposal will meet its needs as well as simultaneously lay the groundwork for a commercially viable innovation.
The important point is to learn as much as possible about agency expectations in your area of interest. The solicitation is the obvious starting point.
2. Obtaining Information
The most important document you will receive from an SBIR participating federal agency is the solicitation. It outlines the rules for submission in each agency.
Among the features you should focus on are the topics on which proposals may be submitted, eligibility criteria for awards, information to be included in proposals, evaluation criteria, procedural criteria (such as length limits on proposals, schedules for submission, evaluation, awards), and budgetary guidelines (such as total funding, limits, number of proposals funded, and whether profit is allowed).
These solicitations also contain general information about the agency's program. Generally, you obtain solicitations by contacting the SBIR program office at each agency.
The Small Business Administration updates quarterly the Pre-Solicitation Announcement (PSA) which provides summary information on solicitation topics by agency.
(Note: the SBA BBS (Bulletin Board Service) mentioned in this publication has been terminated.)
The PSA is displayed on the SBA ONLINE Bulletin Board prior to the release date of agency solicitations and provide brief statements of each agency's research topics, opening and closing dates of agency solicitations, who to contact for a copy of specific solicitations, and estimates of the number of awards to be made under each solicitation. The Pre-Solicitation Announcement alleviates the need for small firms to track the specific activities of all agencies by presenting relevant summary information on all agencies in one concise location. After reading through the PSA, you will have an idea of which agencies are offering topics in your area. You can then review the solicitation announcements from the relevant agencies and pinpoint the exact topics that most closely pertain to your dominant fields of expertise. The SBA SBIR Pre-Solicitation Announcement can only be accessed electronically. To access the SBA ONLINE Bulletin Board, dial: (800) 697-4636. To access this information via INTERNET, the INTERNET address is: Telnet SBAONLINE.SBA.GOV
Once connected to the bulletin board, the SBIR/STTR program areas can be accessed from the main menu by selecting "(5) Quick Search". From the QuickbSearch menu, the user selects item "(1) Search by Topic Menu". The user then selects item "Government Contracting Opportunities", then select "SBIR" or "STTR". There are many other sources of information about federal R&D, the agencies, and the SBIR program:
The NSF Small Business Guide to Federal R&D Funding Opportunities is an excellent starting place for assessing agency R&D interests. In addition to SBIR programs, this catalogue includes information on all major federal R&D programs, including the names, addresses, and phone numbers of contact people. Copies of the Guide may be obtained from the Superintendent of Documents, U.S. Government Printing Office, Washington D.C. (202) 402-9325.
Every participating federal agency has an Office of Small and Disadvantaged Business Utilization which has material and information available for distribution. These offices can also direct you to the appropriate R&D program manager. Promoting a substantive body of R&D is a primary objective of an R&D agency. Agency R&D program managers, generally scientists and engineers, are the best sources of information about an agency's interest in particular technical areas. Because of the competitive nature of the SBIR program, they cannot answer questions about how to respond to specific SBIR solicitation topics. They can, however, describe general R&D needs of the agency and perhaps suggest other funding programs where your expertise might be applicable. As discussed in Chapter I, it is in your interest to identify these contacts within the agencies and make them a part of your information network.
Every participating federal agency has established an SBIR office which coordinates and oversees the SBIR program. The SBIR program managers are always willing to talk to firms about the program and will answer any general questions. SBIR program managers try to provide as much information as possible without telling you what to do or giving one firm more information than another. In general, it is a good idea to read through the agency's solicitation carefully before contacting the SBIR program manager with questions; more often than not your answer will be found there. Some agency SBIR offices also publish SBIR winners lists and provide titles and abstracts for winning projects.
SBIR abstracts are also available through an online service of the National Technical Information Service: the federal Research in Progress (FEDRIP) Database. This database is accessible through DIALOG, a large, private information service. To obtain a free copy of the FEDRIP Search Guide, call (703) 487-4650 and request PR 847. For information on DIALOG, or to set up an account, call (800) 334-2564.
