1. WHAT IS THE STTR PROGRAM? The STTR (Small Business Technology Transfer) program was mandated by Congress to provide research and development support to small technology-focused businesses in partnership with research institutions to stimulate the conversion of prototype technologies into commercial products.
2. WHO IS ELIGIBLE FOR THE STTR PROGRAM? American owned, American based independently owned companies with fewer than 500 employees. The company must be for profit with the principal researcher employed by the company.
3. ARE FOREIGN COMPANIES ELIGIBLE FOR THE PROGRAM? The company must have its principal place of business located in the United States and at least 51% owned or in the case of a publicly owned business, at least 51% of its voting stock is owned by United States citizens or lawfully admitted permanent resident aliens.
4. WHAT KIND OF TECHNOLOGY IS THE MISSILE DEFENSE AGENCY SEEKING? The Missile Defense Agency seeks technical assistance in over 90 topics areas that including but not limited to Lasers, Optics, Sensors, Innovative Software, Operating Systems, Materials, Composites and missile launch systems.
5. HOW DOES MDA DETERMINE TOPICS? The Missile Defense Agency's working group monitors and assess MDA technical needs. Topics are suggested, reviewed and approved for those areas where technical assistance is desired by MDA.
6. DO YOU ACCEPT UNSOLICITED PROPOSALS? Proposals are accepted only during the solicitation periods. MDA follows the Department of Defense solicitation schedule which can be found on the DoD SBIR/STTR website. During a Phase I solicitation period, all firms that meet eligibility requirements may submit a proposal. Only the topics listed in the solicitation are eligible for review, selection and acceptance. After the close of a Phase I solicitation period, no new proposals will be accepted. For Phase II, only firms directly invited by a DoD agency may submit and they must submit by the deadline indicated in the invitation.
7. HOW DOES THE PROGRAM WORK? During Phase I, the awarded small business tests the scientific, technical, and commercial merit and feasibility of the proposed technology. During Phase II, the awarded small business strives to develop the proposed technology into a prototype. Phase III is essentially a post-SBIR period, during which the small business is expected to seek avenues for commercialization of the developed prototype.
8. CAN I SKIP PHASE I AND SUBMIT A PHASE II PROPOSAL? No.
9. CAN A PORTION OF THE WORK BE SUBCONTRACTED? Yes. Either party may subcontract or they may jointly fund a subcontractor. Each proposer must qualify as a small business for research or research and development purposes as defined in Section 2.3 and certify to this on the Cover Sheet of the proposal. In addition, a minimum of 40 percent of each STTR project must be carried out by the small business concern and a minimum of 30 percent of the effort performed by the research institution, as defined in Section 2.4. The percent of work is usually measured by both direct and indirect costs, although proposers planning to subcontract a significant fraction of their work should verify how it will be measured with their DoD contracting officer during contract negotiations. The principal investigator must be primarily employed with the small business firm or the research institution. DoD's solicitation guidelines cover the requirements and regulations in detail.
10. CAN A SMALL BUSINESS PARTICIPATE IN BOTH STTR AND SBIR SIMULTANEOUSLY AT THE SAME OR DIFFERENT AGENCIES? Yes, but they may not perform the same or similar work multiple contracts or grants. Collecting duplicate funds for a single proposal idea under two programs is fraud.
11. MUST A SUCCESSFUL PHASE I SMALL BUSINESS CONCERN USE THE SAME NON PROFIT RESEARCH INSTITUTION IN PHASE II? No. The small business concern can change research institutions for Phase II.
12. WHAT IS THE PERCENTAGE OF BREAKOUT OF WORK FOR SMALL BUSINESSES AND INSTITUTIONS? Small businesses must perform at least 40% and research institutions must perform at least 30% of the work.
13. DO YOU ACCEPT PROPOSALS AT ANY TIME? Proposals are accepted only during the solicitation periods. MDA follows the Department of Defense solicitation schedule which can be found on the DoD SBIR/STTR website.
14. HOW DO I GET STARTED? Visit the STTR Process page for instructions.

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