Tips for Accessing the Department of Defense (DoD) Funding

• Nearly half of all federal SBIR/STTR funds are administered by the DoD to small businesses developing technologies that advance U.S. defense capabilities and national security 
• All DoD awards are issued as contracts, requiring specific deliverables and milestones tied to defined government needs 
• DoD topics are released monthly, creating continuous opportunities for innovators to align with agency priorities 
• Successful proposals highlight technical merit, commercialization potential, and strong alignment with topic requirements 
• Maintainenance of required registrations, early preparation, and strict adherence to component-specific instructions are critical for success
• Early preparation is essential – begin SAM.gov registration promptly and adhere to component-specific instructions
• Monitor pre-release updates and engage early with TPOCs to confirm topic fit
• Build a strong team emphasizing both technical and commercialization expertise

The DoD SBIR/STTR program is designed to fund cutting-edge technologies that address defense-related challenges while advancing small business innovation. Established by Congress, the SBIR program began in 1982 and the STTR program in 1992, both with the goal of supporting technological innovation originating from small businesses.  

Among the 11 federal agencies participating in the SBIR/STTR programs, the DoD maintains the largest annual budget, totaling approximately $2.3 billion, with Phase I awards ranging from $75,000 to $250,000 and Phase II awards from $1 million to $2 million. 

DoD awards are issued using a contract funding mechanism rather than a grant or cooperative agreement, meaning applicants must address specific solicited DoD needs and meet defined milestones. The DoD does not accept unsolicited proposals, and each topic represents a concrete defense need.

Applicants must meet specific eligibility and registration criteria to apply for DoD SBIR/STTR funding. Eligible small businesses must meet the following criteria:

1. Be organized for profit with a place of business located in the US, and all R/R&D conducted domestically.
2. Be more than 50% owned and controlled by US citizens or permanent resident aliens, or by qualifying small business concerns.
3. Employ no more than 500 people, including affiliates.
4. For SBIR, the small business must perform at least two-thirds of the research in Phase I and one-half in Phase II.
5. For STTR, the small business must perform at least 40% of the R&D, with a partnering research institution performing at least 30%.

Required registrations include: 

1. SAM.gov (System for Award Management) – must select both “contracts” and “grants” during setup. Dr. McLaughlin emphasizes starting the SAM.gov registration early, as new registrations can take six to eight weeks to activate.
2. Sbir.gov (Small Business Administration) – typically completed in ~10 minutes.
3. Defense SBIR/STTR Innovation Portal (DSIP) – used to submit applications and find solicitations.

DoD SBIR/STTR topics are published monthly on DSIP, accompanied by component-specific instructions. Applicants can:

1. Search by keywords (i.e., artificial intelligence, machine learning, cybersecurity, biomedical, etc.)
2. Review pre-release periods to contact technical points of contact (TPOC) before the solicitation opens.
3. Submit questions during the open period through DSIP’s public Q&A forum.

Each solicitation includes:

1. Pre-release date: Topics announced, and direct contact with TPOCs allowed. (~3 weeks)
2. Open date: Application accepted; no direct contact with TPOCs allowed. ( ~4 weeks)
3. Close date: Final submission deadline.

Applicants should carefully review component-specific instructions (e.g., Army, Navy, DARPA), as requirements and allowable documents (such as letters of support and cost information) vary.

DoD proposals are divided into multiple volumes:

1. Volume 1: Proposal Cover Sheet – Includes a brief technical abstract and an anticipated benefits and potential commercial applications discussion
2. Volume 2: Technical Volume – Includes background, preliminary data, and technical plan
3. Volume 3: Cost Volume – Includes detailed justification of all project expenses
4. Volume 4: Company Commercialization Report (CCR)
5. Volume 5: Supporting Documents
6. Volume 6: Fraud, Waste, and Abuse Training
7. Volume 7: Disclosures of Foreign Affiliations or Relationships to Foreign Countries

Proposals are evaluated on three key criteria:

1. Technical merit, innovation, and alignment with the solicitation topic
2. Qualifications of the project team, including technical and commercialization expertise
3. Commercialization potential for both government and private-sector markets

Following selection, applicants enter a pre-award negotiation phase (4–6 weeks) requiring:

1. Active SAM registration and verified UEI/CAGE codes
2. A compliant accounting partner with cost documentation and duties outlined
3. Foreign citizen documentation (visa, country of origin, and project involvement)
4. Security compliance with NIST SP 800-171 for controlled unclassified information

Beyond traditional SBIR/STTR opportunities, the DoD offers a number of funding mechanisms for innovative projects. Some of these include:

Commercial Solutions Opening (CSO)

The CSO supports dual-use technologies with defense and non-defense applications for the Air Force and Space Force. Applicants identify an Air Force customer and end user during Phase I, leading to potential Phase II contracts up to $1.25 million (SBIR) or $1.8 million (STTR).

Congressionally Directed Medical Research Programs (CDMRP)

The CDMRP programs fund 35 disease-focused programs with an annual budget of $1.5 billion. Each program requires a pre-proposal or letter of intent before full submission, with applications routed through the Electronic Biomedical Research Application Portal (eBRAP) and Grants.gov.

Defense Advanced Research Projects Agency (DARPA)

The DARPA issues Broad Agency Announcements (BAAs) and research solicitations targeting transformational technologies related to interests in their six technical offices, such as biological technologies, defense sciences, information innovation, microsystems technology, strategic technology, and tactical technology.

U.S. Army Medical Research and Development Command (USAMRDC) Open BAA

The USAMRDC supports biomedical research addressing medical challenges of importance to U.S. service members both domestically and abroad, as well as to the public at large. Research areas include infectious diseases, combat casualty care, and operational medicine, with no specified funding limitations. Proposals undergo a rigorous two-step review process requiring a pre-application (submitted via eBRAP) followed by an invited full proposal (submitted via Grants.gov).

U.S. Special Operations Command (USSOCOM) Open BAA

The USSOCOM funds biomedical and human performance research specific to Special Operations Forces, focusing on technologies applicable in austere or deployed environments. Research must align with USSOCOM’s 12 defined research areas of interest. Projects typically range from $2 million to $5 million, with pre-application and full proposal submissions following the eBRAP and Grants.gov process.

Army xTech Program

Army xTech hosts prize-based innovation competitions with SBIR contract follow-up opportunities. xTech Ignite is the current competition, offering $27 million in SBIR contracts and $400,000 in cash prizes.

Dr. McLaughlin highlights key venues for connecting with DoD stakeholders and identifying potential collaborators:

• TechConnect World Innovation Conference and Military Health System Research Symposium (MHSRS) – two different major forums for networking with program officers, DoD customers, and fellow innovators.
• DARPA Connect – web-based community outreach program offering educational events and workshops.
• EGC’s SBIRLand – centralized resource hub for SBIR/STTR solicitations, proposal tips, and expert support.

Applicants are encouraged to join agency listservs, monitor monthly topic releases, and contact TPOCs during pre-release periods.