In the early to mid-1990s, more businesses in Rhode Island were applying for – and receiving – federal Small Business Innovation Research grants than are doing so today. There doesn’t seem to be a specific reason why, though some suggest that the federal program simply hasn’t received much publicity in recent years.
The SBIR grant application can be intimidating – particularly to a small business with limited time and resources.
But SBIR grants can also be quite lucrative.
And the folks at Rhode Island Manufacturing Extension Services (RIMES) are willing – and anxious – to help.
“It’s not as giant a step as a company may think,” said John C. Cronin, executive director of RIMES.
Bob Lobecker, RIMES’ supply chain development manager, estimates that a well-done SBIR application would take a company between 80 and 120 hours to complete. The prospect of such a commitment is, understandably, a turnoff.
But RIMES and the consultants who work there can do much of the paperwork.
“We like to get people past the introduction … that’s where it can be intimidating,” he said.
Enacted by Congress, the SBIR program consists of 10 government agencies, such as the Department of Defense, the National Science Federation, and Health and Human Services. Several times each year, those agencies put out grant proposals. In essence, it’s the federal government’s way of reaching out for help from the private sector.
Perhaps the Defense Department is looking for a new type of fabric to better combat the latest terrorist threat to our soldiers. Or maybe troops holed up in the desert for months at a time need something to boost morale. Maybe the NSF is looking for a way to keep something cool in the hottest of temperatures.
The fact is, each year federal agencies pose hundreds of questions. Questions to which Rhode Island companies may very well have answers.
Both Cronin and Lobecker make a good point. It is critical that a company understands what it is truly capable of accomplishing. Sometimes, said Lobecker, a company needs to “turn itself inside out” to know what it can do.
Cronin thinks that, just maybe, companies sell themselves short. They certainly don’t see government work as a viable alternative as much as they should, he said.
“A lot of companies do not see themselves as being able to use their capabilities to solve a government problem,” said Cronin. “They’re too humble.”
Well, this is no time to be humble. And there is no reason why – per capita – Rhode Island businesses shouldn’t be receiving SBIR grants as often as other New England companies. A Phase I SBIR grant is much like a feasibility study. The government will pay up to $75,000 for a company to complete one.
A Phase II SBIR grant requires more work and a demonstration of the potential commercialization of a product. But it can net a company up to $750,000.
The bottom line is this: The government is looking for new ideas and is willing to pay good money for them.
You may not have realized that your company is capable of supplying those ideas. So keep your eyes on the SBIR grant program. Requests from different federal agencies come out frequently throughout the year. Lobecker suggests tracking them on the Web. Several sites list them, though his favorite is federaldollars.com.
And don’t hesitate to call Cronin and Lobecker at RIMES at 294-3535. They’re ready to help walk you through the complicated, but potentially lucrative process.
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