What Is STTR (Small Business Technology Transfer)?
STTR (Small Business Technology Transfer) works like SBIR, but you must team up with a research institution, such as a university.
STTR (Small Business Technology Transfer) in plain English
Your business must do at least 40% of the work, and the research institution at least 30%. The partner can be a university, a nonprofit research institution or a federally funded R&D center. In SBIR, a research partner is optional.
The principal investigator, who leads the project, can be employed by your business or by the partner. In SBIR, the principal investigator must be primarily employed by your business.
Six agencies run STTR, according to SBIR.gov: Defense, Health and Human Services, Energy, NASA, the National Science Foundation and Agriculture. The other five SBIR agencies don't. STTR is the smaller program: about 17% of awards from 2023 to 2025 were STTR, in FedReady's analysis of SBIR.gov data.
Related terms
- SBIR (Small Business Innovation Research): SBIR (Small Business Innovation Research) is a federal program that pays small businesses to do research and development. The awards aren't loans.
- SBIR and STTR phases (Phase I, II and III): Phase I tests whether an idea is feasible, Phase II funds the full R&D, and Phase III is commercialization paid for with non-SBIR money.
- Affiliation: Affiliation means SBA adds another company's size to yours because one of you controls or can control the other, or a third party controls both.
- BAA (broad agency announcement): A broad agency announcement (BAA) is an open call where an agency asks for research ideas and proposals in broad topic areas, not for one specific product.
Put it to work
- SBIR and STTR: a small business guide
- SBIR and STTR awards and topics by agency
- SBIR.gov: which agencies run SBIR and STTR
Looking for another term? Browse the full glossary or the government contracting glossary guide.