'Tis the season to reflect back on successes and lessons learned over the last year. It's also time to prepare for a new year of challenges and opportunities to excel. The Georgia SBIR Assistance Program would like to direct a little attention to some of the services and organizations that have supported our commercialization efforts during the last year. Our clients have benefitted from our knowledge and/or relationships with these resources. So thank you for your support of our program and the development of Georgia's small technology businesses in 2008 and beyond.
As we continue to add more services and support more Georgia companies, I am sure we will be using these service providers again and exanding our capabilities through new partnerships. Looking forward to a great 2009!
The biggest news at the Warner Robins Air Force Requirements
Symposium last week was the announcement of an Open Call for Whitepapers from the
Air Logistics Center.These whitepapers
will be reviewed by multiple program offices, including the SBIR Program
Manager at Robins AFB, to determine the best match of the technology to a
program based on need and maturity.Topics are requested in the following areas:
1-Bonded Repair
Technology
2-Non
Destructive Inspections (NDI)
3-Gaining Energy
Independence and Security at Robins AFB
5-Application of Prognostic Health Management in
Digital Electronic Systems
6-High-intensity
Discharge (HID) Technology for Landing and Taxi Lights for the F-15
7-Advanced Power Technology Office (APTO)
Details regarding each of these topic areas and the
whitepaper template (2 pages max!) are available on the Warner Robins Chamber
of Commerce website (http://www.wrcoc-aic.org/reg1.asp)
.Whitepapers are due on January 16,
2009.Please visit the WR CoC website
or ask Kyle Snyder (kyle.snyder@innovate.gatech.edu) in the Georgia SBIR Assistance Program for
further assistance.
Funding to start a good idea
is always tough to find.As the pace of the
economy slows while searching for the metabolism that drove it a decade ago,
one thing is certain- competition for funding will increase.Angel investors, VCs, foundations, and
federal agencies with early-stage funding available are increasing their scrutiny
for investment.Does that mean new ideas
should be put on hold waiting for potential future streams of funds that are “easier”
to obtain? NO! Either the competition will take advantage now, or will also receive the "easier" funding. Neither of those is acceptable. We need good ideas and innovative technologies today!
With
multiple SBIR solicitations open and new topics coming soon, including NSF,
NIH, NOAA, Dept of Education, and DoD, proposal deadlines mean SBIR program
managers at the agencies are expecting significant increases in numbers of
proposals to review.Although this is an
additional burden on reviewers, this competition
is good for everybody.
· Technologies proposed in economic conditions
like this are often more practical, providing more value to users and revenues
to innovators.
· Companies are forced to write stronger
proposals.The justification for the
technology must be acutely tuned.The
technology description is precise and application relevancy clear.Development plans are well prepared, detailed,
and within scope. Teams are well balanced and assembled to achieve
commercialization success.
· The goal of commercialization becomes even more
important.SBIR agencies need to see
their investments in high-risk efforts turn into products.Companies must use seed funds to prepare for
future growth and stability by turning research projects into commercial,
long-term products and contracts.So potential
markets are analyzed, plans are prepared, and commercialization strategies are
presented succinctly in SBIR proposals.
Competition
is essential and unavoidable in the business environment; it makes companies stronger
and products better.The Georgia SBIR
Assistance Program is here to help Georgia companies prepare for this
competitive environment.We aim to
provide our clients with an unfair advantage in SBIR strategy development, proposal
preparation, project planning, and commercialization assistance.Let us
know how we can help you…
It is always good to see a plan execute as
designed. Over the last year, the
Georgia SBIR Assistance Program has been working with American MagLev Technologies
(AMT) in Marietta, Georgia. AMT was
just wrapping up a Phase I STTR with the Navy when we approached them offering
assistance. AMT had successfully
developed detailed conceptual models of a unique, passive eddy current brake
for catapults on Navy aircraft carriers during the Phase I effort. This braking system would completely replace
the current water-based braking technology and seamlessly fit into the existing
allocated brake spaces. GA SBIR came in
offering assistance in reviewing the Phase II proposal, providing additional
commercialization strategy materials, and providing an introduction to the
Georgia Tech Laboratory for Extreme Tribology for possible partnership. After several meetings, multiple iterations
on the proposal, and time for the Navy to review, AMT just announced that they are
under contract to continue this effort in a Phase II STTR with the Navy. The AMT-GT team will study the tribological
effects associated with the eddy brake, generating new computer models to
illustrate the friction, lubrication and wear issues associated with the
interacting surfaces. Collectively, AMT,
Georgia Tech and CSA Engineering will perform a detailed peer review and an
array of subscale model validation tests, demonstrating the thermal and
mechanical environments of the brake during the launch and recoil strokes, as
well as assessing the overall reliability of the braking system over multiple
launches that are, and are not, within the given maximum end speed
scenarios. The Phase II effort will run
through the spring of 2010, at which time AMT expects to have successfully
completed all the relevant modeling and preparation for building a full-scale
prototype of its proprietary braking system for demonstration at the Navy’s
research facilities in Lakehurst, NJ.
Although not
yet a commercial success, this case is a model example of the types of projects
that GA SBIR seeks to support. The Navy
SBIR/STTR Program is committed to transitioning the successful technologies
from the program into operational systems. We are confident that AMT will be prepared for a Phase IIB, Phase II
Enhancement, or Commercialization Program at the conclusion of Phase II. Due to the success of the catapult eddy brake
Phase I project, they have also recently been awarded a Phase I from the Navy
to develop a magnetic tailhook concept. AMT
will create a preliminary design of a new tailhook that uses superconducting magnets,
which interact with the steel flight deck on a carrier to produce eddy currents.
The currents naturally drag the aircraft along the flight deck to bring it to a
halt in a shorter distance, thereby increasing the safety of landing aircraft.
By design, the magnetic tailhook will have fewer moving parts, resulting in a
greater cost savings with fewer maintenance expenses on board.
Georgia SBIR
Assistance will continue to work with AMT to review their product development
and launch strategies as they explore partnerships with aircraft carrier system
integration contractors. We will also
begin analyzing potential markets or applications for transition to civilian
markets. Congratulations to AMT! If
this is the kind of support that you are looking for and the kinds of success
that you expect from the SBIR program, please contact the GA SBIR Assistance Program. If you
want to learn more about American Maglev Technologies, their Navy STTR
projects, or how we worked with them, visit www.american-maglev.com, or contact
AMT at 770.428.8792.
Besides reviewing proposals for specific SBIR
topics, the Georgia SBIR Assistance Program is also willing to review potential
SBIR project ideas generated by small businesses.
With so many agencies providing SBIR/STTR
opportunities, we can help match your ideas to the appropriate agency. Many of the program managers are open to
discussing potential projects even before topic lists are published. A 2-page maximum Executive Summary can go a
long way to finding some initial interest and determining if SBIR is right for
you. Let us help you find that interest
and save your precious proposal writing time for the opportunities with the
best chance of success.
With the DoD 2008.3 proposal deadline fast approaching (Sept
24), NASA and USDA proposals due this Thursday (Sept 4), and the
be-here-before-you-know-it December deadlines for NIH and NSF, I thought now
would be a good chance to reflect on what makes a good SBIR project and what a
small business can do to about it. Clearly with the DoD and NASA topics that are mission driven, the
project ideas come from program requirements and larger master plans. NIH, NSF, Dept. of Energy and the more
public-centered agencies provide more flexibility and broader scopes to define
each SBIR project. Regardless of which
agency a proposal is for, the case for significance of the opportunity (aka “What
problem/need/requirement are you addressing?”) and what is the market potential
(including size, value, competition, buyer profile) must be considered during proposal
preparation.
Reviewers will be evaluating for INNOVATION, not
evolution. Repackaging existing
technologies, integrating off-the-shelf components, or resuscitating previous
technologies that never caught on are probably not going to get very far. Program managers, reviewers, end-customers-
they all want new, novel, unique approaches to solving daily problems faced at
home, in the office, on the battlefield, or anywhere in between. (*Notice, I did not say that they are looking
for complexity, that is up to you and
your technology.*) Successful SBIR
technologies were usually considered highly risky when first awarded. By the end of Phase II, approximately 3 years
after initial award, the technology is matured to a point that potential
customers can see the value, development partners see the potential, and/or
investors are ready to join.
Whether you are a brand new company looking for initial
funding sources or you have an established organization and are considering
alternative sources of funding, keep in mind that a strong business development
strategy can be as diverse as your investment portfolio. In today’s world of technology start-ups and
entrepreneurship, a business plan is a living document that is molded through
peer reviews, investor reviews, consultants, false starts, hard knocks, and
maybe even a class or two. Regardless of how it started or how it
currently looks, the business development section of the plan should reflect the
planned activities for raising revenue for the company. SBIR/STTRs may not provide a lot of profit,
but they can be an important piece of a revenue plan for a small technology
company. SBIR is still “free money” in
the sense that a business owner does not have to give away shares of ownership
or equity in the company. However, an
SBIR proposal is not a 3-5 page cut-and-dry proposal to a customer offering a
product/service for $XX,000 to be delivered on a given date. SBIR proposals, rather, typically require a
minimum of 80 hours of preparation in addition to time required to research a
market and the target agency expectations; this is time that is at the expense
of the company. SBIR and STTR projects
are research and development funds (grants and contracts) dedicated to proving
the feasibility and potential of high-risk, innovative technologies. At the end of Phase II of an SBIR project,
the corporate business plan should include activities dedicated to commercializing
the technology (i.e. transitioning to the warfighter or selling to the public). Partnerships with prime contractors,
licensing agreements with distributors, presentations to VCs, economic
development grants- they are all valid approaches for bridging the gap to
commercialization of a new technology.
There is no single-solution for raising revenues that fits
every small company. SBIRs can be a
terrific start or can complement a more aggressive strategy. Either way, when developing a business plan
or preparing an SBIR proposal, the overall strategy of the company and how the
SBIR project fits in that strategy must be evident. The federal SBIR/STTR program was designed to
help small technology companies develop innovative technologies and grow their business
from that initial research. The end goal
is an operational product that meets a market need and a company that has the
ability to provide that product. Let us
know how we can help your company make SBIR part of your business development
plan…
It’s not an SBIR program, but SBIR companies might be interested…
ASTRA is delighted to report that the National Institute of Standards and Technology (NIST) is seeking proposals for high-risk research projects to develop innovative technologies forinspecting, monitoring and evaluating critical components of the nation’s roadways, bridges, and drinking and wastewater systems. The competition for cost-shared research and development (R&D) support released today is the first to be announced by NIST’s newly established Technology Innovation Program(TIP).
NIST announced yesterday that, based on FY 2008 funds, it expects to award approximately $9 million in first-year funding for R&D projects. The focus of the awards will be "new, efficient, accurate, low-cost and reliable sensors and related technologies that provide quantitative assessments of the structural integrity or degree of deterioration of bridges, roads, water mains and wastewater collection systems."
“What I am supposed to put in this commercialization section?” for this SBIR proposal. Have you asked yourself this question while writing your proposals? Have you asked the Georgia SBIR Assistance Program this question as you are preparing your proposal? Have you tried to search the web to find an answer, only to generate more questions and still would what direction you should pursue? Hopefully I can give a little help and provide some useful context to help answer that question.
Like all the great mysteries of the modern world, the honest answer is “It depends.” The definition of “commercialization” is determined by the agency that the proposal is going to. Synonyms for commercialization strategy range from “transition plan” for the DoD, to “infusion strategy” for NASA technologies, to productization and the traditional definition of selling to the public for NSF and NIH technologies. So what does this mean when developing your proposal strategy and themes- don’t forget who the customer/user of your agency’s technology is.
The DoD wants to defend and protect by equipping the US warfighter with the most advanced technology available. The commercialization strategy should explain the size of the market potential (units and value) in the DoD market. Ultimately the strategy describes a transition plan for moving the technology to an acquisition program that will put the technology in the warfighters’ hands. A short description of how the technology could transition to civilian operational environments is an added perk, but probably not the primary focus of the section.
NASA SBIRs/STTRs are trying to achieve a vision of exploration, terrestrial science, aeronautical advancement, or space operations. Their end users are typically NASA scientists and engineers that are executing projects to accomplish these visions. Infusion is the process of transferring the technologies developed under SBIR/STTR into a NASA mission to accomplish the vision of the project. There may only be one or two actual instances of the technology needed to accomplish the mission, but if there is a technology that will meet that need, that is a commercial success for NASA SBIR. Again a public application of the technology certainly supports the case for NASA investment in the SBIR project, but if you do not map out a path for how NASA can put the technology to use, you could be missing the customer with the real need.
Most of the other agencies have a much more general public focus. The end user of an NSF, USDA, DoT, or NIH SBIR sponsored project is Mr. Joe Smith that you meet on the street, work with in your office, or visit when you have a particular need that technology can provide or improve. Developing commercialization strategies for these agencies typically means committing to a derivative of a licensing model or product development plan for delivering the innovation into the general markets. Competitive analysis, market sizing, pricing, development plans, and launch activities need to be briefly addressed to qualify your understanding of the value of the technology and to convince proposals reviewers that you know what it is going to take to make this innovation a reality.
Keep these ideas in mind as you are preparing your NASA and USDA proposals for the Sept 4 deadline, the next round of DoD proposals that will be posted the end of July and closes Sept 24, or the NIH and NSF proposals that will be submitted in December.