Change is the Word in Politics Today! Also for SBIR!

For twenty-five years the SBIR program has helped small companies, often early-stage start-ups, to prove and demonstrate new technologies.  Changes now being proposed in Congress will convert SBIR from the largest seed capital fund in the country to a fund that helps develop later-stage technologies.  While resources for all stages of development of new technologies are desirable, the proposed changes will likely choke-off funds at a point where there are few options.  Congress will be cutting the pipeline of new ideas that the federal government and our nation needs to stay competitive.

Instead of awards now capped at $850,000 being given to companies to prove new technologies a bill passed by the House of Representative (H.R. 5819) will allow millions of dollars, perhaps tens of millions of dollars, to be awarded for refinement of technologies that have already been proven.  That would not be bad except it will leave little funding for the seed capital function that SBIR has so successfully filled.  An already competitive program will become such a long-shot for new technology proposals that for early-stage companies that desperately need these resources it will not be worth the effort to apply for.

The bill now must be passed by the U.S. Senate.  It has been assigned to the Senate Small Business & Entrepreneurship Committee, which will take actions within the next couple of weeks.  Georgia Senator Johnny Isakson sits on this committee, which has the ability to make changes in the bill.

Does anyone disagree that the House passed bill will radically change the SBIR program?  Do you think that is good or bad?  Would you like to know more about the details?