Small Business Administration Office of Investment and Innovation SBIR/STTR Size Rules Updates 1

Small Business Administration Update Overview  Company Registry  Benchmark Rules  Changes in Eligibility Requirements  Q&A 2

Small Business Administration Company Registry Who needs to register?ALL applicants must register in the Company Registry and submit a.pdf document of the registration with its application. What do I need to register?At least a DUNS number or EIN. Once registered, your company will be assigned a unique SBC Control ID and.pdf file to be used for the application process. When should I register?Prior to submitting an application. How long will this take to complete? Less than 15 mins for most companies. 3

Small Business Administration Company Registry- How To 1.Enter company name and/or EIN 2.New and existing firms 3.Basic Information Form 4.Eligibility Statement 5.PDF Copy 4

Small Business Administration Company Registry- Enter company name and/or EIN Enter company name and/or EIN at

Small Business Administration Company Registry- New or Existing 2 2 b b a a 6 You are a new firm, then Register as a New Company You are an existing firm, then Register as your company in the search results

Small Business Administration Company Registry- Basic Info 3 3 a a b b c c 7 Fill out the Basic Information form, including…

Small Business Administration Company Registry- Eligibility Statement Eligibility Topic Criteria Type of FirmFor Profit Ownership & Control Majority-owned (& controlled) by: 1.US Individuals, and/or 2.One or more other concerns (majority owned/controlled by US Individuals), or 3.Multiple VC, HF, or PEF* [only for participating SBIR agencies] Size500 employees or less, including affiliates  I have read and understand the rules… 4 4 *venture capital, hedge fund, or private equity fund 8 Review the Eligibility Statement and check that you have understand the eligibility rules, including….

Small Business Administration Company Registry- PDF Copy You’ll receive your password via to login to SBIR.gov as a small business user (top right). Login and save the PDF form locally with the completion of the Company Registry (bottom right). Note: Please refer to the specific Agency’s instructions on how to transmit the Company Registry information to the agency during this process

Small Business Administration Phase II transition Benchmarks  What are the new Phase I to Phase II Benchmark requirements? Each SBIR/STTR agency has established a ratio of prior Phase II awards to prior Phase I awards that Phase I applicants must meet in order to be eligible for a Phase I award from that agency.  Who does this apply to? Applicants with over 20 prior Phase I awards during period  Why are these new benchmarks required? This requirement is mandated by statue which can be viewed here:  When does this take effect? Jan 28, The Phase II to Phase III benchmark effective date is October 1, 2013  What if the benchmarks listed for my company is incorrect? Submit your inquiries to  How are ratios and time periods determined? Each agency determines their own ratio and time period to be used. (Please see next slide) 10

Small Business Administration Phase I to Phase II Transition Rates Agency Benchmark rate (Phase II/Phase I) Length of period (years) Department of Agriculture Department of Commerce (National Institute of Standards and Technology) Department of Commerce (National Oceanic and Atmospheric Administration) Department of Defense Department of Education Department of Energy Department of Health and Human Services Department of Homeland Security Department of Transportation Environmental Protection Agency National Aeronautics and Space Administration National Science Foundation

Small Business Administration Performance Benchmarks – How To First, follow registration process as seen in previous slides. Next, login at 12

Small Business Administration Performance Benchmarks – How To (Cont’d) Upon logging in, your Phase I to Phase II transition rate will be displayed in our welcome screen. Note: If there are issues with your Award Information or Transition Rate, use the Contact Us/Feedback link in top right corner to report the issue. 13

Small Business Administration Overview of changes from proposed rules to final rules Final Size Rule Fed.Reg: 12/27/12 (77 FR 76215) Effective: 1/28/13 IssueChanges Timing of Eligibility Removed proposed requirement to be eligible at time of application VC Participation in STTR Removed proposed participation in STTR, consistent with statue Ownership Removed proposed definition of Domestic Business Concerns Slight modifications to existing rules (see next page) Affiliation Added back totality of circumstances basis Made additional clarifications (see next page) 14

Small Business Administration Changes in SBIR/STTR Eligibility Requirements and Size Rules Categories: a) Type of Firm b) Ownership and Control c) Size Limit 15

Small Business Administration Changes in SBIR/STTR Eligibility Requirements and Size Rules 16

Small Business Administration Affiliate Checklist Affiliate Checklist – Examples  The awardee has an agreement to merge (or a sale of stock) or an agreement in principle to merge (or a sale of stock) with another company. More Info  The CEO, President, Managing Partner, or other officer that controls the management of the SBC controls the management of one or more other businesses or entities. More Info  The awardee is a joint venture and does not have an approved SBA 8(a) Mentor/Protégé agreement. More Info 17

Small Business Administration Contact Us Edsel Brown Assistant Administrator, Office of Technology Ronald Cooper Technology Policy Analyst, Office of Technology 18