New York NYSTAR Innovation Matching Grants Program
Empire State Development (ESD) — NYSTAR Division of Science, Technology & Innovation
Up to $100K (Ph I) / $200K (Ph II)
Researched for this program: 5 rejection traps · 5 required documentsWhat decides this award ↓
NY match for your federal SBIR/STTR award
NYSTAR's Innovation Matching Grants (IMG) program provides NY small businesses up to $100K (Phase I) or $200K (Phase II) to match federal SBIR/STTR awards. Funds can be used for commercialization activities not allowable under federal grant terms — business planning, patents, marketing studies, sales development. Rounds open twice yearly (April and October). Applicants must remain headquartered in NY for at least 2 years post-commercialization.
- Funding type
- Grant
- Level
- State
- Amount range
- $5,000 – $200,000
- Realistic amount
- Most Phase I awards run $25,000–$100,000 in match; Phase II awards average $100,000–$200,000. Funds cover commercializat…
- Deadline
- Rounds open on the second Wednesday of April and October for one week each.
- Status
- between-intakes
- States
- NY
- Payment model
- reimbursement
Who qualifies
- Small business headquartered and operating in New York State (100 or fewer employees)
- Independently owned and operated; not dominant in its field
- Actively applying for, or has received within the past 12 months, a Phase I or Phase II SBIR or STTR award from a participating federal agency
- Must remain headquartered in New York State for at least 2 years post-commercialization or repay all funds
- For-profit business only (nonprofits and educational institutions ineligible)
Hard requirements
- Must be incorporated
- Location restriction: New York State — must remain headquartered in NY for 2+ years post-commercialization
- Max 100 employees
What it covers
Eligible expenses
- Business planning and strategy development
- Patent applications and IP protection costs
- Market and competitive analysis studies
- Sales and marketing development not covered by federal award
- Commercialization activity expenses disallowed under federal SBIR/STTR terms
Ineligible expenses
- R&D expenses already covered by the federal SBIR/STTR award
- Capital equipment purchases
- Real estate or leasehold improvements
- Salaries and overhead costs that overlap with federal award budget
- Expenses by companies not headquartered in New York State
How to apply
-
1
Confirm SBIR/STTR award or active application
Verify your business has received or is actively applying for a Phase I or II SBIR/STTR award from a participating federal agency within the eligibility window (12 months or since last round closing, whichever is shorter).
-
2
Prepare commercialization budget
Document planned expenditures on activities NOT allowable under federal SBIR/STTR terms: business planning, patent costs, marketing studies, sales development. Budget must not exceed 50% of the federal award.
-
3
Submit application during open window
Complete the online application on the NYSTAR Submittable portal during the one-week window (opens second Wednesday of April/October at 9 AM, closes the following Tuesday at 5 PM). Application cannot be saved — complete in one session.
-
4
Await award notification and execute agreement
ESD reviews applications and notifies awardees. Execute a grant disbursement agreement committing to a 2-year NY headquarters retention requirement.
The one-week window is the biggest gotcha — set a calendar alert for the second Wednesday of April and October. Round 5 awarded $3M+ to 28 businesses in early 2026.
Deadline & timing
Round 5 is closed as of May 2026. Round 6 expected to open October 2026. Each round is open for exactly one week. Applications reviewed on a rolling basis within that window.
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