SBIR Phase II — NASA
National Aeronautics and Space Administration
Up to $750K (Phase II)
NASA R&D scale-up, invitation only
NASA SBIR Phase II provides up to $750,000 over 24 months for full R&D development following a successful Phase I. Unlike NIH or NSF where Phase II is an open competition, NASA Phase II is offered directly to Phase I awardees by invitation — if your Phase I scored well, you receive an invitation to apply within 90 days of your final Phase I report. Non-dilutive, no cost-sharing required. Submitted via NSPIRES. Phase II Enhancement supplements and Sequential Phase II can extend funding further. NOTE: The SBIR/STTR reauthorization lapsed October 1, 2025 and was restored April 13, 2026 with reauthorization through September 30, 2031. The 2026 reauthorization added a mandatory foreign national screening requirement for all applicants.
- Funding type
- Grant
- Level
- Federal
- Amount range
- $750,000
- Realistic amount
- Most NASA SBIR Phase II awards run at or near the $750,000 ceiling over 24 months. Phase II Enhancement (IIIE) supplemen…
- Deadline
- Invitation-based — Phase II proposals are submitted within 90 days of the Phase I final report. Phase I awardees from the 2025 annual cycle will receive invitations approximately October–November 2025, with Phase II proposals due early 2026. No open competition deadlines.
- Status
- between-intakes
- States
- Nationwide
- Payment model
- advance
Who qualifies
- Must have successfully completed a NASA SBIR Phase I award — Phase II is not open to applicants without a prior NASA Phase I
- Phase I final report must be submitted and accepted before Phase II proposal submission
- Same small business size and ownership rules as Phase I: ≤500 employees, >50% US citizen/permanent resident ownership
- Mandatory foreign national screening: the April 2026 reauthorization requires all applicants to disclose foreign ownership, foreign control, or foreign influence (FOCI) — new compliance requirement effective for all awards issued after April 13, 2026
- PI must remain primarily employed (>50% of time) by the small business at time of award
- SAM.gov registration must be current and valid
- NSPIRES account must be active
- No cost-sharing required
Hard requirements
- Must be incorporated
- 51%+ US ownership required
- Requires a prior Phase I award
What it covers
Eligible expenses
- Salaries and wages for PI, key technical staff, and support personnel
- Fringe benefits on qualifying salaries
- Materials, components, and supplies consumed in R&D and prototype development
- Equipment necessary for Phase II work
- Subcontractor and consultant costs (small business must perform majority of work)
- Travel for technical work and NASA facility visits
- Technology Readiness Level (TRL) advancement activities
- Commercialization planning activities including market research and customer engagement
- Indirect costs at negotiated rates
- SBIR fee on direct and indirect costs
Ineligible expenses
- Work performed outside the United States without prior NASA approval
- Lobbying, political activities, or advocacy
- Entertainment, alcohol, or personal expenses
- Pre-award costs incurred before the grant start date
- Commercial product development beyond the R&D scope agreed in the Phase II proposal
How to apply
-
1
Complete Phase I and submit final report
Phase II eligibility is contingent on successfully completing Phase I work and submitting an accepted final report. The Phase I final report is reviewed by your NASA Technical Monitor (TM) — a poor Phase I deliverable significantly reduces Phase II invitation likelihood. Document Phase I results thoroughly, including any negative results and what they revealed about feasibility.
~25 hrs
-
2
Receive Phase II invitation and begin Phase II planning
NASA issues Phase II invitations alongside or shortly after Phase I award notifications. Not all Phase I awardees receive invitations — NASA prioritizes topics with strong Phase II pipeline and demonstrated Phase I progress. If invited, you have approximately 90 days to submit. Start the Phase II technical plan immediately upon invitation — do not wait for the final Phase I report.
~5 hrs
-
3
Develop the Phase II technical plan and commercialization strategy
Phase II proposals require a detailed 20-page Technical Volume demonstrating Phase I results and presenting a credible Phase II R&D plan leading to a deliverable prototype or product. The Commercialization Plan (5 pages) becomes more rigorous in Phase II — reviewers expect a specific identified NASA customer (mission or program) and a viable commercial market with named potential partners or customers. Letters of intent from potential commercial customers strengthen the application significantly.
~80 hrs
-
4
Submit Phase II proposal via NSPIRES
Upload the complete Phase II package through NSPIRES. The submission includes the Technical Volume, Commercialization Plan, budget and budget narrative, key personnel CVs, and supporting documents. NASA validates submissions for completeness before forwarding to technical reviewers. Ensure your SAM.gov registration is current — expired SAM registration is an administrative disqualification.
~8 hrs
-
5
Technical review and award negotiation
NASA center scientists review Phase II proposals against the same subtopic criteria as Phase I, with additional weight on technology transition readiness. Award notifications typically arrive 4–6 months after submission. Funded projects begin with a kick-off meeting at the relevant NASA center — expect site visits and closer NASA Technical Monitor engagement than Phase I.
~5 hrs
SBIR / STTR details
SBIR phase amounts
| Phase | Max award | Duration |
|---|---|---|
| Phase1 | $150,000 | 6 months |
| Phase2 | $750,000 | 24 months |
NAICS codes: 541715, 541714, 336411, 336412, 334511, 334220, 541330, 541512
Phase II is invitation-only — your Phase I Technical Monitor relationship is the key variable. Keep them informed throughout Phase I, deliver strong interim results, and discuss Phase II scope before your final report. A TM who champions your project internally is more impactful than any written proposal.
Deadline & timing
Phase II is invitation-only for NASA SBIR Phase I awardees. Invitations are issued approximately at the same time as Phase I award notifications (October). Awardees have approximately 90 days from their Phase I final report submission to submit a Phase II proposal. NASA evaluates Phase II proposals internally — timeline from Phase II submission to award is typically 4–6 months. Phase II performance period begins approximately 24 months after Phase I start.
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Last reviewed 2026. GrantCompass is an independent funding-discovery tool and is not affiliated with any government agency. Always confirm details on the official program page.