SBA to Small Businesses: Be Careful with Ostensible Subcontractors on SBIR Awards

In a recent decision, the Small Business Administration (SBA) Office of Hearings and Appeals (OHA) examined a company that received two Small Business Innovation Research (SBIR) grant awards. The SBA Area Office had determined that the awardee was not an eligible small business due to ostensible subcontractor affiliation and other reasons. This decision is an important reminder for SBIR candidates on how they should structure subcontracting teams, as SBA will examine SBIR awardee eligibility.

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Congress Reauthorizes SBIR/STTR, Adds a Few Wrinkles

Congress recently approved reauthorization of both the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs. The law, known as the ‘‘SBIR and STTR Extension Act of 2022’’, was ratified by the House on September 29 and became law on October 3, 2022. While the big takeaway is that the SBIR and STTR programs will continue, this post will highlight a few additional restrictions that were put into place for these important programs. Included among these are some additional reporting and oversight for companies with a lot of awards and foreign influence over companies.

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