NSW Small Business Innovation and Research (SBIR) Program - Phase 1 – Feasibility Study

NSW Small Business Innovation and Research (SBIR) Program - Phase 1 – Feasibility Study is sponsored by NSW Government (Office of the NSW Chief Scientist & Engineer). This opportunity supports mission-aligned projects and measurable outcomes.

**✔** Open Past rounds closed; monitor for future announcements ## Purpose and Program Overview The NSW Small Business Innovation and Research program (SBIR) provides competitive grants to small and medium-sized enterprises (SMEs) to develop and commercialise innovative solutions to well-defined challenges set by NSW Government agencies.

The program enables the government to act as an early customer for new technologies, helping businesses validate their solutions in real-world contexts. The initiative is designed to strengthen the state’s innovation ecosystem by leveraging research and development (R&D) from SMEs to solve public-sector challenges, increase the commercialisation of government-funded R&D, and support the growth of emerging industries.

Through its structured funding model, the program fosters collaboration between government and industry, creating pathways for SMEs to bring innovative products and services to market while addressing pressing community and sector needs.

* **Grant amount**: Up to $100,000 (Phase 1) and up to $1,000,000 (Phase 2) * **Application dates**: Dates vary by round (check the Chief Scientist NSW or NSW Government websites for updates) * **Eligible applicants**: NSW-based small and medium-sized enterprises (SMEs) with fewer than 200 employees * **Co-contribution**: No mandatory co-contribution requirement specified * **Location**: New South Wales The SBIR program is open to a broad range of sectors.

Specific priority sectors are determined by the government challenges released in each funding round, which may include health, transport, education, public safety, agriculture, and digital technologies. The Small Business Innovation and Research program operates as a three-phase competitive process: * **Phase 1 – Feasibility Study**: Up to $100,000 for projects of up to 3 months to assess technical and commercial viability.

* **Phase 2 – Proof of Concept**: Up to $1,000,000 for projects of up to 15 months to develop a prototype or proof of concept. * **Phase 3 – Procurement**: No additional SBIR funding, but NSW Government agencies may procure successful solutions. The total amount of funding available per round is not fixed and depends on the number and scale of projects supported.

Individual entities may receive up to $1. 1 million across Phases 1 and 2.

Applicants must meet the following requirements: * Be a small or medium-sized enterprise (SME) with fewer than 200 full-time equivalent employees * Hold an Australian Business Number (ABN) * Be headquartered or conduct the majority of operations in NSW * Hold or have the rights to commercialise the intellectual property for their solution * Agree to conduct R&D activities within NSW * Not be a shell corporation or a subsidiary of a multinational firm ## Eligible Activities and Expenses The Small Business Innovation and Research program supports activities related to: * Feasibility and technical studies * Research and development (R&D) * Prototype design and proof-of-concept development * Testing and validation of new technologies * Activities aligned with the specific government challenges of the funding round * The SBIR program is **competitive**.

* Applications are assessed against key criteria, including: * Technical and commercial merit of the proposed solution * Alignment with the defined NSW Government challenge * Value for money and potential for successful commercialisation * The capability and capacity of the applicant to deliver the project ## Recent Program Updates * Funding rounds are released periodically, each linked to specific government-defined challenges.

* Examples of recent challenges include AI-driven health solutions, school zone road safety systems, biosecurity technologies, and monitoring tools for correctional facilities. * Program guidelines and eligibility conditions are updated for each round. * Carefully review the eligibility requirements before applying.

* Prepare feasibility and technical documentation in advance. * Clearly demonstrate how the solution addresses the nominated government challenge. * Show strong evidence of commercial potential and scalability.

* Align the proposal with the NSW Government’s strategic priorities, including innovation, R&D, and community impact. Consider consulting a grant specialist for a personalised eligibility assessment and expert assistance in preparing a strong, compliant and competitive application. Contact us today, and we will connect you with Australia’s best grant specialist with over 35 years of experience in the industry and a 100% success rate.

Visit the **NSW Government** or **Chief Scientist NSW** websites for official guidelines and application resources. Disclaimer: This grants search engine only searches for grants for businesses, and does not search for community grants or grants for not for profits.