Startup Funding Espresso – Success Rates for Grant Funding

Success Rates for Grant Funding Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Grant funding is challenging to obtain. Only a fraction of applications receive funding. Over the years the success rate of winning a grant has fallen. The SBIR grant process comes in three phases -- phase 1, 2 and 3. In 1998, the success rates for phase 1, 2, and 3, were 28%, 49% and 17% respectively. In 2021, the success rate for phase 1, 2, and 3, were 12%, 21%, and 15% respectively. The overall rate dropped from 31% in 1998 to 14% in 2021. The DoD has the largest number of grants available representing 46% of all grants. The success rate of winning a DoD grant is 15%. The success rate has dropped in half from 1998 to 2021. Phase 2 grants have a higher success rate because only Phase 1 winners can apply. Most grant applications follow the business cycle. As the business booms, so do the grant applications. The current downturn is due to the non-business cycle drop off of applications from the DoD and NASA. The declining number of grant applications is due to the decreased number of topics available to pursue as the DoD eliminated many research intensive programs. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding. Let's go startup something today. _______________________________________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Please follow, share, and leave a review. Music courtesy of Bensound.