This program offers Nebraska businesses a matching competitive grant for research and development activities done in conjunction with a Nebraska college or university.

• Commercialization of new projects.
• Modification of existing products that lead to substantially improved marketability.
• Improvement of existing processes that may provide a new source of revenue to Nebraska businesses.

Eligibility Requirements

• Phase I R&D awards are capped at $100,000.
• Phase II R&D awards are capped at $400,000. Businesses are eligible to apply for Phase II awards if they have successfully completed a Phase I award as determined by the Department.
• DED will not grant more than two awards in any four-year period per project.
• R&D Grant funding must be matched at 100% (1:1) of the requested grant amount with eligible matching funds. R&D Grant funding for Value-Added Agriculture projects must be matched at 25% (4:1) of the requested grant amount with eligible matching funds. Please discuss project details with DED staff to determine if the project meets the Value-Added Agriculture category requirements.
• Generally, each phase will be completed within 24 months of award.

Eligible matching funds include any non-state source including private foundations, federal or local governments, quasi-governmental entities, commercial lending institutions, investors, or other sources provided they are not using funds appropriated by the Nebraska Legislature.

Any for-profit business that has physical operations facilities in Nebraska may be considered for Academic R&D funding.

A project will be defined through the scope of work and the reasonable costs associated with the academic research and development activities undertaken by a business in cooperation with a Nebraska college, university, or faculty member as they research and develop new products, processes and make modifications to existing products.

Important Deadlines:
Applications are accepted on a rolling basis until funds are exhausted. Contact DED directly to determine the status of funding.

BIA Action Plan 2023-2025

Academic R&D Grant Guidelines

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The Nebraska Innovation Fund (NIF) Prototype Grant is a matching grant that provides financial assistance for product development to businesses operating in Nebraska.

This program is very competitive. Applicants are encouraged to contact the Department of Economic Development (DED) for help understanding the program’s requirements and expectations. DED will guide you to resources for making your grant more competitive.

About Prototype Grants

• Prototype grants can be up to $150,000 per project for development.
• Applicants must be businesses operating in Nebraska that can provide a minimum of 50% (2:1) of the grant request as matching funds. Value-added agriculture projects require a match of 25% (4:1).
• Grant funds are accessed via reimbursement. DED reimburses project costs at a rate of 66% or 80% for value-added agriculture projects.
• To apply, applicants must submit an application form and provide a business plan and evidence of matching funds.
• If approved, the project must be completed and all funds must be drawn down within 24 months.

Eligible Businesses
Any Nebraska-based corporation, limited liability company, partnership, registered limited partnership, sole proprietorship, business trust, or other entity with fewer than 500 employees engaged in non-retail primary industries adding value to products or processes in Nebraska.

Eligible Use of Funds
Prototype grant funds must be used towards the development of a product. Examples of eligible costs are wages for employees or contractors, prototype materials, and limited preapproved tooling or equipment costs. Applicants must provide a budget at the time of application that will outline the anticipated project costs.

Eligible Matching Funds
Includes any non-state source—private foundations, federal or local governments, quasi-governmental entities, commercial lending institutions, investors, etc.—provided they are not using funds appropriated by the Nebraska Legislature. Matching funds must be in the form of a cash match.

Important Deadlines:
Applications for this grant are accepted on a rolling basis until funds are exhausted. Contact DED to determine the availability of funds.

Action Plan 2023-2025

NEDED Prototype Grant Guidelines

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The program, through a private partner, can invest up to $500,000 in a Nebraska business for commercialization of a product or process. Think of it this way—our investment acts much like an angel investment for companies at the seed stage of the financing continuum.

How It Works

• Seed-stage investments can be up to $500,000 per project.
• Must be for the commercialization of a prototype or process from a business or individual operating in Nebraska.
• A business plan stating potential sales and profit projections for the product or process must be submitted.
• Applicants must provide matching funds equal to 100% of the amount of the investment.
• DED will contract with a Nebraska-based non-profit to have that organization make investments, and administer and manage the investment process.

Are You Eligible?
Eligible applicants include high-growth, early-stage companies with potential to raise private capital that are developing and commercializing a technology, product, process, or service.

• Corporation, Limited Liability Company, partnership, registered limited partnership, sole proprietorship, business trust, or other eligible entity engaged in non-retail primary industries that are adding value to products or processes in Nebraska.
• Must have 500 or fewer employees.
• Operating within Nebraska.
• Matching requirements: 1:1.
• 4:1 for value-added agriculture projects

Important Deadlines
Applications are accepted January 1 through December 31 each calendar year or until all funds are exhausted for that year.

2023-2025 BIA Action Plan

Seed Investment Guidelines

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The Nebraska Small Business Innovation Research / Small Business Technology Transfer Initiative (SBIR/STTR) is a matching grant that provides financial assistance to Nebraska businesses that have received a Federal SBIR or STTR grant.

How It Works

The Nebraska SBIR/STTR Initiative provides funding during two phases of the Federal SBIR/STTR process. In Phase 0, funds are available to assist Nebraska small businesses during the federal application process. In phases 1 and 2, matching grants from the Nebraska Initiative are available for successful federal applications to support research and commercialization.

Are You Eligible?

To apply for grants under the Nebraska SBIR/STTR  you must meet the necessary qualification to apply for federal SBIR/STTR funds. Additionally, the Nebraska initiative requires you are a for-profit small business that conducts at least 51% of the activities proposed under the federal application in the State of Nebraska.

Available Funds & Grant Limits

• DED may award up to $4 million per year in the SBIR/STTR program. DED reserves the right to award less than $4 million a year subject to demand, department budget, and available funds.

• Phase 0 grants can reimburse for up to $5,000 per project for costs incurred in preparing a federal Phase 1 proposal.
• Phase 1 and 2 grants will match federal SBIR/STTR awards up to $100,000 or 65% of the federal grant, whichever is less.
• DED will not award funding to a qualifying business for more than one project every two years.

Selection Criteria

Evaluated criteria for applications under the Nebraska initiative include, but not are limited to:

• Scientific and technical merit and feasibility of the proposal.
• Qualification of the Principal Investigation, team, and consultants.
• Potential for successful commercialization or federal contract of the new product or process.

Important Deadlines

Applications are accepted online from January 1, 2017 to December 31, 2017, or until all funds are exhausted.

For additional information on the Nebraska SBIR/STTR initiative review the current guidelines.

2023-2025 BIA Action Plan

SBIR / STTR Program Guidelines

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