Tuesday, the Alabama Innovation Corporation announced the opening of applications for a small business grant program designed to jumpstart entrepreneurship and innovation.
According to the governor’s office, funds awarded from the Innovate Alabama Supplemental Grant Program aim to grow the state’s economy by stimulating research and commercialization.
Alabama-based recipients of Phase I and Phase II Federal Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) grants are eligible to apply for up to $250,000 in supplemental funding.
In a statement announcing the opening of the grant application, Gov. Kay Ivey said that the awards would serve to foster “an attractive business environment” in Alabama.
“The Innovate Alabama Supplemental Grant Program is the latest way our state is creating an attractive business environment for pioneering ideas that will change our world,” proclaimed Ivey in a release. “Alabamians have the grit, determination and creativity to make these ideas a reality, and with Innovate Alabama’s supplemental funding, these small businesses will take their ideas from concept to commercialization.”
Alabama is among 20 states that have implemented supplemental grants for both Phase I and Phase II SBIR/STTR winners, a 2021 report commissioned by the U.S. Small Business Administration shows.
According to Bill Poole, state director of finance and Alabama Innovation Corporation chair, gaining access to capital is among the most pressing issues facing Yellowhammer State entrepreneurs.
“Accessible capital is routinely among the greatest needs of our state’s entrepreneurs,” noted Poole. “Innovate Alabama wants to bridge connections and resources like this grant program to support these innovative small businesses generating transformative research and technology.”
Senate President Pro Tem Greg Reed (R-Jasper), who serves as vice chair of the Alabama Innovation Corporation, touched on the legislature’s efforts to drive innovation by passing measures to support the grant program.
“The Innovate Alabama Supplemental Grant Program is the product of intentional collaboration between Alabama’s innovation ecosystem and my colleagues in the Alabama Legislature,” advised Reed. “We passed legislation last year to pave the way for this program, and I am proud to see it come to fruition.”
Eligible applicants have an active Phase I or Phase II SBIR or STTR grant, the governor’s office noted. Phase I recipients are eligible to apply for 50% of their award up to $100,000. Phase II recipients are eligible to apply for 50% of their award up to $250,000.
Businesses that receive the grant awards will cede no shares or ownership stake in their companies.
Dr. Michael Chambers, University of South Alabama associate vice president for research and Alabama Innovation Corporation board member, said that the grant awards could hold “global impacts” for the receiving companies.
“Small businesses that have secured SBIR/STTR grants from federal agencies benefit from their technologies already having been subject to scientific review from experts,” said Chambers. “Alabama’s supplemental funding program is an excellent way for our state to grow our economy by investing in local technologies that may have global impacts.”
The application for the first round of funding opened on July 1. Applicants are encouraged to apply by 5:00 p.m. on August 1, 2022. Award notifications for the first round of funding begin on August 22.
Additional information concerning the grant program may be found here.
Dylan Smith is a staff writer for Yellowhammer News. You can follow him on Twitter @DylanSmithAL
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