How to Pursue Government Funding

Leveraging the government as an Open Innovation partner can be a powerful competitive advantage. However, in our experience, the companies that are most likely to build a successful collaborative relationship with the government are those that make it a long-term commitment and part of their overall corporate growth strategy. It takes time, resources, and flexibility to make the relationship pay off. If your company just wants to respond to one Open Solicitation to receive some funding, it might not be worth the investment in terms of time and the diversion of other precious internal resources it will take to apply.

However, for many companies,the competitive advantage, decreased risk of developing new technology,and opportunity for increased speed to market is well worth the investment. Government collaboration that is well integrated into a company’s broader strategy works best. That way, companies obtain funding, and maximize information and market impact from their relationship. This helps accelerate their business plan without distracting vital resources.  Many companies have projects in their pipeline that can solve a problem for the government, but aren’t aware of the alignment. Understanding where these alignments exist, provide the platform for ideal collaboration.

Tying your project to a mission or initiative that is currently driving a government agency is essential. All of the government agencies are open to potential funding opportunities, but each has a different agenda. The real trick is to understand what they are interested in and how your project helps them with their mission.For a thorough understanding of what initiatives are driving the agencies, it is important to gain access to the right contact, and ask the right questions for a better understanding of how your project would fit into their agenda. Most importantly, this access to information will help to differentiate your project from other projects that are also pursuing the award.

The best approach to determining whether funding is option for your company is to review all of your projects or programs and see how they align with the 13 different federal agencies the individual state agencies that award funds.  This information can be obtained from the individual government agency websites, government agency sponsored conferences, or our www.itecsinsider.com website, where we collect and publish new government solicitations.  Consider opportunities from economic development funds to tax credits, to ARRA grants and traditional research and development funds.  Once the right organization and opportunity is targeted, the program needs to be positioned with the decision makers at that agency.

If your company is interested in pursuing government funding, here are some general questions to ask yourself before starting the process:

1.    What funding opportunities are available? Do your technology projects provide a unique solution to a government agency need?
2.    Which agency would be most interested in your project? Does your company have any relationships with government agencies currently that you could leverage to access additional information and get feedback on your project?
3.    Does the project align with the government’s initiatives? Is this a win-win situation? Does this project contribute to any national priorities around energy efficiency, job creation, or even national security or competitiveness?
4.    Why is your project better than any other? What is the value proposition?
5.    Do you have the in-house expertise or resources to go after the funding and then manage the contract once awarded?

If you answer yes to most of these questions, pursuing government funding opportunities could provide your company with a unique competitive advantage. Whether you manage the process in house or hire a firm with established agency relationships, access to the right people in the government agencies is essential to success.

Want to learn more about opportunities to collaborate with the government for Open Innovation projects or how to start the process? Visit our website www.itecs-innovative.com or visit the ITECS Innovative Consulting booth at PDMA’s Annual Global Conference in October.

Susan Ward is the Founder and CEO of ITECS Innovative Consulting, www.itecs-innovative.com, a technology marketing company that helps businesses, universities and nonprofits fund, develop and commercialize high-potential technologies by leveraging the government as a funding source or customer. ITECS has secured more than $145 million in government funding and assisted in more than $500 million in successful technology product introductions, for a 70% hit rate with industry proposals. Susan can be reached at sward@itecs-innovative.com or visit our booth at PDMA’s Annual Global Conference.