Applications are now being accepted for a new round of grants from the One North Carolina Small Business Program, a key source of funding small businesses engaged in research, development, and innovation leading to commercial products.
“Young companies are responsible for the majority of net new job creation,” said North Carolina Secretary of Commerce Lee Lilley. “The One NC Small Business Program provides funding to help these young companies bridge the gap between innovation and the marketplace, creating great jobs and new products that change the world.”
The One NC Small Business Program compliments the federal Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs, collectively known as America’s Seed Fund™. Both the state and federal programs provide non-dilutive funding that is critical for small businesses advancing early-stage technologies.
Federal SBIR and STTR grants are an invaluable source of funding for small businesses working on high-tech and innovative solutions. This funding helps businesses validate their ideas, connect with research institutions, and accelerate the commercialization of breakthrough technologies. With participation from eleven federal agencies and more than $4 billion distributed nationwide annually, the program supports an array of technology sectors. Through the One NC Small Business Program, North Carolina leverages this federal funding with state funding that leads to commercial products and generates significant return on the State’s investment.
The State program has two components. The Incentive Funds component reimburses qualified North Carolina small businesses for eligible expenses incurred while preparing a federal Phase I SBIR/STTR application. In Fiscal Year 2026, $200,000 is available for Incentive grants. The Matching Funds component awards grants to North Carolina small businesses that have already secured a federal Phase I SBIR/STTR award. This year, $1,876,560 is available to support these Matching grants. These amounts are projected to support approximately 25 Incentive grants and 25 matching grants during the FY 2026 cycle.
The One North Carolina Small Business Program is administered by the North Carolina Department of Commerce’s Office of Science, Technology & Innovation (OSTI) on behalf of the North Carolina Board of Science, Technology & Innovation (BSTI).
The Program supports early-stage companies at a critical point, allowing them to achieve important milestones to mitigate risk and attract future investors. Since 2006, the Program has helped more than 500 companies in 40 North Carolina counties across all eight Prosperity Zones, resulting in the creation of more than 2,000 high-paying jobs and the generation of more than $10 billion in follow-on capital investments.
“In this 20th year of the One NC Small Business Program, we are pleased to continue to provide support to high-growth innovative companies developing and commercializing new technologies that enhance people’s lives and increase economic prosperity throughout North Carolina,” said Sheila Mikhail, Chair of the BSTI. “This program’s track record of success is long and impactful, demonstrating that targeted early-stage funding for promising technologies helps the companies meet their milestones, attract follow-on support, and grow.”
Applications to the One North Carolina Small Business Program can be accepted until June 30, 2026, or until funds have been exhausted for the program’s Fiscal Year 2026 funding cycle.
Details on how to apply for either the Incentive or Matching grant solicitations, as well as explanation of eligibility criteria, are posted at: commerce.nc.gov/grants-incentives/technology-funds/one-north-carolina-small-business-program.