The Small Business Technology Transfer (STTR) Program is a three-phase competitive award program similar to the SBIR Program, except that it requires joint research to be proposed and conducted by a small business and a research institution (i.e., a non-profit or university). As with the SBIR program, many federal agencies participate in STTR, and each agency releases a solicitation identifying current areas of interest in technology development. Contracts are awarded competitively based on technical merit and technology commercialization potential. The program entails three phases – Phase I: Feasibility, Phase II: Demonstration, and Phase III: Commercialization. Phase III funding must be obtained from private capital and other non-SBIR funds.