SBIR prototype development and hardware startup product development
What is SBIR prototype development?
Engineering partner for grant-funded and venture-backed hardware startups: SBIR Phase I and Phase II prototypes, technical milestones that satisfy reviewers, and the working hardware that unlocks the next round.
SBIR prototype development is engineering work performed against a Small Business Innovation Research award: proving technical feasibility in Phase I, then building and validating a working prototype in Phase II, with deliverables and documentation matched to the award's milestones and reporting requirements.
The distinguishing constraint is not technical, it is contractual. The budget is fixed, the period of performance is fixed, and the deliverables are written down. Engineering has to be scoped to fit them exactly - and the technical evidence has to be strong enough to support the next proposal.
Recent funded startups & SBIR work
Projects we designed, prototyped and took to production in this category.
- Over a million dollars raised
From AI Concept to Funded SaaS Platform
The project required more than biological insight, it required a technically feasible, engineerable platform that could be evaluated, tested, and scaled.
View project - NSF startup — $900K+ raised
Converting Air into Aid: The AtmoSpark Journey
ATMOSPARK’s journey with us led to the creation of the Bluelement, a device that transforms humidity into potable water, aiding in diverse environments.
View project - Phase I and II SBIR awarded
Engineering a Materials-Enabled Vaccine Delivery Platform Through SBIR
The project required more than biological insight, it required a technically feasible, engineerable platform that could be evaluated, tested, and scaled.
View project
Certified B Corp
Independently verified standards of social and environmental performance.
FDA-registered facility
Registered for device work, with the process discipline that comes with it.
- years developing physical products
- 20+years developing physical products
- projects taken from idea to build
- 1,000+projects taken from idea to build
- design, prototyping and short-run production
- In-housedesign, prototyping and short-run production
We have built hardware on award money and on venture money

HaloVax came to us as a materials-enabled vaccine delivery platform and moved through SBIR Phase I and Phase II development with our team. QMS went from AI concept to a funded SaaS platform with over a million dollars raised. Across the portfolio we have supported crowdfunded launches, seed-stage hardware startups and grant-funded research teams moving from lab to device.
For funded teams the deliverable is rarely just a product. It is evidence - a working prototype, test data, a manufacturing cost model and a credible path to production - packaged so a reviewer, an investor or a strategic partner can act on it.
Because design, engineering, prototyping and short-run production are all in-house, a fixed award budget goes further and a period of performance is far easier to hit.
What funded hardware teams actually struggle with
The technology is usually the part that works. The program management around it is what slips.
- Fixed budget, fixed period
An award does not flex. Scope has to be planned so the deliverable exists before the period closes, with contingency built into the plan rather than hoped for.
- Lab result to device is a chasm
A bench-proven mechanism or chemistry has to become something manufacturable, usable and testable. That translation is where most grant hardware stalls.
- Phase II needs Phase I evidence
Phase I work has to generate the specific technical data that makes the Phase II proposal credible. Deciding what to measure is a proposal strategy question, not just an engineering one.
- Investors want to hold something
Decks do not close hardware rounds. A working prototype, ideally in the room, changes the conversation more than any slide.
- Cost of goods is a diligence question
Sophisticated investors ask what the unit costs at volume. "We haven't modelled it" is a bad answer at a Series A.
- Technical risk should be retired first
Money should be spent in the order of risk. The scariest unknown gets a rig in month one, not a polished enclosure.
What we deliver for funded teams
| Capability | What it covers | Typical output |
|---|---|---|
| Feasibility and de-risking | Rigs and experiments targeting the biggest technical unknown | Test data and go / no-go findings |
| Proof-of-concept prototypes | Fastest credible demonstration of the core claim | Working POC and documentation |
| Phase II development | Full device engineering, integration, validation | Validated prototype and test reports |
| Electronics and firmware | Sensing, power, connectivity, embedded control | Functional boards and firmware |
| Manufacturing cost modelling | BOM, process route, tooling and volume pricing | COGS model for diligence |
| Pilot production | Trial units, demo fleets, early customer hardware | Documented low-volume builds |
Swipe the table sideways to see every column.
How we work inside an award or a runway

Risk first, evidence throughout, deliverable guaranteed before the period closes.
01 · Scope against the award+
We read the milestones and build a plan that fits the money and the calendar.
- Deliverables and milestone mapping
- Budget allocation by phase
- Technical risk register
- Reporting cadence agreed
02 · Retire the biggest risk+
The scariest unknown gets tested before anything is made pretty.
- Focused test rig or experiment
- Quantitative results
- Approach confirmed or pivoted early
- Data suitable for reporting
03 · Build the prototype+
A device that demonstrates the claim and can be handled by non-engineers.
- Integrated functional prototype
- Enclosure and user interface
- Bench validation against the claim
- Demo-ready hardware
04 · Evidence package+
We produce what the next proposal or round needs.
- Test reports and technical data
- Manufacturing cost model
- Production path and timeline
- Photography and demo assets
05 · Next phase or pilot+
Phase II execution, pilot units, or transition to manufacturing.
- Pilot build of demo units
- Design refinement from user feedback
- Supplier and manufacturing transition
- Scale-up plan
Hardware rounds close on hardware
Reviewers and investors are pattern-matching on one thing: whether this team can turn money into working hardware on schedule. A prototype that does what the proposal promised, delivered inside the period of performance, is the most persuasive artifact a funded team can produce.
The corollary matters too. Spending an award on polish before the core risk is retired is the single most common way funded hardware teams end up with a beautiful device and no second phase.
Spend the first dollars on the thing most likely to kill the project. Everything else can wait for the next tranche.
Frequently asked questions about SBIR and funded startup development
Do you work within SBIR Phase I budgets?+
Yes. We regularly scope engineering to fit a specific Phase I award and period of performance, prioritizing the technical evidence the Phase II proposal will need.
Can you help write the SBIR proposal?+
We contribute the technical approach, work plan, milestones and budget detail that the engineering portion of a proposal requires. We are not a grant-writing firm, but we work alongside one.
Do you take equity instead of fees?+
Our standard engagement is fee-based. We have structured hybrid arrangements for exceptional cases; it is a conversation, not a policy.
What does an investor-ready prototype cost?+
It varies enormously with technology, but many funded teams reach a credible demonstrable prototype in the tens of thousands. We scope in phases so you can raise between them.
Can you produce demo units for pilots and trade shows?+
Yes. Our in-house short-run manufacturing builds demo fleets, pilot units and early customer hardware with build documentation.
Do you sign IP assignment and confidentiality agreements?+
Yes. Client-funded work product is assigned to the client, and we work under NDA as standard practice.
Bring us the milestone you have to hit
Tell us the award, the runway or the round you are working toward. We will scope engineering that fits the money and the calendar.
Selected funded startups & SBIR work
Projects we designed, prototyped and took to production in this category.
- Over a million dollars raised
From AI Concept to Funded SaaS Platform
The project required more than biological insight, it required a technically feasible, engineerable platform that could be evaluated, tested, and scaled.
View project - NSF startup — $900K+ raised
Converting Air into Aid: The AtmoSpark Journey
ATMOSPARK’s journey with us led to the creation of the Bluelement, a device that transforms humidity into potable water, aiding in diverse environments.
View project - Phase I and II SBIR awarded
Engineering a Materials-Enabled Vaccine Delivery Platform Through SBIR
The project required more than biological insight, it required a technically feasible, engineerable platform that could be evaluated, tested, and scaled.
View project - Direct-to-Phase II SBIR awarded
Arresting Fatigue Cracks at the Source
The project required more than biological insight, it required a technically feasible, engineerable platform that could be evaluated, tested, and scaled.
View project - $600K+ raised
Revolutionizing Financial Consultations
CPA2GO represents our foray into transforming accounting services. We developed a cross-platform mobile and web application facilitating instant, expert CPA advice. This project highlights our ability to integrate modern tech solutions into traditional services, enhancing accessibility and user experience.
View project - $300K+ raised
BARS Automated Pizza Cooking Machine
LA NPDT and BARS Inc. collaborated to create an automated pizza cooking machine, blending culinary art with technology. This project showcases our proficiency in automated systems design and large-scale rapid prototyping, leading to a successful $300,000 funding round and media recognition.
View project
Standards and regulations we work to
Other industries we build for
Personal Care
Beauty, grooming and personal hygiene products, from formula-adjacent hardware to packaging.
Pet Products
Pet care, feeding, comfort and interactive toy products developed end to end.
Sports & Fitness
Training aids, outdoor gear, wearables and equipment built for real use in the field.
Product Packaging
Retail-ready structural and graphic packaging that protects the product and sells it.
IoT & Consumer
Connected consumer devices: electronics, enclosures, firmware and the app that drives them.
Medical Devices
Class I and Class II devices, diagnostics and patient-safety hardware developed to the pathway.
Industrial Equipment
Custom machines, automation and commercial equipment engineered and built in-house.
Food & Beverage
Containers, closures, kitchen tools and food-contact equipment for CPG brands.
Toys & Games
Play patterns, mechanisms and pitch-ready prototypes for toy and game inventors.
Home & Housewares
Cleaning tools, storage, organization and home hardware engineered to a shelf price.
Baby & Juvenile
Feeding, sleep, travel and nursery products designed around juvenile safety standards.
Outdoor & Hunting
Hunting, camping, marine and recreation gear built for weather, abuse and field use.
What founders say after working with us
“This company is awesome. I run a medical device company and we required a number of accessories to be designed and built for our medical device. They delivered a polished design and printed the accessories on time using high-quality materials. I continue to work with them for all of our material needs.”
Matteo ZiffFounder, Virtual Vision“I highly recommend the LA New Product Development Team for any of your new product development needs. From the development of my concept to the actual prototype, the process was seamless. I especially loved the quick responsiveness, and I received regular updates during every stage, so I was never left wondering how things were going. The steps were clearly outlined, along with estimated costs.”
Dr. Sharada DamarajuFounder, Dignity & Empowerment“Partnering with LA NPDT to bring LEIA to life was a game-changer. Their blend of market analysis, design expertise, prototyping, and manufacturing streamlined my vision into a tangible solution. For medical professionals with a product idea, there's no team I'd recommend more.”
Dr. Elena DolganFounder, LEIA CupThree reasons why our clients love working with us:
- 1
We solve problems. Coming up with creative solutions focused on achieving your goals is our everyday routine.
- 2
Get it all done at one place. We are a "one-stop shop" for developing, prototyping, manufacturing, and marketing new products.
- 3
You always know what to expect. No hourly charges. We are paid for the results.
If you ever thought of developing a new product, don’t wait any longer. Talk with one of our experts today.
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