2025 "$100,000 Start an SUD Startup" Challenge
This grant provides funding and mentorship to interdisciplinary teams developing innovative solutions for drug use and substance use disorders, aiming to support the formation of early-stage biotech startups in the U.S.
The 2025 "$100,000 Start an SUD Startup" Challenge is an innovation initiative administered by the National Institute on Drug Abuse (NIDA), a division of the National Institutes of Health (NIH). The Challenge is part of NIDA’s broader mission to support the development of biomedical and behavioral research tools and solutions addressing drug use, misuse, and substance use disorders (SUD). This recurring competition aims to stimulate early-stage biotech startup formation by providing funding and expert mentorship to research teams with novel, scalable ideas rooted in SUD science. The Challenge targets interdisciplinary teams with concepts that could eventually form the basis of a biomedical startup. Ideas must directly address or be adaptable to drug use, misuse, or SUD. Platform technologies are acceptable if their applications include SUD-related fields. However, proposals limited solely to conditions like cancer or diabetes without relevance to SUD will not be accepted. NIDA seeks innovative concepts that may arise from new scientific discoveries, adaptation of existing technologies, or novel business models—particularly those that reach underserved populations or improve SUD-related care delivery. The program is structured in two stages. In Stage 1, up to 12 selected teams will receive non-cash prizes consisting of six months of dedicated one-on-one mentorship from NIDA entrepreneurship experts. This mentorship includes structured activities such as five 90-minute lectures, five one-on-one office hour sessions, and assigned monthly deliverables. Each team is expected to commit approximately 25 hours per month to this process. Upon successful completion of this stage, teams may be selected to proceed to Stage 2, where they deliver a startup pitch presentation and may each receive a cash prize of up to $10,000. The total cash prize pool available across all stages is $100,000. Applicants must form teams of three to five individuals and designate a Team Leader who is a U.S. citizen or permanent resident. Only the Team Leader is eligible to receive prize disbursements from NIDA, and is responsible for distributing funds internally. Non-U.S. citizens or residents may participate as team members but are not eligible to receive any portion of the monetary prize. To be eligible, teams must intend to form a U.S.-based startup or already operate as one in early stages. Additionally, participants must not currently hold active SBIR/STTR grants or have pending applications under review for such grants. The submission window for the 2025 Challenge opens on August 11, 2025, and closes on February 4, 2026. Teams must submit a complete application package via the designated external portal. Judging is scheduled to begin on February 9, 2026, and Stage 1 winners will be announced by March 9, 2026. Teams that advance and complete the mentorship track will be eligible for Stage 2 recognition, with winners announced by September 2026. This timeline provides a structured opportunity for emerging biotech founders to receive early guidance and potentially position themselves for future SBIR/STTR funding from NIDA. Evaluation criteria focus on the innovativeness and SUD relevance of the proposed idea, team commitment to startup development, and successful engagement with the mentorship curriculum. Winning teams are encouraged to use the funds to develop a minimum viable product (MVP), gather early customer feedback, and refine their commercialization strategy. Following the Challenge, NIDA offers continued support for teams seeking SBIR or STTR grants through its standard technical assistance pathways. By reissuing this Challenge annually, NIDA demonstrates its commitment to stimulating early-stage entrepreneurial activity in the SUD space and enabling promising ideas to move beyond the research lab toward real-world impact. The Challenge also operates under the statutory authority of the COMPETES Reauthorization Act of 2010, supporting scientific excellence and technology advancement in public health. Alcohol use disorder and pain-focused proposals are explicitly excluded from eligibility, as NIDA focuses its support specifically on drug use, misuse, and addiction domains.
Award Range
$10,000 - $10,000
Total Program Funding
$100,000
Number of Awards
12
Matching Requirement
No
Additional Details
Up to 12 teams may each receive $10,000 upon completion of mentorship stage; total cash prize pool is $100,000.
Eligible Applicants
Additional Requirements
Teams of 3–5 individuals; U.S. citizen or permanent resident must serve as Team Leader; applicants must intend to form a U.S.-based startup; entities may include academic institutions, nonprofits, or unaffiliated teams. Current SBIR/STTR grantees or applicants under review are not eligible.
Geographic Eligibility
All
Proposals must demonstrate direct SUD relevance; participants must commit fully to mentorship and startup development.
Application Opens
August 11, 2025
Application Closes
February 4, 2026
Grantor
U.S. Department of Health and Human Services (National Institute on Drug Abuse)
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