Securing venture capital (VC) funding is often a significant challenge for healthcare startups. Factors like complex regulatory landscapes, market misunderstandings, and investor biases make it difficult for health-focused startups to attract VC investment. Fortunately, VC funding isn’t the only path to success. Grants offer a vital alternative, providing non-dilutive funding, valuable networking opportunities, and access to a community of industry experts, enabling health tech startups to grow and innovate.
LEAP in Health IT
Grant type: Federal grant — the U.S. Department of Health and Human Services (HHS) through the Office of the National Coordinator for Health IT (ONC).
Grant size: Up to $2 million.
Qualification: Must be U.S.-based public or private for-profit organizations (including small businesses). Specific eligibility criteria vary depending on the funding opportunity and year.
How to apply: Submit a 500-word project abstract to grants.gov.
Provided by HHS’s ONC, LEAP in Health IT supports organizations aiming to accelerate the development and deployment of advanced health IT solutions. This initiative seeks to address significant healthcare challenges, foster innovation, and advance health information technology.
Each year, ONC invites applications for LEAP in Health IT to tackle specific innovation areas. In 2024, priority was given to projects focused on improving healthcare data quality for AI tools and advancing health IT adoption in behavioral health settings.
While most HHS grants target states, territories, tribes, and educational institutions, U.S.-based for-profit organizations, including small businesses, are eligible to apply for LEAP in Health IT.
AHRQ Digital Healthcare Solutions (R21/R33)
Grant type: Federal grant — the Agency for Healthcare Research and Quality (AHRQ).
Grant size: R21 Phase — up to $275,000/2 years; R33 Phase — up to $300,000/year.
Qualification: Must be a U.S.-based for-profit organization or small business with a robust scientific foundation and innovative approach.
How to apply: Submit an application via ASSIST, institutional system-to-system solution, or Grants.gov Workspace (single-project only).
This grant supports startups in the early and conceptual stages of digital healthcare projects. Recipients of the AHRQ Digital Healthcare Solutions (R21/R33) grant can develop interventions that enhance care quality and service delivery at the point of care. The R21 phase funds initial developmental activities over two years, while the R33 phase provides up to three years of additional funding based on progress.
For startups, this grant offers a pathway to secure funding while validating their digital health solutions. It also facilitates collaborations with academic institutions, healthcare providers, and other stakeholders.
NSF SBIR/STTR Digital Health Topic
Grant type: Federal grant — the National Science Foundation (NSF).
Grant size: $200+ million total funding, up to $2 million per startup.
Qualification: Must be a U.S.-based small business with fewer than 500 employees and at least 50% equity owned by U.S. citizens or permanent residents.
How to apply: Submit a project pitch to confirm eligibility; if selected, submit a full proposal through the NSF grants.gov portal.
America’s Seed Fund, powered by NSF SBIR/STTR, supports early-stage healthcare startups in transitioning from lab to market. Each year, approximately 400 startups receive funding to advance medical devices, AI algorithms, and other tech innovations.
Startups initially receive up to $305,000 for research and prototype development (6–18 months). Successful projects can apply for Phase II funding, up to $1.25 million, to further develop their product over 24 months. Additional funding of up to $500,000 is also available.
Startups must meet strict eligibility criteria, including U.S. ownership and employee limits, while majority venture capital-owned companies are ineligible.
NIH Smart Health Research Grants
Grant type: Federal grant — National Institutes of Health (NIH) and NSF.
Grant size: Up to $1.2 million over four years, varying by project and funding availability.
Qualification: U.S.-based for-profit companies partnering with academic institutions or non-profits.
How to apply: Submit a research proposal and documentation via Grants.gov.
These grants support high-risk, high-reward research projects in biomedical and public health. Eligible projects include biomedical engineering, child health, allergy prevention, and neurological disorders.
For-profit companies must collaborate with academic or non-profit partners to apply. This joint approach enables diverse research projects with potential for significant impact.
PhRMA Foundation Digital Health Grants
Grant type: Private grant — the PhRMA Foundation.
Grant size: $25,000 to $500,000, depending on the project.
Qualification: Open to U.S. and non-U.S. citizens employed full-time at accredited U.S. universities or research institutions.
How to apply: Submit proposals via JMCP’s online submission portal.
Focused on fostering digital health research, PhRMA Foundation Digital Health Grants have funded projects addressing health disparities and improving clinical trial diversity. Startups cannot directly apply but may collaborate with eligible researchers.
DHI Accelerator Program
Grant type: Institutional grant — the University of Utah Health Sciences.
Grant size: Up to $50,000.
Qualification: Restricted to projects affiliated with the university.
How to apply: Complete and submit the Digital Health Accelerator Interest Form.
This program supports digital health innovations with potential for lasting impact. Seed grants and pilot projects often serve as foundations for larger federal grants. While specific to the university, startups can collaborate on affiliated projects.
Stanford Center for Digital Health Pilot Grants
Grant type: Institutional grant — Stanford University.
Grant size: $50,000 per awardee.
Qualification: Restricted to university-affiliated projects.
How to apply: Submit a research proposal through the designated portal.
Stanford’s Pilot Grants support diverse digital health projects, prioritizing high-impact initiatives. In 2024, focus areas included ethical AI in health, longevity solutions, and addressing health disparities. Collaborative proposals from multiple departments are encouraged.
Digital Health Hub Foundation Grants
Grant type: Private non-profit foundation grant.
Grant size: Minimum $50,000.
Qualification: Varies by track.
How to apply: Submit applications via the online portal.
These grants reward innovative health tech companies across 13 categories. Awardees gain funding and access to a 30,000-member network of healthcare professionals and investors.
NCAA Innovations in Research and Practice Grant Program
Grant type: Private non-profit foundation grant.
Grant size: Minimum $100,000.
Qualification: Project directors must be employed at NCAA member institutions.
How to apply: Submit a one-page proposal online; finalists submit full proposals.
This program funds research and pilot initiatives to enhance student-athlete mental health and well-being. In 2024, $100,000 supported three research teams studying mental health and social media use among student-athletes.