National Science Foundation (NSF)
The National Science Foundation normally awards grants to various types of organizations. The cost principles applicable to the awardee vary depending upon the type of organization. For instance, commercial firms are normally held to the Federal Acquisition Regulations (FAR) for cost principles (FAR Part 31) and financial management systems that comply with OMB Circular A-110, Subpart C.21 (2 CFR §215.21).
The NSF SBIR/STTR program is usually governed by a special set of NSF regulations (Phase I and Phase II) found on the NSF website. The NSF also allows the applicant for Phase I awards to budget up to $10,000 to set-up a compliant accounting system. As an awardee, it is imperative that your set-up and maintain a compliant accounting system for your NSF Ph I award.
"Why do I need a Compliant Job Cost System for an NSF SBIR/STTR Phase I Award?"
Because your Ph II Funding, and possibly the future of your business, depend on it!
With the submission of cost reports, and the final report, the government wants you to declare, under penalty of perjury, that the money spent was in accordance with the proposed budget. The only way to prove this is to have a job cost accounting system, and a properly maintained labor distribution & timekeeping system. You also need to ensure this system was properly maintained throughout the duration of the grant. ReliAscent's NSF Program provides you with that system, and ensures you can focus on your grant.
The NSF CAP Review
Before a small business receives its Phase II award, Cost Analysis & Pre-Award (CAP) Branch Auditors will need to verify that the Phase I spending was made in accordance with FAR Part 31. Meaning, you must produce a Ph I spending report (as if the award were a cost-type contract, instead of fixed price). If you fail to produce this report correctly, you will not receive the phase II funding!
In order to pass the CAP review, you must certify that this is how you keep your books and records. With ReliAscent’s help, your small business can set up and maintain a compliant accounting system, and pass your CAP review (our experts have a 100% success rate helping clients pass their CAAR/CAP reviews).
NSF SBIR/STTR Ph I Accounting Services & Products
ReliAscent offers 3 NSF SBIR/STTR Compliant Accounting System Packages for Ph I awardees, and the option for complete outsourced accounting during your Ph I (for companies that do not have an accounting experience or an accountant or bookkeeper on staff). These packages are designed to work with QuickBooks Online, and allow the awardee to perform their own compliant accounting during the award, as well as to help you ensure compliance, price your Ph II proposal, and even pass the NSF CAP Review (formerly known as the CAAR Review). Contact ReliAscent for Program Pricing