Opportunity Information: Apply for OIT STEP 2023 02

The State Trade Expansion Program (STEP) is a discretionary grant opportunity run by the U.S. Small Business Administration (SBA) to help state governments strengthen export activity among eligible small business concerns (ESBCs). STEP was made a permanent part of the Small Business Act through the Trade Facilitation and Trade Enforcement Act of 2015 (HR 644), which was signed into law on February 24, 2016. The core idea is that states (and equivalent entities) are often best positioned to identify local companies with export potential and to deliver practical, on-the-ground support that helps them enter or expand in international markets.

The program funds state-led projects specifically designed to support export development for ESBCs, using the eligibility definitions referenced in the program materials (including Section 8.1.5 for ESBCs and Section 8.1.15 for what counts as significant new trade opportunities). In practical terms, this means the grant is intended to help states build or enhance services that move small businesses from interest to action in exporting, reduce barriers to entering foreign markets, and connect firms with credible pathways to international sales growth.

STEP’s objectives are clearly focused on measurable export outcomes. First, it aims to increase the number of U.S. small businesses that export, meaning it prioritizes helping companies become first-time exporters or transition from limited exporting to more consistent participation in global trade. Second, it seeks to increase the dollar value of exports, emphasizing not just participation but real growth in export sales. Third, it targets an increase in the number of small businesses exploring significant new trade opportunities, which highlights early-stage market exploration activities that can lead to longer-term exporting, such as investigating new countries, channels, or buyer segments.

This particular opportunity, listed as "State Trade Expansion Program (STEP)" under Funding Opportunity Number OIT STEP 2023 02, is categorized as a grant within the Business and Commerce funding activity area (CFDA/Assistance Listing 59.061). The only eligible applicants are state governments, reinforcing that this funding is meant to be administered at the state level rather than awarded directly to individual companies. The grant opportunity was created on March 1, 2023, with an original application closing date of March 15, 2023. The award ceiling is $175,000, and the listing indicates an expectation of one award for this opportunity as posted.

Overall, STEP is structured as a state capacity-building and service-delivery grant that ultimately benefits small businesses by expanding export readiness, improving access to international opportunities, and increasing the scale and value of U.S. small business exports. The program’s design reflects a straightforward policy goal: use targeted state-administered support to help more small firms reach foreign customers, sell more abroad, and confidently pursue new international markets.

  • The Small Business Administration in the business and commerce sector is offering a public funding opportunity titled "State Trade Expansion Program (STEP)" and is now available to receive applicants.
  • Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 59.061.
  • This funding opportunity was created on Mar 01, 2023.
  • Applicants must submit their applications by Mar 15, 2023. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
  • Each selected applicant is eligible to receive up to $175,000.00 in funding.
  • The number of recipients for this funding is limited to 1 candidate(s).
  • Eligible applicants include: State governments.
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STEP Grant (OIT STEP 2023 02) - Frequently Asked Questions

What is the State Trade Expansion Program (STEP)?

The State Trade Expansion Program (STEP) is a discretionary grant program run by the U.S. Small Business Administration (SBA). It provides funding to state governments to strengthen export activity among eligible small business concerns (ESBCs) by supporting state-led export development projects.

Who runs and administers STEP?

STEP is run by the U.S. Small Business Administration (SBA). Funding is awarded to state governments, which then administer state-led projects designed to support export development for eligible small business concerns (ESBCs).

Why does STEP fund states rather than providing grants directly to small businesses?

STEP is structured around the idea that states (and equivalent entities) are often best positioned to identify local companies with export potential and deliver practical, on-the-ground support. The funding is meant to build or enhance state capacity and services that help small businesses enter or expand in international markets.

What is the main purpose of this STEP funding opportunity?

This opportunity funds state-led projects specifically designed to support export development for eligible small business concerns (ESBCs). In practical terms, it supports services that help small businesses move from interest to action in exporting, reduce barriers to entering foreign markets, and connect firms with credible pathways to international sales growth.

What outcomes is STEP designed to achieve?

STEP is focused on measurable export outcomes, including:

  • Increasing the number of U.S. small businesses that export
  • Increasing the dollar value of exports
  • Increasing the number of small businesses exploring significant new trade opportunities

What does STEP mean by increasing the number of small businesses that export?

The program prioritizes helping companies become first-time exporters or helping businesses move from limited exporting to more consistent participation in international trade.

What does STEP mean by increasing the dollar value of exports?

Beyond increasing participation, STEP emphasizes real growth in export sales value. The objective is not only for more firms to export, but for export activity to translate into increased export revenue.

What are "significant new trade opportunities" in STEP?

STEP includes an objective to increase the number of small businesses exploring significant new trade opportunities. The program materials reference a definition for what counts as significant new trade opportunities (including Section 8.1.15). In general, this emphasizes early-stage market exploration that can lead to longer-term exporting, such as investigating new countries, channels, or buyer segments.

What are Eligible Small Business Concerns (ESBCs) under STEP?

STEP targets support to eligible small business concerns (ESBCs) as defined in the program materials, including the eligibility definitions referenced in Section 8.1.5. The grant supports state projects intended to benefit those eligible small businesses through export development services.

What is the Funding Opportunity Number for this listing?

The Funding Opportunity Number is OIT STEP 2023 02.

What is the official program name shown in the opportunity?

The opportunity is listed as "State Trade Expansion Program (STEP)."

What funding type is this opportunity?

This opportunity is categorized as a grant.

What is the funding activity area for this opportunity?

The funding activity area is Business and Commerce.

What is the CFDA/Assistance Listing number for STEP?

The CFDA/Assistance Listing number shown is 59.061.

Who is eligible to apply for this STEP opportunity?

The only eligible applicants listed are state governments. This reinforces that the award is made at the state level rather than directly to individual companies.

Are small businesses eligible to apply directly for this grant?

No. Based on the eligibility information provided, only state governments are eligible applicants for this funding opportunity.

When was this grant opportunity created?

The opportunity was created on March 1, 2023.

What was the application closing date?

The original application closing date was March 15, 2023.

What is the maximum award amount (award ceiling)?

The award ceiling listed for this opportunity is $175,000.

How many awards are expected for this opportunity?

The listing indicates an expectation of one award for this opportunity as posted.

What law made STEP a permanent program?

STEP was made a permanent part of the Small Business Act through the Trade Facilitation and Trade Enforcement Act of 2015 (HR 644), signed into law on February 24, 2016.

What kinds of activities does STEP generally support (at a high level)?

Based on the description provided, STEP supports state-led export development projects that help small businesses reduce barriers to entering foreign markets, improve export readiness, and pursue international sales growth. It also supports activities that help firms explore new international markets and opportunities.

What is the overall structure of STEP as described in this opportunity?

STEP is a state capacity-building and service-delivery grant. The funding goes to states to operate or strengthen export support efforts that ultimately benefit eligible small businesses by expanding export readiness, improving access to international opportunities, and increasing the scale and value of U.S. small business exports.

What is the policy goal behind STEP?

The policy goal described is to use targeted, state-administered support to help more small firms reach foreign customers, sell more abroad, and confidently pursue new international markets.

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