Navigating the Fallout Funding Timeline: Building Your FY26 Revenue Pipeline

As we head into 2026 with SBIR reauthorization still uncertain, now is the time to think strategically about building your revenue pipeline for FY26 without relying on this program.  One of the most critical—and often overlooked—strategies is leveraging the fallout funding process. This process isn’t a last-minute scramble; it’s a structured cycle that begins months in advance and rewards those who plan early. By understanding how fallout funding works and positioning your technology and solutions ahead of the curve, you can ensure your organization remains competitive and ready to capture opportunities when they arise.

Why Timing Matters

Fallout funding expires at the end of September each year. While the money typically hits contract vehicles between July and September, the decisions that drive those allocations start much earlier. In fact:

• November–January: Initial packages are prepared.
• February–March: Rack-and-stack prioritization begins.
• August–September: Funds are obligated to contracts.

‍

This means the process is already underway 9–12 months before the money flows. If you wait until summer, you’re too late.

Three Essentials for Success

To capitalize on fallout funding opportunities, you need:

1. People – Build     relationships with operational units and program offices now.
2. Paperwork – Prepare     statements of work, cost estimates, and sole-source justifications early.
3. Process – Understand     the approval chains and review cycles to avoid bottlenecks.

Operational Level vs. Program Office

• Operational Units (Squadrons, Groups, Wings, Deltas):
      These teams often treat fallout funding as an additional duty. Many lack     experience with contracting paperwork, so education is critical. Help them     navigate requirements like Phase III authority and justification     documents.
• Program Offices:
      Their cycles run even longer. By summer 2025, many will already be     prioritizing FY26 fallout funding. They operate within broader PPBE and     palming cycles, which are multi-year processes. Expect them to lean     ahead and plan far in advance.

Action Steps Right Now

• Engage with end users to generate interest and buy-in.
• Educate customers on the fallout funding process.
• Prepare documentation early to avoid delays.
• Track palming and PPBE cycles—they influence fallout funding priorities.

‍

Bottom Line

If you want to see money on your contract by summer or fall of 2026, the work starts today. Build relationships, educate stakeholders, and get your paperwork in order. Fallout funding isn’t a last-minute scramble—it’s a long game that rewards proactive planning.

‍