The Grants Story

Daniel Powell [00:00:03]:
One of the reasons we've been able to advance the science of wearable neurostimulation so much in just six years—with close to 16 clinical studies underway—is because of federal grants from the NIH and the Department of Defense. It’s allowed us to make progress we could never afford otherwise.

Alejandro Covalin [00:00:26]:
The United States is really unique in how much risk it takes to enable invention and innovation. The amount of money the government gives to advance science and technology has no parallel. I have colleagues in Europe who envy us—they just don’t have the resources or backing. The U.S. government plays a visionary role in pushing science forward. They take a risk, but it often pays off.

Alejandro Covalin [00:01:31]:
That’s why so many large corporations were enabled by federal money—and they pay it back in the form of taxes and economic growth. It’s not a handout; it’s an investment.

Daniel Powell [00:01:46]:
Exactly. They even describe it that way—they’re investing in us.

Alejandro Covalin [00:01:53]:
And it’s competitive. Maybe only 10% of applicants get awarded.

Navid Khodaparast [00:02:00]:
It’s probably even less, depending on the mechanism and type of grant.

Daniel Powell [00:02:06]:
Can you walk us through what goes into getting a grant? We get a lot of questions about this from others trying to follow in your footsteps.

Navid Khodaparast [00:02:24]:
There’s a concept called “grantsmanship”—it’s almost like sales. You need to know your audience, understand the unmet need, and communicate what’s novel and meaningful. We go after SBIRs—small business grants for companies with fewer than 500 employees. These grants assess five key areas:

Navid Khodaparast [00:03:27]:

1. Significance: The problem must be meaningful. If 100 treatments already exist, the significance is low.
2. Innovation: Are you doing something completely new? We were the first to use vagal and trigeminal nerve stimulation together.
3. Approach: Is your plan feasible, fundable, and doable in a short timeframe?
4. Team: Do you have strong internal capabilities and solid partners—academia, vendors, other companies?
5. Environment: Do you have the infrastructure, tools, and facilities to actually carry it out?

Navid Khodaparast [00:05:32]:
When I read or write a grant, I’m always asking: “Who cares?” And I think of NIH or DoD like investors. They’re investing real capital, even though it’s non-dilutive. So you have to write the grant to minimize perceived risk. They’ll ask: Is the tech viable? Has the team delivered before? The fewer red flags, the better.

Daniel Powell [00:06:39]:
And your perspective is informed by the fact that you’re now an NIH grant reviewer.

Navid Khodaparast [00:06:47]:
Yes, for the last few years I’ve served on review panels. Each panel has scientists, physicians, and industry experts. We review 30–40 grants per cycle, and each reviewer scores 3–5 grants based on scientific merit and feasibility.

Navid Khodaparast [00:07:26]:
The process really opened my eyes—there are so many incredible ideas, but not all can be funded. Sometimes it's just about which one has the best shot at success or commercialization.

Daniel Powell [00:08:28]:
So once you get a grant, they just hand over a big stack of money, right?

Navid Khodaparast [00:08:34]:
Kind of.

Daniel Powell [00:08:35]:
No, no—say it again. Once you get the grant, they just write a check and you do whatever you want?

Navid Khodaparast [00:08:45]:
No, not even close. It takes about nine months from proposal submission to funding. Once you get your Notice of Award, there are stipulations. You’re obligated to complete the work. You receive the money in a draw-down account—you spend, then get reimbursed. You must hit milestones and file annual progress and financial reports.

Daniel Powell [00:09:57]:
And we’ve put a lot of rigor into our tracking systems to ensure compliance. We even conduct a dedicated annual grant audit to make sure every dollar is accounted for.

Navid Khodaparast [00:10:20]:
It’s not small money. A Phase I grant might be $300,000–400,000, but Phase IIs can go into the millions—even $10 million. At that level, you need serious governance and quality systems in place.

Alejandro Covalin [00:10:44]:
And I want to reiterate how forward-thinking the U.S. government is. This kind of investment doesn’t happen anywhere else.

Daniel Powell [00:10:58]:
It’s allowed us to make huge leaps.

Navid Khodaparast [00:11:02]:
Absolutely. We’ve mostly talked about NIH, but DoD funding is a bit different. They’re focused on military needs and applications. We’ve received funding through the Army and Air Force, especially for mental health and cognitive resilience.

Daniel Powell [00:11:51]:
Well, we appreciate all your work managing these grants—and we’re incredibly grateful for the federal support. Those 16 clinical trials? Just the beginning.

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