You're absolutely correct.
One of the key characteristics of SBIR is that it's a phase one and phase two process. It goes from what is called TRL 1, Technological Readiness Level, at the very beginning, the first phase, which allows an investment of up to US$150,000 usually for about six months, and if that then is evaluated and found to be effective, they will then decide to invest on the second phase, which could be up to another two years and up to $1.5 million.