WASHINGTON — Today, on the first day of National Veterans Small Business Week, the U.S. Small Business Administration (SBA) announced a $500,000 national pilot program with VetsinTech to back veteran entrepreneurs in the fast-growing drone and aerospace sectors. Building on the recently launched Smaller War Plants Commission, this new initiative supports SBA’s broader effort to grow the Arsenal of Freedom by surging capital and resources to the small businesses that comprise 70% of America’s defense industrial base.
“Veterans possess the expertise and ingenuity required to drive American leadership in civilian and defense technology, secure our critical supply chains, and scale our defense industrial base,” said SBA Administrator Kelly Loeffler. “Building on the momentum of our newly established Smaller War Plants Commission, the SBA is taking direct action to mobilize veteran founders into our defense supply chain and expand the Arsenal of Freedom. By working with VetsinTech, SBA is deploying capital directly into a high-impact, veteran-led network that connects our nation’s heroes with financing, federal procurement, and workforce development in critical skilled jobs to ensure that the men and women who defended our country are equipped with the latest advancements in drone technology.”
"This generation of warfighters understands unmanned systems from the operational side,” said Katherine Webster, CEO of VetsinTech. “The ViT Vets in Drones program will give them the business training, mentors and customer connections to turn that experience into companies that build here at home. We're grateful to the SBA and the Office of Veterans Business Development for investing in veteran founders in one of the fastest-growing sectors in the country.”
The initiative addresses critical supply chain gaps in the $10.75 billion U.S. drone and dual-use aerospace sector by pairing veterans' unique operational discipline and aerospace experience with the specialized tools needed to build, scale, and finance domestic technology ventures. By leveraging VetsinTech’s 120,000-member, 29-chapter national footprint as a force multiplier, the pilot expands access to SBA products, capital, and federal contracting opportunities for military veterans, transitioning service members, and military spouses.
The pilot creates a two-track pipeline designed to reach 1,000 military-connected individuals, with approximately 100 early-stage ventures selected for regional cohorts and 25 established companies receiving scale support. Dedicated VetsinTech bootcamps, supported by SBA-coordinated Veterans Business Outreach Center (VBOC) referrals, will provide pitch training, regulatory literacy, and financing support. For growth-stage companies, the initiative will identify qualifying military-connected ventures generating at least $1 million in annual revenue to offer capital access support and structured matchmaking through the VetVC investor network, while helping defense-relevant startups pursue military acquisition opportunities.
Additionally, the program will connect participating companies with veteran and military-spouse technical and operational talent through VetsinTech’s talent network. It will serve as a specialized sector continuation of foundational programs and services like Boots to Business and VBOC counseling, positioning SBA to support veteran founders building emerging technologies in drones and dual-use aerospace.
Regional cohorts will launch across key innovation and defense-oriented markets, including the San Francisco Bay Area, San Diego, Washington, D.C., and Northern Virginia, Austin and San Antonio, and across the state of Florida, with locations coordinated in alignment with SBA and U.S. Department of War priorities.
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About the U.S. Small Business Administration
The U.S. Small Business Administration helps power the American dream of entrepreneurship. As the leading voice for small businesses within the federal government, the SBA empowers job creators with the resources and support they need to start, grow, and expand their businesses or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.
About the Office of Veterans Business Development
The SBA Office of Veterans Business Development (OVBD) works through SBA’s extensive resource partner network, including 51 Veterans Business Outreach Center (VBOC) locations throughout the nation. VBOCs are the leading partners in delivering the “Boots to Business (B2B),” “Boots to Business Reboot,” and “Military Spouse Pathway to Business” programs—entrepreneurship courses offered on military installations and in local communities. Since B2B’s inception in 2013, these programs have collectively trained and graduated nearly 260,000 service members, veterans, National Guard and Reserve members, and military spouses. OVBD’s broader resource partner network also includes Small Business Development Centers, the SCORE mentoring program, and Women’s Business Centers. For more information on the resources available for veteran entrepreneurs, visit sba.gov/veterans.