Dilutive and non-dilutive capital

November 13, 2019 Jane 0

There are two types of capital to consider when starting your biotech; dilutive and non-dilutive. Becoming too diluted at the beginning risks loss of motivation and feelings of ownership for the founders – two elements crucial to its success. Go for a combination of both, advises entrepreneur and consultant Peter Harboe-Schmidt.

Non-dilutive capital

There are various types of non-dilutive funding available if you have the discipline to look for them. They include grants (see box), prizes and awards like the Red Herring award (which also helps with visibility and recognition) subsidies and customer and industry partnerships.

Grants and writing the grant application

Company grant applications are often a complex endeavor…

Attached Issue № 0819
Inside the mind of investors

How to get VC attention

November 11, 2019 Jane 0

Fred Hammack, a venture consultant, has benefited from an education in classics and finance. A fortuitous decision, he says, because “once you understand maths and statistics, you can read any paper on the planet and as long as you have the vocabulary, you can learn the underlying technology”.

Adopting an interdisciplinary approach, crafted from years of experience in different industries, Fred has an intrinsic understanding of what drives a biotech business. This understanding of the science and the business allows Fred the benefit of many perspectives, allowing him to really help people understand what it takes to gain investments in the space, how to get someone’s attention and how to build successful business models.

How does a start-up get onto your radar?

Two things…

Attached Issue № 0819
Inside the mind of investors

The attack of founderitis and why not to forget your grandma

September 19, 2019 Jane 0

One of my heroes in life is my dad, a paediatric surgeon renowned for his abilities. He is one of the smartest people I’ve ever met, but if you challenged him to commercialize something, he would fail. I wouldn’t trust him to manage a dollar. I would trust him with my life, but I would not trust him with my start-up.

That’s not a criticism of him, but if you are that incredibly smart researcher, that person who’s able to do incredible discovery on the bench, that person that has incredible scientific ability, it’s important to be realistic. Some can deal well with the crossover and some of them…

Attached Issue № 0519