BioBoot Camp - 2016 Building Life Science Businesses Transforming Technology Into A Company Community Resources The ICR Role CBSA Presentation Offices of DORSEY & WHITNEY LLP / April, 2016 1
Innovation Dilemma University TTO & Start Up Challenge How to move early stage innovation along the commercialization path. Decision to patent & Budget constraints. Know that not all IP will be successful. Offering market value to change current practices or meet new & expanding needs. How do you improve the odds of a commercial success? What constitutes success? What is an effective commercialization strategy? What are the key steps to be taken along the path? Who are those w/ the qualifications & meaningful experience to assess the opportunity & give objective input on the needed direction? at what time in the process? in what role? 2
Innovation Dilemma ICR - University TTO & Start Up Partnership Early in the process Provide domain expert assessment & input on the opportunity & requirements for commercial success Stage of technology readiness / need for further proof of concept studies / market size / history of market innovation / major players & contacts Requirements & strategies for success considering various commercialization pathways Grant focus / contract research / strategic partnership / licensing / new company startup Facilitate experts tactical role in supporting / directing the efforts to commercialize the technology Technical advisor / business driver / recruiting startup company leadership 3
ICR Model University of Colorado Colorado School of Mines Colorado State University University of Denver University of Wyoming PM-BIO PM-Clean Tech/Eng. PM-IT/Software PM-CSM PM-CSU PM-DU PM-UW 1,800 Volunteer ICR Advisors 1,100 ICR Projects Cloud Based CRM Structure Non Colorado Advisor Participation (via teleconference) Innovation Center of the Rockies HQ in Boulder Process Control & Development Infrastructure: Acct/CRM/CC/Web Advisor First Contact Client First Contact Pitch Prep Recruiting BioScience Natural & Organic Clean Tech & Energy Agriculture Engineering Aerospace IT/Software Veterinary 4
University Commercialization Project Example: High market potential, IP in place, Faculty interested in commercialization, Little commercialization progress via normal licensing channels. ICR University Process: 1. Invitation from Tech Transfer to work on project 2. ICR staff meet w/ faculty. Present the ICR domain expert process, define the role of the faculty and/or research team in the process, understand the faculty s goal in commercialization. 3. Present group w/ document requesting support & desire to work w/ ICR. 4. With agreement to proceed, ICR starts recruiting domain experts. 5. Set first meeting for faculty to present research to domain experts. Open discussion w/ advisors directed by ICR Program Manager 6. With interest from both advisors & group, ICR can facilitate formation of a new startup or help find a strategic partner investment. 5
University Commercialization Results (2006 through Present) ICR has been introduced to 289 inventions across 5 universities ICR staff has met w/ 211 faculty teams (73%) ICR has formed 103 domain advisor groups that have met w/ research faculty to discuss strategies to commercialize their IP (36%) ICR has achieved 88 commercial outcomes (30%) Of the 88 commercial outcomes we have helped form 19 startups & introduced 8 strategic partners (9.3%) ICR received the 2013 SSTI national award for Commercializing Research 6
Early Stage Companies Early stage companies have similar issues to those of the University TTO s How to gain needed information on markets / key contacts / etc. How to attract key knowledge & leadership talent w/ little or no funds What sources of investment are available to the new company? How does the company pursue them? The ICR Model works to assist early stage startup companies Facilitate experts tactical role in supporting / directing the efforts to commercialize the technology Technical advisor / market knowledge / business driver / startup company leadership / introduction to professional services / introduction to angel investors & strategic partners. 7
Early Stage Company Impact (2006 through Present) ICR has spoken w/ >1000 start-up companies about the challenges that are limiting their growth & overall success ICR has worked directly w/ 114 early stage companies assembling a unique ICR advisor team for each company ICR has been involved in 51 leadership placements w/ these companies Cumulative Economic Impact Since 2006 (Early Stage & University Projects): New Jobs Created; 624 Wages & Salaries Paid; $107.2M New Capital Raised; $105.8M Company Revenues; $211.8M 8
Early Stage Company Impact Launch NY Economic Development Efforts (Upstate NY.) Recently won a $500,000 Economic Development Agency (EDA) grant as a coapplicant, Transforming a Traditional Economy through an Enhanced Mentorship Model. Large investment by the State of New York to try to reverse economic decline in 20 State of New Your counties. (Buffalo --- Albany) ~100 startups in this community supported by LNY Contracted w/ ICR to work w/ ~10 high potential startups overcome obstacles & boost growth. Agreement expanded to next 10 companies ICR Supplies LNY 2 Key Services: Experience in working w/ hundreds of startups & know how to talk to the management & identify critical issues Introducing our network of ~1800 domain experts who understand the companies technology & target customers 9
Early Stage Company Impact Front Range Identified & recruited Business Drivers for 6 university startups Working w/ Company, BD fills Bus Dev role to define strategic options & develops tactical plan for execution. Resulted in 4 C Level roles Companies currently seeking funding &/or contract research Nationally Case Western Reserve TTO introduced ICR to faculty/founder of Folio Photonics Low cost digital storage company. Company raised $4M but not able to find a suitable CEO or Senior Engineering staff. Using ICR network, recruited both CEO & Senior Engineer. CEO position, identified & interviewed 23 candidates. Company talked w/ 4. These candidates are better than anyone we have talked to previously Founder Contact initiated at Federal Lab Review organized by the White House National Economic Council. 10
Economic Impact ICR Economic Impact 2009 2010 2011 2012 2013 2014 Total Since 2006 Jobs created 135 93 60 96 74 52 624 ICR Clients 59 74 77 128 135 117 703 Company Inquiries 127 166 103 136 164 102 1,029 Revenues (million) $29.9 $51.7 $26.2 $33.3 $19.8 $21.3 $211.7 New Capital (million)* $21.7 $21.9 $22.3 $16.1 $8.8 $6.1 $105.8 Salaries & Wages (million) $15.3 $21.6 $16.7 $18.6 $10.4 $8.7 $107.2 Leased Space (sq-ft) 125,420 143,870 134,995 130,495 78,095 62,145 705,020 Legal Expenses (000) $957 $826 $879 $760 $786 $246 $4,890 Accounting Expenses (000) Real Estate Expense (000) Insurance Expense (000) $390 $458 $322 $371 $253 $214 $2,723 $1,343 $1,681 $1,189 $1,198 $690 $553 $7,630 $555 $768 $415 $276 $151 $123 $2,676 Data collected from ICR company clients over the past 6 years. Collected per National Business Incubator Association guidelines. 2014 information collected by survey of 28 past & present clients. * Includes equity, debt & grants received. 11
Contact Information Innovation Center of the Rockies 1155 Canyon Blvd, Suite 400 Boulder, CO 80302 Web Page: www.innovationcenteroftherockies.com LinkedIn Page: www.linkedin.com/company/innovation-center-of-the-rockies Tim Bour - Executive Director 303.444.2111 tim@innovationcenteroftherockies.com Warren Mauter Life Science Program Manager 303.885.5204 warren@innovationcenteroftherockies.com 12