While just a small percentage of the total venture, corporate, angel activity, the role that early stage investors has and should play in the early development of research institution technologies and startups should not be discounted.
More than the capital itself, these investors and partners bring a wealth of market knowledge and networks of management talent and business connections. Research institutions can take advantage of this resource by strategically integrating investors and corporations into their operation, especially in evaluatory and advisory functions.
In this session, we will discuss how active relationship-building between research institutions and the investment and corporate community supports operations, orders startup priorities, and strategically directs limited development capital in the near-term, while setting up the possibility for later investment and commercial partnership.
Over 30 states in the US and countless established and emerging innovation economies across the globe are actively supporting these funding programs. In our most recent survey, over 30% of all gap funding support came from these agencies and initiatives.
State, regional, and federal governments are a growing source of funding for translational research, proof of concept, and startup funding often in collaboration and support of opportunities stemming from research institutions. These initiatives are motivated by the promise of economic development, and business and talent development/attraction/retention.
Join us to take a look into these programs and here from both university-public gap funding partnerships to learn how to develop and expand on these collaborations
Mind the Gap Summit: Turn Alumni, Foundations, and Friends of the University into Gap Fund Investors
Donations, endowments, and direct investments from alumni, private foundations, and other stakeholders of the research institution into supporting gap funding programs, is the largest and growing source of proof of concept and startup funding programs. These friends of the university contribute over 50¢ on every dollar into the formation of these funds.
Proof of concept and startup gap funding programs embody the intersection between research institution innovation, societal benefit, and philanthropy. They offer a natural link to engage alumni, foundations, corporations, and friends of the universities.
These funds and programs require coordination between the Tech Commercialization Offices, Corporate & Foundation Relations , Development Offices, and Alumni Offices and are a great example of the emerging trend of campus-wide collaboration in innovation partnership and commercialization priorities.
Join us as we take a multi-perspective approach to how groups are best structuring their programs for philanthropic partnerships as a major source for innovation funding and support.
Startup Formation gap funds assist in the formational steps of spin-outs — even prior to becoming a legal entity. This gap fund type could be seen as a startup-focused extension of proof of concept funding that further develops the business application of the technology through market research, product development, business development, management, space, and equipment to attract third party interest and capital
These funds are primarily administered by the technology transfer office and associated venture centers. External public-private arrangements to support business creation are administered by sponsoring agency or through close collaboration with the research institution
Startup Growth gap funds invest in scaling and growing established spin-outs. Research institutions have created, spun out, or partnered with seed funds and accelerators, both public and private, to fill this void in early stage startup capital and to directly invest in their own startups. Some institutions are even beginning to invest in non-institution startups.
Centrally managed Startup Growth gap funds are limited based on the required capital. To overcome this challenge and mitigate risk, research institutions may partner with existing early stage venture firms or corporate investor groups
From our analysis of over 50 University-affiliated Proof of Concept programs, we have observed their strength in moving technology to a point of commercialization, while acting as an effective means to leverage and attract outside capital and expertise.
Proof of Concept (POC) gap funds evaluate commercial potential, demonstrate the value, and generally de-risk (or perception of risk) the project to commercial partners or investors. Achievements like prototypes and commercial assessment help to identify and secure a route to commercialization, if one exists. POC funds also identify weakness in the technology for further development, or help avoid costs by deciding not pursue the technology
These funds are often administered centrally through the technology transfer office, research foundation, central research administration, or the equivalent at the college-level. Externally-partnered public funds, accelerators, and corporate funds run independently or in close collaboration with the research institution.
Crowdfunding is an emerging investment vehicle that may be better positioned to support the capital requirements of translational research, proof of concept projects, and early-stage start-ups than more traditional capital sources, like venture capital and angel investment. This hour-long event will be a web-enabled discussion and cover examples at three leading institutions
Crowdfunding is an emerging investment vehicle that may be better positioned to support the capital requirements of translational research, proof of concept projects, and early-stage start-ups than more traditional capital sources, like venture capital and angel investment. This 90-minute discussion will introduce you to university crowdfunding policy implications and two, operational university crowdfunding platforms