.Adam Ligeralde.’s Post

Biotech startups face unique challenges in the funding landscape, requiring significant initial capital to fuel R&D, clinical trials, and regulatory approvals before seeing any revenue. This high-risk, high-reward environment can be daunting to navigate. The latest article by Labiotech.eu provides a comprehensive guide to the various funding options available to biotech startups. #Biotech #Startups #Funding #RD #Innovation

How it is done.

More Ideas on Navigating the Biotech Fundraising Landscape: Psychology, Truthfulness, and Objections The biotech sector is currently experiencing a significant slowdown in venture creation. Recent data from Pitchbook indicates that the first quarter of 2024 saw the lowest rate of new biotech startups in eight years, with just over 60 companies securing their initial financing—a dramatic decrease of 50-60% from the industry's peak in 2021. As the fundraising environment has grown more complex, securing meetings with the right investors has become more challenging. To boost your chances of success in these critical interactions, it is important to understand investor psychology, maintain a commitment to transparency, and proactively prepare to handle objections. Fundraising Insights: ·      Understand Investor Psychology: Recognize that investors are inherently inclined to look for reasons to reject a pitch. While they may show initial interest by agreeing to a meeting, their primary focus during the discussion is often to identify reasons to decline. ·      Transparency with Weaknesses: Investors seek the truth and appreciate honesty about a company’s flaws. Discussing your startup's limitations can build trust and encourage support, particularly in risk identification and mitigation. ·      Catalog Potential Objections: Create a comprehensive list of potential investor objections. This exercise is key to refining your pitch and strengthening vulnerable aspects of your business. ·      Proactively Address Objections: By anticipating potential concerns, you can develop effective responses and strategies, enhancing the persuasiveness of your pitch. ·      Empathy is Crucial: Put yourself in your investors' shoes to understand their concerns and motivations. This insight allows you to tailor your pitch to directly address these points, significantly boosting its impact. ·      Leave No Room for Doubt: Your goal is to present your business so convincingly that investors have no reasons to hesitate. Thoroughly addressing all potential objections emphasizes the viability and promising future of your startup. #privatebiotechfundraising #fundraisingstrategies

Another excellent post and insights from Atlas’ Bruce Booth! As a tenant rep broker, I have been commenting to landlords and brokers, who often ask what I’m seeing on the ground. I have noted that company formation and demand feels way off. The typically active segment of 5-20,000sf tenant demand is unusually thin- and my gut is that Bruce’s 8 yr record low relates - I’ll ask JLL research to dig into it. Also, looking at the XBI has been a pretty good bellwether for tenant demand and you would find that the recovery that everyone was pointing to in Feb/Mar seems to be receding. Our sector overall and outlook is great, but the macro economy and global instability is a contagion we can’t ignore. Anyhow, read Bruce’s summary and take notes. Being educated and prepared will help us all succeed inspite of the headwinds. I would add that the flight to quality continues- note our amazing clients Mirador, Avenzo, and Endeavor, to name a few- all big raises and oversubscribed (by a lot!). Happy Friday! ; )

Great insight and guidance for entrepreneurs and CEOs.

Research Institution Proof of Concept, Startup Accelerator, and Venture Fund Gap Fund and Accelerator Programs (GAP for short) #innovation #university #research #gapfunding #proofofconcept #startup #accelerator #venture #commercialization

Research Institution Proof of Concept, Startup Accelerator, and Venture Fund Gap Fund and Accelerator Programs (GAP for short) #innovation #university #research #gapfunding #proofofconcept #startup #accelerator #venture #commercialization

Research Institution Proof of Concept, Startup Accelerator, and Venture Fund Gap Fund and Accelerator Programs (GAP for short) #innovation #university #research #gapfunding #proofofconcept #startup #accelerator #venture #commercialization

AgTech Ecosystem - startup fundraising for AgTech startups will be the most challenging in 2024 and will get a little easier in 2025 and a little more easier in 2026, but not for reasons you might expect. I've been talking to a lot of startups and investors about the AgTech investing landscape as we enter Q2 2024. Here's my current perspective: 1) AgriFoodTech VC has already reduced by 68% from $50B in 2021 to $30B in 2022 to $15.6B in 2023. This means that there was a lot of capital flowing in the space 3 yeas ago (and even 2 years ago). A lot of startups that received those checks in 2021 and 2022 are going to be looking for another round of funding soon. 2) The limited partner (LP) funding into venture capital funds is also down, by a lot. So the VCs are not getting the checks they used to get and are having trouble raising new funds. This means two sets of people are sitting on dry powder - LPs are being more careful with their checks and VCs unable to raise new LP capital are slow rolling their checks. 3) The consensus among my network suggests that the most common expectation for 2024 AgriFoodTech VC is $12-15B (low end) to $15-20B (high end). None are predicting we get above $20B in 2024. Many are saying it might not get above $20B in 2025 because (1) IPOs are very unlikely (recent All In + BG2 podcasts suggest needing a clear path to $1B in revenue with good growth rates to IPO - well above old numbers); and (2) strategic investors in key segments (John Deere/CNH/AgCo in automation; Bayer/Syngenta/UPL in chemical/biologicals) are writing checks and doing partnerships, but not at an activity level high enough to create enough exits to bring VCs off the sidelines. So by now you should be asking "wait a minute, LPs aren't writing checks, VC funding stays flat until we see exits, IPOs aren't happening and the strategics aren't quite yanking the M&A checkbook out yet. I thought you said things would get better?" I did, and they will. Here's why - a number of the 1,200+ biological and 700+ automation startups are going to try and fundraise the next couple of years and will not be successful. Many will fail in the next 12-18 months. Sadly that's what happens to startups when segment funding contracts this much. So this means when 2026 rolls around there will be a limited pool of 2024 and 2025 investments looking for more capital and a number of 2021/2022 startups (the frothy period) that couldn't raise the next round. All of which is to say there will be a much smaller pool of fund raising startups chasing that already much smaller pool of AgriFoodTech venture capital. In short, it won't be easy to raise, but it will be easier because there will be less competition on the fundraising side for the reduced VC dollars. Audre Kapacinskas Sumeeta Salvador Rob Trice Adam Bergman Shane Thomas Rhishi P. Jennifer Marston Tim Hearden Carter Williams Damian Mason Todd Thurman #agtech #controlyourburnrate #fundraisingishard