His first book, Building Biotechnology, is used as a course text in dozens of biotechnology programs. He is also a member of the board of directors of AmericasHealth, serves on the science advisory board of Chakra Biotech, is an associate of the World Technology Network, and also serves as a judge for the Biotech Humanitarian Award and the Maryland Incubator Company of the Year Award. Friedman has strong exposure to leading issues in international biotechnology. He created and continues to edit a global biotechnology innovation scorecard for Scientific American Worldviewa global biotechnology perspective profiling biotechnology industries and innovation capacity in dozens of countries, and has been invited to participate in biotechnology industry development forums for international groups such as APEC and the Asian Productivity Organization, and for individual countries such as Japan, Canada, Germany, the Philippines, and Turkey.
Your business plan serves to introduce your company and open doors to angel investors, venture capital funds, investment bankers and other potential partners. Your plan must speak the investor's language, projecting both excitement and realism while answering questions about the business and explaining how it will succeed in a clear, concise way.
All business plans should be tailor-made to tell the story of a particular venture. While there are certain items that must be included in any plan, the emphasis will vary greatly depending on the nature of the industry and the particular circumstances of the firm.
Filling in the blanks of a business plan template rarely results in an exciting document that reflects well on the venture and its management. There are a number of good books on business plan writing that describe these elements.
Your discussion of markets must describe what critical, unfulfilled need your venture will address. It should describe how other companies have sought to address this need and why your approach is likely to succeed.
Investors want to put money into a company with good management and product pipeline. Most prefer to avoid one-project ventures. Therefore, it is important to present a platform technology or expertise that will result in both near term and future products.
One mistake common both to biotechnology and other technology companies is the temptation to include too much technical detail in the business plan. Keep in mind that your reader may not be a technology expert and your immediate goal is to open doors.
If your business plan generates interest, readers will ask for more information and bring in the experts to help them evaluate your technology. You can add a few easily understood supporting diagrams, pictures or graphs and call it a day.
The technology section of your business plan should be short and easily understood. You can be prepared with scientific publications, patent applications, technology white papers and other technical documents.
These can be referred to in the business plan, but in the plan itself, you should avoid including too much technical detail. Burn Rate Versus Milestones Progress in biotech does not happen with two guys working out of a garage.
Typically, discoveries follow years of scientific endeavor in academic or industrial laboratories. Development of these discoveries into products is likely to involve the joint efforts of a diverse team of scientists and experts in animal and human testing, manufacturing, intellectual property, and regulatory procedures.
Discovery and development in the life sciences is usually expensive, lengthy and risky.
In practical terms, this means that your biotech business plan will have to focus heavily on determining the burn rate and describing milestones. Developing an operational plan requires defining tasks, figuring out what resources will be required to achieve each task and estimating how long each task will take.
Whatever the task, you will have to decide whether it will be outsourced or performed internally, justify your approach, and describe how you arrived at your timetable estimate through comparisons to industry benchmarks or the experience of other companies.
Tasks and timelines are often presented in Venn diagrams. Initially, a company may rely heavily on outside consultants; at some point, it may hire senior managers and support staff in particular fields business development, human resources, intellectual property, regulatory affairs, etc.
After determining resources such as scientific and support personnel, facilities, equipment and supplies required for particular tasks, these items have to priced.
Defining tasks and estimating their duration is the key to determining when the company will reach important milestones. Attaining milestones enables the company to raise capital, make a deal or, eventually, sell a product.
In the biotechnology industry many companies have gone public before earning any meaningful revenues. If this is your business model, you have to elaborate at what stage you intend to enter licensing agreements and what your expectations are in terms of immediate payments, future milestone payments and royalties on eventual sales.
You will have to justify your expectations by comparisons to other biotech-big pharma deals. If your business model involves selling a device or marketing a technology, you will have to describe the kind of deals that are involved and how you will raise capital along the way.
Many of the most promising biotechnology products do not make it to market. To protect their often sizable biotechnology investment, investors want to be confident their money will be used responsibly by management.
Investors want to see that management understands the risks and is prepared for various contingencies.
Recruiting new management is a legitimate use of investment capital, which should be clearly stated in a biotechnology business plan.Emerging Business Models in the Pharmaceutical Industries Strategic Analysis of the Pharma Market, Future I think biotech has investigated some niche disease areas with targeted approaches.
But Strategic Analysis of the Pharma Market, Future Revenue Models and . Q: I would like to include a risk analysis in my business plan. I don't know how to show risks without sending investors into an anxious frenzy.
A: Any start-up idea will have enough risk to fill. Pennside Partners Ltd is a leading business development consulting firm serving the pharmaceutical, biotechnology, and medical device sectors worldwide. We earn our client’s trust by consistently delivering high-quality, actionable business insight and competitive intelligence.
May 22, · A decade ago, when the Wharton Business Plan Competition (BPC) began, the Internet dominated discussions about entrepreneurship. That, of course, was before the bubble burst and many dot-coms were. Academics & Degree mega_dropdown_icon Liberty University offers undergraduate and graduate degrees through residential and online programs.
Having a business plan is necessary to start any new venture.
It provides information about the business focused on (1) the What, (2) the Why, and (3) the How. The plan needs to show how the business will get from point A today to point B tomorrow.