Financing, Incubating, Coaching, and the Cluster Effect

Abstract

More innovation financing, incubating and coaching would be helpful for European biotechnology. Venture capital is available for all stages of biotech company development, providing companies are innovative and of high quality. Several venture funds are active in the BioValley. To compensate for the shortcomings of management experience, a low-cost portfolio of integrated services could be provided by seasoned managers but the system has to be created, managed, and paid for by the small companies. Such shortcomings facing young companies can be overcome by seed financing, incubating and coaching, and providing a dynamic regional biotech/life sciences development organization leading to a cluster effect. This allows much better use of available assets including sparse financial means.

Keywords

• Biotechnology industry
• Cluster effect
• Life sciences
• Stock exchange
• Venture capital