What are the typical sources of funding for an early-stage life sciences company?
Fundraisings of early-stage life science companies can be complicated affairs, not just from the point of view of negotiating and settling the legal and other documentation but also from the point of view of actually securing the funds from investors in the first place. Fundraisings of early-stage life science companies are often of a higher value than fundraisings for other types of technology companies due to, in a large part, the resources that are needed to research, develop and trial their products, ensure that they comply with government regulations and the projected cash burn associated with these. Fortunately, there are a number of ways for early-stage life science companies to raise funds. Here Taylor Wessing discusses the typical sources of funding for an early-stage life sciences company.
While in the initial stages of the lifecycle of a technology company, founders may look to family, friends and private high-net-worth (often referred to as ‘angel’) investors to invest in the company in a ‘seed’ round, although this is less typical of life science companies due to the often significant cash injections needed to research, develop and trial their products. As a result, founders typically look to professional corporate investors to provide the rump of the capital required to kick-start an early-stage life sciences business, with friends, family and angel investors often co-investing a smaller amount of capital alongside the corporate investors…
Click on the link below to read the rest of the Taylor Wessing briefing.
News from Taylor Wessing
News from The Lawyer
Briefings from Taylor Wessing
For the tax year from 6 April 2014, the standard lifetime allowance has reduced from £1.5m to £1.25m.
One of the areas highlighted last year by the Regulator was the regulation of workplace DC pension schemes.
Analysis from The Lawyer
As the equity capital markets rocketed back into favour and global M&A saw at least a partial return to form, there have been some rich pickings for The Lawyer’s Corporate Team of the Year award shortlisted firms in 2014.
The city-state is working hard to become a global wealth management hub, and law firms are gearing up for a prosperous new world