Because the technology risks of medical device development are so much lower than those of, say, biotech, most venture capital firms can afford to invest as early as possible. And since exits also tend to be smaller in devices, they have to--it’s only by investing early that investors capture the maximum value for their capital. But precisely because of those lower returns, investing too early can be a problem if the technology ultimately doesn’t pan out.
Would-be entrepreneurs therefore often find that VCs who preach the benefits of investing early generally turn a cold shoulder to their particular projects. Hence the rise over the past decade...
Read the full article – start your free trial today!
Join thousands of industry professionals who rely on Scrip for daily insights
- Start your 7-day free trial
- Explore trusted news, analysis, and insights
- Access comprehensive global coverage
- Enjoy instant access – no credit card required
Already a subscriber?
