Tag Archives: health tech

Health tech accelerators – powerhouses of health innovations

Health tech accelerators – powerhouses of health innovations

Text and photo: Eeva Kiuru, Oulu Wellness Institute

This blogpost concludes our miniseries of funding advise to health tech innovators. In our previous posts we have collected list  of all active investors in the category of health, wellness and life science in Finland, Scandinavia, Europe and the US. In this final post we wrap up a
collection of interesting accelerator programs within health technology domain.

Who knew 5 years ago what kind of accelerator boom would take place in the startup scene in just a few years time? According to National Business Incubation Association (NBIA) there are now over 1,250 incubators in the United States and about 7,000 business incubators worldwide.

The whole idea of accelerators is to get startup founders exposure to networks with domain expertise and funding in order to get the business faster on the right track. Most of the accelerators are generic with a broad (mobile, web) domain focus.

Life science is a great example of a challenging industry where it makes sense to build industry-specific accelerators to speed up the development. Life science accelerators often have strong connection to medical faculties or medical centers as well as other key stakeholders in the life science industry, such as regulation and reimbursement experts, mentors, investors and networks. Most importantly accelerators have access and connections to early adopting customer prospects.

Accelerator services often include affordable office space, access to laboratory facilities, access to peers, support services, coaching and even seed funding. Other services include for example expert lectures, advisor and faculty office hours, workshops, networking events, and brokered customer meetings.

Many accelerators are non-profits funded by grants from government or they are funded by corporations and vc’s. As a return, accelerators’ funding partners get an early access to pre-screened dealflow, access to bubbling innovations and talent pool. By connecting with the vibrant health startup scene, they also get positive visibility for their corporate brand. Some accelerators take equity in the chosen accelerator startups. In the current accelerator boom
it is important for a startup to screen the track records of the accelerator they plan to apply for.

Here is our selection of interesting incubators, accelerators and co-working spaces for a seed-stage health and life science startup founder:

Alchemist Accelerator (Menlo Park, Calif.) is a venture-backed initiative focused on accelerating technical seed-stage enterprise startups, whose revenue comes from enterprises, not consumers. They select twice a year 10 teams for their 6 month program and $ 28 k funding. Selected startups must locate at the Bay Area but are not required to move in the Alchemist premises. They can locate where they choose in order to create their own company culture. Alchemist is not a pure life science accelerator but an interesting alternative also for a technical health startup with b-to-b focus.

BioCurious (Sunnyvale, Calif.) is a hackerspace for biotech with a mission to make innovations in biology accessible, affordable, and open to everyone. It is a co-working, training and meeting
place for citizen scientists, hobbyists, activists, and students. It is a complete working laboratory and technical library for entrepreneurs to cheaply access equipment and materials.

Blueprint Health (New York City, New York) offers twice a year an intensive three-month accelerator program to help healthcare entrepreneurs find customers and capital. The foundation of the program is a community of over 150 healthcare entrepreneurs, investors and industry executives. Accepted startups receive for example $20,000 in cash and an office space at Blueprint Health SoHo office. In exchange for the funding, support and mentorship, Blueprint Health receives a 6% equity stake in the accelerated company. Blueprint Health has a broad healthcare focus but does not include med tech or drug development.

Digital Health New York’s (New York City, New York) focus areas are care coordination, analytics, message alerts and patient engagement. Selected startups get access to clinical and technology provider organizations including hospitals, long-term care providers, community health centers, and primary care providers. They also get access to interoperability work group and a network of healthcare leaders, successful entrepreneurs, and investors. Each selected company will receive up to $300,000 of capital (convertible note).

Fogarty Institute for Innovation (Mountain View, Calif.) aims to create an environment where one can cost effectively develop technology that directly benefits patients. It is an educational
nonprofit offering three programs for different aspects of medical technology innovation (Innovation/Cultivation, Clinical Research/Validation and Outreach/Education).  Located on the campus of El Camino Hospital, the Fogarty Institute for Innovation includes laboratory and engineering space where physicians and engineers collaborate. Since 2007 four hand-picked applicants have received direct, sustained support in the form of facilities, ongoing mentoring and/or technology development costs.

Healthbox (Boston, Chicago, and London) brings together entrepreneurs, strategic partners, industry experts and investors to tackle real healthcare challenges. They look for healthcare
technology and technology-enabled service startup founders who address a specific and pressing challenge in the healthcare industry. They are interested in for example, improving patient engagement, provider effectiveness or preventative health and wellness. Entrepreneurs selected to participate in the 16-week program receive $ 50.000 seed money and support designed to address the challenges unique to starting a business in healthcare. In exchange for the program benefits, startups provide Healthbox with 7% equity.

Health XL  (Dublin and London) program begins in February of each year and focuses on
startups within digital health technology. The program has over 150 mentors and also works closely with healthcare industry, who sponsors the program. Health XL’s focus is in the following domains: direct medical solutions, personalization, patient compliance, prevention and participatory health solutions, health economics and integrated solutions.

More Disruption Please (MDP) is Athena Health’s innovation and partnership program aimed at entrepreneurs, health care IT companies, investors and thought leaders—anyone who shares their vision of changing the status quo in health care through openness and connectivity of disruptive solutions. With the program, AthenaHealth connects new innovators with their 35.000 health service providers. The company will ask neither for a fee nor equity, only for a discount for its clients. Also, MDP wants to give their partners a “go-to-market in a box” via their cloud-based network and integration into medical providers’ workflow.

RockHealth (San Fransisco, Calif.) was the first seed accelerator exclusively targeted for health startups. RockHealth takes in two classes a year. They provide capital ($100K convertible note), office space, mentorship, and operational support to high-potential, early stage, pre-vc entrepreneurs working on ideas in health. They focus on the disruptive edge of healthcare and look for themes like quantified self, EMR interoperability, provider-patient relationship, home
health, home aging, big data, modern analytics, enhanced care delivery, cost transparency, clinical trial modernization and smart health sensors and gadgets. Ideas should be addressing large problems in the healthcare system, with a business model that is sustainable and scalable.

We hope you found this resource useful. New programs and accelerators are born almost on a weekly basis all over the world so this is not trying to be a comprehensive list. Rather it is a quick look at what kind of alternatives there are available for the early stage health startup wanting to speed up their business.

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Health, wellness and life science investors in Finland

Text by Veera Virta, Oulu Wellness Institute

In this first part of the series introducing health, wellness and life science
investors the focus is in Finland. We have collected here public and private investors who have different funding instruments for companies in this field.

The information here is gathered from websites, and the purpose of these posts is to have an overlook on different investors. We strongly encourage you to find out more about the ones that are of interest to you and reach out to them! We are also more than happy to make introductions for you.

Even though these investors operate mainly in Finland, some of the private investors do invest in larger geographic area, focusing for example in Scandinavia or Europe.

Private equity firms and funds

Biocelex is a private company focusing in international innovation and business development. It is the right hand for the Karolinska Institutet in Finland. They provide early-stage funding solutions and innovation and business development services for research sector and Life Science companies. Their focus is on drug discovery and development, diagnostics, biomaterials, functional foods and life science services.

Innovatum Partners (BioAssetInvest) is a life science and healthcare business accelerator, with objective to help top research in Finland from early stage business to the next level and to success stories. Innovatum Partners is one of the Vigo accelerators.

Inveni Capital is a life science focused venture capital firm that invests in northern and central Europe. They offer venture capital to life science, drug development and healthcare technology companies in their early and growth stages.

Inventure‘s idea is to work actively as lead-investors crafting detailed
growth and value creation strategies in co-operation with the entrepreneurs. The focus is on high-tech, medical equipment, software, electronics, semiconductor, industrial production and material technology, early stage companies in Finland and Scandinavia.

Lifeline Ventures consists of a team of serial entrepreneurs who invest in health, web, and game business companies in their very early stage, often before the launch of the first product. The entrepreneurs can benefit from team’s hands-on industry experience, skills and contacts. They look for disruptive ideas and driven founders who aim to global category leadership. Lifeline Ventures is one of the Vigo accelerators.

Northern Startup Fund is an asymmetric venture capital fund managed by Butterfly Ventures. The focus is on software based businesses which are, or plan to be, located in Northern Ostrobotnia region in Finland. They invest in early stage startups either in seed of pre-seed stage.

Teknoventure Management is a private capital investor with no industry limitations. They offer equity financing and ownership solutions to companies in various sectors by participating in business
reorganizations and growth financing. They invest mainly in western and
northern Finland.

Vision+ is a product investment fund investing in applications, games, and service on all digital platforms. Their focus is only in products which need to be digitally distributed, the monetization has to come from consumers or the demand for the product is consumer driven, and the
product should already be on the market or at least ready to be launched within 1-9 months from the investment.

Public institutions and funds

Even though the Finnish public funding institutions are well-known among health entrepreneurs, at least  according our recent Health, Wellness and Life Science business barometer, we want to recap the most important ones here:

Centre for Economic Development, Transport and the Environment
(ELY-keskus) manages regional development funding. There are 15 local
centres and usually the first contact point for the early stage funding
needs.

Finnvera is a specialized national financing company. It provides its clients with loans, guarantees, venture capital investments and export credit guarantees by offering financing solutions for start-up, growth, internationalization and export.

The Foundation for Finnish Inventions (Keksintösäätiö), screens and evaluates inventions and innovative business ideas generated by private
persons and start-up enterpreneurs, and helps develop them into businesses. Promising ideas with growth and international business potential are refined into business proposals or licensing projects together with experienced business advisors.

SITRA is the Finnish Innovation Fund, which invests in activities, which promote and stimulate new business models that aim for sustainable well-being. Sitra provides funds for surveys, forward-thinking activities,
experiments, and shared strategy processes that promote well-being and
are ecologically and socially sustainable. Sitra is a public fund, and reports directly to the Finnish parliament.

Tekes, the Finnish Funding Agency for Technology and Innovations, finances development of innovations that aim at growth and new business operations. They have a variety of different programmes
and funding instruments for example for R&D projects, young and innovative growth companies, and for internationalization processes.

There is a lot happening right now in the field of health tech funding. We might have missed someone, so if you know of other investors in the field of health, wellness and lifescience, please post a link or contact our team.

In the next posting we will wrap up the Scandinavian and European investors in this field.

Oulu Wellness Institute (OWI) is a non-profit foundation building a entrepreneur community and helping innovative health and wellness entrepreneurs bring their ideas to global marketplace. Our work is funded by Finnish Knowledge Cluster program and City of Oulu.