TLDR:
- Family offices are becoming an ideal source for early-stage MedTech funding.
- Securing early funding for medical device development is challenging due to limited sources of organized capital.
In a recent interview with Michael Harrington, partner at Duane Morris LLP, he discusses the challenges faced by medical device companies in securing early-stage funding and highlights the promising organized sources of capital available in the space. The decline in VC financing deals has made it tougher for early-stage companies to raise funds for medical device development. Family offices and venture studios are emerging as advantageous sources for early-stage funding.
Harrington emphasizes the importance of having a sound financing plan to secure funding and advises against approaching venture capital firms too early. Family offices offer benefits such as dedicated capital and professional management without the constraints of limited partners. Venture studios act as incubators for companies to develop technologies and bypass the need for seed funding.
Overall, the article sheds light on the evolving landscape of early-stage funding in the MedTech sector and the increasing role that family offices and venture studios are playing as sources of capital for medical device companies.
