The industry’s focus on living organisms of the human species and highly regulated standards provide unique considerations for business leaders. These attributes make the industry an ideal incubator for innovation. They have produced major breakthroughs in the production of biofuels and agricultural yields and life-saving pharmaceuticals.

When it comes to revenue-generating strategies biotech start-ups have numerous options. The majority choose either a technology partnership or an asset creation and out-licensing strategy. Technology partnering can result in more revenue and lower risk to the financials, whereas assets creation and outlicensing strategies are able to yield much higher returns. A growing number of biotechs in the research stage operate a hybrid model that combines both strategies.

People who choose the approach of developing based on products will succeed commercially when they get their pipeline to https://genotec-frankfurt.de/comparing-biotechnologically-engineered-nutritious-supplements/ the appropriate stage and attract a large pharma partner or an investor with deep pockets. This is a costly proposition. It is crucial to balance the opportunistic approach of taking advantage of outside resources and the proper scientific decision-making regarding homegrown projects.

The “platform” model is an alternative option to generate revenue. It is less expensive than product-oriented research, but has a significant risk. In this model biotechs have the ability to develop their own platform technology prior to teaming with pharma giants to develop a collection of drug discovery initiatives that target specific diseases (i.e. disease x in biology y). This is the method Advinus Therapeutics and a few others have followed.