Medical device design and development are highly technical and specialized. It is even more challenging for an early stage medical device startup to have the necessary resources to build an end-to-end manufacturing facility, from small scale prototypes to large scale mass production, not to mention the cost of clinical trial and patent maintenance. This is exactly the reason why medical device contract development and manufacturing organization (CDMO) exists, providing device design and development optimization on top of contract manufacturing.
Medical device innovations usually take a long time and a significant amount of investments to reach fruition. Many early stage medtech startups are stuck because they need to fundraise to make initial prototypes or scale-up production but traditional venture capital firms prefer startups with functional prototypes. This hinders the development and access of life-saving medical innovations.
To address this challenge, HKBio provides strategic investments to medtech startups on top of the CDMO services. This contract manufacturing with venture investment model provides mutual benefits as follows.
Significantly less capital equipment investment from the medical innovators. This means the founders can focus more on using the resources on speeding up the regulatory process and securing key partnerships. At the same time, as the time-to-market is shortened, the startups are more likely to succeed, meaning potential large scale production needs and financial return for HKBio.
A stake in the game. Since HKBio begins engagement with the medical innovators early on, it is easier to transition to mass production later down the development. For the medical device startups, they don’t need to look for a different manufacturer, which is time-consuming and risk-taking for post market regulations. Moreover, the startups know that HKBio will take their cases seriously because HKBio has a stake in the game.
More than an investor. As a platform and invested by many strategic investors from semiconductor, electronics, biotech and leasing business, HKBio can make our customers become more resourceful not only with the financial support but all the greatness behind us. For example, in the period of electronic components shortage and supply chain chaos like now, HKBio can secure the inventory and resolve the issue from our strong alliance especially for our portfolio companies.
Last but not least, a long term partnership. We all know it takes tremendous effort to commercialize your product on the market no matter the scale of time or financial investment, and it is not easy to find a long term partner to take the risk and share the final results. As a strategic investor with CDMO services, we double down on long term mutual growth with you, every step of the way.
HKBio is a medical device CDMO with a VC mindset. For more information, please contact [email protected]
