Forming a Start-up Company at UIUC
“A new mindset”
November 2002
The Players
• Office of Technology Management (OTM) • IllinoisVentures • EnterpriseWorks @ Illinois
• Educational Support
– Technology Entrepreneur Center (College of Engineering) – Center for Entrepreneurial Development/ OSBI (College of Commerce)
A Seamless System of Resources
OTM
Illinois Ventures
Enterprise Works
Educational Resources
TEC
CED
OSBI
Start-up Company Formation
Idea Proof of Concept Prototype Beta Test Revenue Ramp Up
IP Issues Business Plan Business Formation
Growth
Funding
Major Issues
• Conflict Management Plan • Intellectual Property
– Disclosures, patenting, licensing negotiation
• Business Plan
– Education, mentors, seminars, market research
• Business Formation
– Incorporation, management, business services
• Growth
– Additional management, mentors, working capital, positioning
• Funding
– Research grants, SBIR, pre-seed, seed, series A, series B
Conflict Management for Faculty Start-Up Companies
• Annual Disclosure through Report of Non-University Activities (RNUA) • Appropriate disclosure and licensing of all University intellectual property • Appropriate reimbursement of University for all use of facilities and equipment • Must protect interests of students • Conflict Management Plans
–Sample generic plans are available
For more information, contact Melanie Loots, Associate Vice Chancellor for Research or visit www.research.uiuc.edu/coi
Technology Management Process
Issue Resolution
(<3 mo.)
US Patenting
Monitor (>1 yr.)
US, Foreign Patenting
Screening Evaluation
(<6 weeks)
Assess
(<2 mo.)
Active Marketing
(<6 mo.)
License Negotiations
(<6 mo.)
Disclosures
Internet / Targeted Marketing
(~1 yr.)
Compliance
w/firm or NewCo
Return to Inventor
Source: UIUC OTM
IllinoisVENTURES, LLC
Consultation
Business planning Market and sector research and analysis Facilitation of financing processes Management recruitment Business development Referral of business support services Recruitment of managerial and scientific advisory talent Mobilization of MBA, law and other student support
Pre-seed and Seed funding
“Developmental” increments of <$25,000
“Seed” increments of >$25,000
IllinoisVENTURES, LLC
University of Illinois Disclosure-based Businesses Chicago Technology Park Tenants UI Research Park Tenants
ITEC Applicants
IllinoisVENTURES Funding Candidates - University-affiliated businesses ITEC Funding Candidates - University-affiliated businesses, other businesses
IllinoisVENTURES, LLC
Seed
• Deep consultative engagement • High commercial potential • Increased visibility of external funding • Increments of funding > $25,000
Developmental
• Increasing consultative engagement • High potential viability • High commercial potential • Increments of funding < $25,000
Introductory
• Initial evaluative consultation • Pro-bono advisory
IllinoisVENTURES, LLC
Seed
• BOM or Executive Committee
• Advisory Committee • BOM representation
• VENTURES CEO • Industry and Venture Professionals
Developmental
• VENTURES professional staff • Occur at weekly staff meetings
Technology Entrepreneur Center within the College of Engineering
• Education:
– Project-based coursework which yields business plans – Often taken by grad students to access opportunity from advisors and centers
• The Professional Resource Network:
– Access to industry executives, entrepreneurs, venture capitalists who generally support entrepreneurial activity at Illinois
Technology Entrepreneur Center within the College of Engineering
• Sponsored Project to Catalyze Entrepreneurial Activity:
– The Cozad Business Plan Competition
• Consultation Series and Seminars
– Consultation from experienced faculty who have business and entrepreneurial experience – Working in conjunction with IllinoisVentures – Advisory support for I-emerging companies
Center for Entrepreneurial Development (CED) at the College of Business
•
Access at the Research Park to MBA students with a focus on Entrepreneurship for Business Plan Review, Financial Modeling and Strategic Advisory Online resources to include a fully dedicated online Portal geared specifically for Startup Companies and entrepreneurs
•
•
Access to high profile Public Engagements and networking opportunities managed by CED that accentuate the spirit of Entrepreneurship
Qualified access to high level advisory counseling and advisory services via accomplished entrepreneurs and financiers brought to the UIUC campus via CED outreach programs
•
Office for Strategic Business Initiatives (OSBI)
• Typical OSBI project
– 12-14 weeks – September, late October, January, late May starts – Deliverables: Marketing Plan, Feasibility Analysis, Financial Models, Business Planning critique, Technology Commercialization Assessment
• Teams of 4 – 6 MBAS, 1 LIS, possibly ACES and engineering students • Managed by experienced student leadership • Supervised by academic/business professionals • Mentored by faculty
EnterpriseWorks @ Illinois
TM
EnterpriseWorks @ Illinois
EnterpriseWorks
“Innovation just got easier” • • • • • • • • Laboratories Offices Cubicles Shared Equipment Conference Rooms Computer Lab Internet Access Furnishings
EnterpriseWorks
“Innovation just got easier”
• Access to University Facilities
– Low-cost technical testing agreements – Facilities Use agreements – University account
• Access to general University Services
– General Stores – Campus Mail – Net ID access
EnterpriseWorks
“Innovation just got easier”
• Environment
– – – – – – Other entrepreneurs IllinoisVentures on site Center for Enterprise development TEC consultants and seminars Events Referrals to the right place
• We can guide you through the process
Contact Information
Illinois Ventures
Jim Weyhenmeyer/ John Banta 265-5440 www.illinoisventures.com
Enterprise Works @ Illinois
John Parks, Director 333-TECH (8324) Scott Pickard, Manager, EnterpriseWorks www.tech.com
Center for Entrepreneurial Development
Dinesh Ahluwalia, Director, 217-244-8933, dinesh@uiuc.edu www.ced.cba.uiuc.edu
Office of Strategic Business Initiatives
Paul Magelli, Director, 217-244-3407, pmagelli@uiuc.edu www.mba.uiuc.edu/current/osbi
Technology Entrepreneur Center
Ikhlaq Sidhu, Director, 217 333 9303, isidhu@uiuc.edu Laura Hollis, Program Director, (217) 244-9550, hirschfe@uiuc.edu www.ge.uiuc.edu/tec
Contact Information
Office of Technology Management (www.otm.uiuc.edu)
Mike Fritz, Director: fritz@uiuc.edu; 336-6807 Del Kranz, Associate Director: delkranz@uiuc.edu; 333-6807
Technology Managers by College/Area
ACES Dick Loe: loe@uiuc.edu; 333-7189 Brad Roth: bradroth@uiuc.edu; 265-6212 College of LAS Roger VanHoy: r-vanhoy@uiuc.edu; 244-1275 Brad Roth: bradroth@uiuc.edu; 265-6212
College of Engineering and Beckman Mark Kaczor: m-kaczor@uiuc.edu; 265-0548 Lesley Millar: millar@uiuc.edu; 265-6216 Software & Copyright John McEntire: jmcentir@uiuc.edu; 333-3715 David Washburn: dwashbur@uiuc.edu; 265-0778
TEC Faculty
• Ikhlaq Sidhu, Director and Faculty - Ph.D. in EE, Entrepreneur
• •
• • •
Brian Lilly, Faculty - Ph.D. in AE, CEO of Smart Solutions Mark Laufenberg, Faculty - Ph.D. in EE, CEO Powerworld.
Laura Hirschfeld Hollis, J.D., Program Director and Faculty Jeff Morris, J.D, Lecturer, Patent Lawyer, President Telephone Products Jay Kesan, J.D. Faculty, Jointly Appointed in Law School and Engineering
College
•
• • •
Ali Yassine, Ph.D., Faculty, Expertise in Product Development
Sasha Ardichvili, Ph.D. & MBA, Faculty, entrepreneurship education. Mike Sandretto, Ph.D. Accounting, former controller, COO. David E. Goldberg, Ph.D, GE and TEC faculty, Industry experience.