By Joe C. Loy, President & CEO
How do you turn promising science into a viable biotech company? That question came up in many conversations I had while attending the recent BioNTX iC³ Life Science & Healthcare Innovation Summit in Arlington, Texas.
The annual gathering brings industry leaders, researchers, investors, and entrepreneurs together to exchange ideas and build the relationships needed to advance healthcare and life sciences. I was honored to contribute as a panelist at this year’s summit. My session, “Optimizing Capital and Equity for Life Sciences Growth,” explored how founders can finance that journey.
One question from our moderator drew particular interest: What options do early-stage biotech founders have to fund development without giving up equity? As our panel discussed options, I noticed audience members leaning in, nodding, and taking notes. Seeing these sudden shifts in the crowd's body language reinforced the value of giving attendees practical guidance they can use. That spirit shaped our panel discussion, and several key takeaways stood out to me for entrepreneurs working to move their companies forward.
There are multiple ways to finance a biotech company. The right approach may combine funding that preserves ownership with investment that exchanges capital for equity. For early-stage founders, grants can be particularly valuable because they support the work needed to test an idea and establish proof of concept without requiring them to give up an ownership stake.
At Zetagen, NIH grants have been integral to our development journey. Beyond funding, the application process can yield valuable feedback from scientific and industry reviewers. Even an unsuccessful application can help founders identify gaps, sharpen their development plans, and better understand the resources needed to move forward.
For those considering this path, the NIH SBIR and STTR grant programs and funding opportunities through the United States government’s Congressionally Directed Medical Research Programs are good places to begin. Applications require preparation, and funding decisions take time, so this work should start well before the funds are needed.
When equity investment becomes appropriate, alignment matters. Look for investors who understand biotech’s development timelines, risks, and the milestones you are working toward. At Zetagen, our path ultimately centered on individual investors who shared our long-term vision.
Whichever financing path you pursue, be clear about what the capital needs to accomplish. At Zetagen, we have tied each financing round to specific milestones, including intellectual property, clinical evidence, and regulatory progress. That focus keeps the conversation centered on the value we can create with the money we raise.
iC3 connects entrepreneurs with more than financing. It brings together infrastructure, expertise, and relationships that can help a young company move forward.
For biotech executives, that might mean exploring university or accelerator resources for lab space, finding a mentor who has navigated a similar challenge, or meeting a development partner. Knowing what resources are available can also help founders manage overhead and put more of their funding toward development.
Over the years, I’ve seen how iC3 connections can help founders find the expertise and resources they need. This year, I met with clinical research and manufacturing organizations based here in Texas, and those conversations have continued beyond the summit.
Building on these relationships can strengthen the North Texas biotech community, helping founders connect with experienced partners and identify where to turn as their companies grow.
I often use the phrase “bet on the jockey.” A promising technology needs leaders who understand how to move it through development, including the regulatory pathway.
For a first-time biotech CEO, that means surrounding yourself with experienced people, asking questions, and being willing to hear difficult feedback.
Grant reviews taught me that lesson. Some feedback is frustrating to read. Even when an application is unsuccessful, reviewers’ comments can reveal gaps in the plan or questions that need better answers. Working through that feedback can sharpen both the development strategy and your path forward.
I left iC3 energized by the conversations I had and thinking about how we can help entrepreneurs put those insights into action. As we look toward next year’s summit, I would like to give attendees clearer starting points for acting on what they learn.
For now, I encourage biotech leaders to choose one next step: explore a funding opportunity, seek experienced guidance, assess infrastructure needs, or follow up with someone you met. A conference’s value endures long after the final session and grows even more when we put what we learned into action.
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