Running a start-up medical device company is an exciting but often very busy time with so many things to do and decisions to make. It’s not surprising that much of your focus is on the here and now, i.e., what you need to do to move your company, project, and product to the next stage. Despite this, it remains important to also have a long-term view to ensure you maximise the future value of your company.
For example, you might have a particular exit strategy in mind for your company. The decisions you make today and the actions you take will determine the value of your company at that exit point.
This includes the products you create, the expertise of your team, and the business structures you put in place.
One area that is often neglected, however, is the partnerships you develop.
The Importance of Finding the Right Partners
You will require support from partners as you develop your product and the wider company. Those making investment decisions about your company (such as venture capitalists – VCs) or buyout decisions (such as larger companies and corporations) won’t just look at your products and the people on your team. Your partners and suppliers are also important considerations.
What are investors and potential future buyers of your company looking for from the companies you partner with?
The big area is supply chain security. VCs and potential buyers have a range of priorities when evaluating the supply chain security of your start-up:
- Do your supply chain partners have capabilities across the medical device product lifecycle, from concept development to design and prototyping to commercialisation and scale-up manufacturing?
- Do your supply chain partners have the available capacity to facilitate your business as it grows?
- Do your supply chain partners offer value-added services, such as regulatory support in multiple jurisdictions?
In summary, investors and potential future buyers want reassurance that there will be no disruption in not just the running and operation of your business, but also in the growth of your business. In particular, investors and potential future buyers don’t want to be in a position of having to start from scratch to find a new design, regulatory, or manufacturing partner. Instead, they want continuity, so they can focus on growth and profitability.
When investors and potential future buyers have this reassurance of continuity and scale-up capability, they will place a higher value on your business.
Where Arrotek Can Add Value to Your Start-Up
As a start-up medical device company, the most important support we can provide at this stage in your development is our product design services. You’ll benefit from our extensive experience and expertise, as well as our customised, modular approach.
Our product design services will help to add future value to your start-up company, but another major benefit of working with us at Arrotek is our ability to scale the services we provide in line with the growth of your company.
We can help you obtain regulatory approval for your product, plus we have contract manufacturing capabilities.
In other words, when an investor or potential buyer looks at your medical device start-up, they will see you have the support of a partner who can facilitate even the most ambitious growth strategies.
To learn more about how we can add value to your medical device start-up company today and in the future, please get in touch using the form below.