The Emerging Innovations Fund
Money. People. Ideas.
At Purdue University, innovation comes in many forms. A new method of diagnosing cancer. A new way to efficiently process biofuels. New approaches to processing nanocomposite materials. In each case, Purdue researchers are harnessing technology to solve the world’s challenges, creating marketable products and services along the way.
At Purdue, innovation also defines the University’s approach to the creation and commercialization of new technology, an approach that will redefine how American universities conduct their research enterprises, and in the long run, make them even more powerful sources of innovation than they are today.
In 2008, Purdue Research Foundation introduced the Emerging Innovations Fund, an integrated approach to research innovation, development and commercialization. A partnership between the Purdue Research Foundation and Discovery Park at Purdue University, the Emerging Innovations Fund is a unique, self-sustaining, initiative that brings together money, people, and ideas to accelerate the commercialization of early-stage technologies in the Purdue community.
The Emerging Innovations Fund was initially capitalized with $1.5 million in donations, and will be a $5 million evergreen fund. Ventures formed by Purdue faculty, staff, students and Purdue Research Park-based companies are eligible to apply for program funding in amounts of $20,000 to $200,000 over 12 to 18 months. Purdue Research Foundation administers the Fund. The funding is structured as debt. Ongoing donations and earnings on investments replenish the Fund and thus ensure its sustainability.
The Emerging Innovations Fund is one with “strings” attached. That is to say, funding is made on a competitive basis based on the quality of the application. Selections are made after a stringent review process during which technology, preliminary models, business plans, and budgets are arduously tested. Securing an award from the Emerging Innovation Fund is a starting place in itself—funding is dependent upon the startup company meeting specific milestones, a structure that promotes measurable progress. Coaching, mentoring and other mechanisms further support the process.
As with most things in life, timing is everything. The Emerging Innovations Fund is designed to bridge the gap between the lab and the marketplace by infusing funds and management expertise at critical junctures. The fund will help Purdue entrepreneurs develop prototypes, assess patentability issues, ensure solid business plans, and improve the probability of attracting the next level of funding for nascent companies based on Purdue technologies. The ultimate goal of the fund is to create “investor ready” companies, thus improving the probability of attracting additional funding and market interest.
The Emerging Innovations Fund is breaking new ground, not just at Purdue University, but also for business and industry, investors and the world at large.
