10 Feb Building a Medical Device? NTEC Medical Device Incubator/Accelerator Program May Be For You
Formally established in June 2002, North Texas Enterprise Center for Medical Technology, Inc. (NTEC) is a Frisco based Incubator/Accelerator focusing on medical devices. NTEC provides everything early stage Start-ups need to operate as effectively and efficiently as possible—saving these new start-ups hundreds of thousands of dollars and countless staff hours. Their 11.000-square-foot Enterprise Center includes 3,000 feet of administrative offices and shared space with meeting rooms and a lab, where Start-ups will have room for things like prototypes, bench testing, light manufacturing, as well as completely furnished offices and cubes space. Most notably working with companies such as Emfinders, Ergonurse, Oxysure and La Jolla Digital.
Executive Director Larry Carlton tells us NTEC is “portfolio company program, which includes infrastructure (space at NTEC facility) and management services support, is focused on medical devices, healthcare related IT and software, and cleantech. Our infrastructure only program (space at NTEC) is open to early stage technology companies in most any industry as long as their facility use is compatible.” , is open to companies from Texas and around the U.S..
Carlton gives us some insight to the NTEC process for filtering start up applications saying the process is a “Rigorous formal vetting process that includes members of our 100+ member advisory board. We have about 4 levels of screening with each screen getting more granular. We look at the team, the market, the intellectual property, time to product, ability to manufacture and scale, customer need (pain) and willingness to buy, capital requirements, competition, and our ability to assist and add value to the company and their development. Many other things in-between” also noting that NTEC has a “deep network and most of the companies we see are referred to us by our network, which includes hospital systems, universities, bankers, accountants, VC’s, angel investors, etc.”
When asked about trends in VC Carlton offered this, saying “VC investment is down substantially from historical levels and investment is in much later stage companies. Early stage companies are not receiving much investment as they are competing with a sea of much more developed businesses seeking funding that are already in the market with product and revenues. This trend is expected to continue until the backlog of IPO’s and Acquisitions are burned off over the next several years. VC’s themselves are having a tough time raising new funds due to poor historical fund performance (post bubble 2001) and the shrinking pool of limited partner investors due to over allocation in venture.”