In general, there is uncertainty regarding the validity of the inventor's basic claims and the ability to repeat them in an independent laboratory, as well as regarding the potential of the claims to mature into a commercial product through development activity," says Dr. Rafi Meir.
Smart Assays will present for the first time as part of the "Biomed 2013" week that will be held in June in Tel Aviv, a risk management tool for investing in the seed stages, in young Biomed companies. Smart Assays is an R&D services company, developing assays for research, drug discovery and product development and release. The international "Biomed Israel 2013" exhibition is considered the second largest outside of the USA in the fields of biomed and it will present technologies, new products and the latest developments in the field, from Israel and the world.
According to the CEO of Smart Assays, Dr. Rafi Meir, the biggest uncertainty for an investor is when investing in an idea that may have been acquired from an academic body, or presented by a renowned researcher and is now entering the full development track. "In general, there is uncertainty regarding the validity of the inventor's basic claims and the ability to repeat them in an independent laboratory, as well as regarding the potential of the claims to mature into a commercial product through development activity," says Dr. Meir.
In order to reduce and manage the informed risk, a risk management tool was developed at Smart Assays. This is an original model in which R&D focused on the decision-making process of the investors is carried out, outsourced: this is a three-stage model, which allows the investor to risk funds in a limited way, according to milestones known in advance: in the first stage, a verification of the technology is carried out - the principles described by The inventor in an academic environment is tested in a Smart Assays laboratory that operates according to standards accepted in the industry, as the company has extensive experience in turning academic research articles into an accepted research protocol in the industry. In the second phase, Smart Assays performs feasibility tests, which are a type of optimization of the possible development directions, and in the third phase, a Proof of Concept is performed, aimed at raising significant external investment.
The risk reduction model was built in Smart Assays after several success stories in the field with early stage companies. Among the most prominent is the story of Promining Therapeutics Ltd., whose founders - still at the stage of submitting an application to the chief scientist for admission to the incubator - structured the research budget so that it could be outsourced to Smart Assays. They were accepted to the Van Leer incubator, and after a year of working at Smart Assays, funded by the chief scientist, they were able to present impressive results and signed a cooperation agreement with the Roche company.
"Outsourcing work with Smart Assays is a very efficient use of the seed funds and reduces risks for the investors," says Dr. Meir. "Our unique work model leaves the knowledge in the ownership and control of the ordering company, and results in results acceptable to large companies and experienced investors."