Up for the Start-up Investment Challenge
The challenge:
Let’s be honest, Ontario biotech SMEs could use a boost. They need reliable support to grow their business and get their innovations scaled up and into market as soon as possible. We also need to work harder to prevent brain drain from Ontario by other provinces and countries around the world that are investing billions into biotech companies who hold the key to bringing game-changing solutions to serious global problems.
What are we doing about it:
In the spring of 2023, Ontario Genomics launched BioCreate, a five-year, $11.6 million program providing financial support and business guidance to start-ups to help move the province’s biotechnology scene forward. It has been hugely successfully and with only 10% of applicants making it into the program.
The BioCreate program was formed after Ontario Genomics reached out to the Federal Economic Development Agency for Southern Ontario (FedDev Ontario) about the booming biotech industry in Canada and the pressing need to support these smaller companies and their phenomenal ideas. We think BioCreate will be a great benefit to Ontario through job creation and the commercialization of local discoveries that will make a positive impact, especially when it comes to sustainability. The progress made by these companies can also provide solutions globally, cementing our province as a leader in the BioRevolution.
How it works:
Recipients get $150,000 funding, 18 months of business mentorship and access to critical infrastructure to get their creations and processes into use. They’ll also be introduced to potential investors and partners throughout their time in the program and have the opportunity to take part in an investor showcase for the opportunity to raise follow-on funding.
Small and medium-sized businesses in the health, food and agriculture, and clean-tech sectors are encouraged to apply to BioCreate. The goal is to fund 32 high-potential companies over the five-year program for a total of seven cohorts. A panel of experts from the business, science, company creation and tech worlds help select the companies. Along with Ontario Genomics, the panel vets all potential SMEs for the viability of their product or process and how it can be put to use in the real world – these aren’t flash-in-the-pan start-ups! Each company accepted into the program must have at least $100,000 cash or in-kind contribution to be eligible and has to provide regular progress reports to make sure its work is on track. Our due diligence assessment processes have been acknowledged by our funders as best in class.
Since the launch of the program in spring 2023, 65 jobs have been created/maintained and $16M in follow on funding has been raised by BioCreate companies. This demonstrates that we are addressing the issue that the community faced for many years of a funding gap with our programs, ecosystem development and building downstream relationships. Of the 12 companies accepted into the first two cohorts, seven have women in CEO and other leadership positions. The 12 companies include one cleantech, four health and seven food and agriculture SMEs.
We’re always on the hunt for investors to introduce our BioCreate companies to! Reach out to Elizabeth Gray, Director of Investment and Venture Development, to learn more.
Funded by:
Ontario Genomics and the Government of Canada through the Federal Economic Development Agency for Southern Ontario (FedDev Ontario).
