California still leads the way of all states with $7.77 billion from Venture Capitalists.  With a substantial investment, yes you can bet they are going to be actively involved as the start up process begins and continues, after all it's a big investment from their side of the table.  Recently another article reflected on the amount of overseas investing and branding that has helped the Mayo Clinic as well.  Being an investor today has to be one very busy place to be with everyone extending invitations hoping for an investment.  The investors certainly are not racing through the doors to help many of the smaller hospitals and chains as there's no real area of investment for a return, which is why so many are on the edge of insolvency.  BD  image

During the past 10 years, technological innovations emerging from Rochester's Mayo Clinic have created 37 startups. But of those, only four have ended up based in Minnesota. Compare that with the Cleveland Clinic, another renowned medical institution: Since 2001, the Cleveland Clinic has spawned 28 companies, 17 of which are located in its home state, Ohio.

“We’ve always relied on venture capitalists to find the management of the new company, which has worked really, really well,” said Steve VanNurden, chair of the Office of Intellectual Property at the Mayo Clinic. “But we wanted to expand and cast a net a little bit wider, and we started thinking about other ways to attract management to companies” in Minnesota.

“One such pocket is medical-device-related companies; examples are talented senior-level employees from Boston Scientific and St. Jude Medical,” he said. “We have also found that in the early stage of startup companies, a ‘heavy-hitter’ CEO is not necessary.”

Finance and Commerce


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