Some of the most daring people in Minnesota try to minimize risks. Some of the bravest hope to avoid unnecessary confrontations. And some of the most creative people in our state are focused on the bottom line. The answer to who comprises this interesting mix of apparent contradictions should come as no surprise: entrepreneurs.
A recent report from Twin Cities Business contained good news for entrepreneurs starting new medical businesses in our state: medical start-up funding surged 25 percent in the first quarter of this compared to the first quarter of 2013.
The report is based on research by a St. Louis Park-based trade group.
Their study shows that 13 Minnesota medical device firms raised $43 million in the first quarter and that five health technology start-ups secured $12 million in funding. A pair of biotech/pharmaceutical firms raised $8 million in the January-to-March period.
The median size of the investments was $1 million in the quarter, double that of last year’s deals.
Two notable investment agreements: one for a Roseville company that raised $25 million in funding and another by a Minneapolis-based firm that received $10.5 million.
The rise in first-quarter medical start-up investments is certainly good economic news for the state. Especially when one considers that start-up funding last year also showed impressive gains over the previous year, surging to $341 million, compared to $188 million in 2012.
While business owners give it their all to make their companies successful, they try to avoid unneeded risks and unnecessary litigation. In order to do everything they can to ensure that their creativity has a positive impact on the bottom line, they go over plans and business entity selection with an attorney experienced in these complex matters.
Source: Twin Cities Business, “MN Medical Startups Are Attracting More Money,” Burl Gilyard, April 29, 2014
This information is general in nature and should not be construed as tax or legal advice.