Business Ain't Science

Some really interesting science-based companies were presenting their Exciting Investment Opportunities to a group of potential investors. Half of these really-interesting companies were wasting their breath due to a common and faulty belief - the belief that business is just about having good science, good products, good technologies. As they made their investment pitches to the business community, most of them talked about the science, as if they were presenting a technical paper to the scientific community.

They spoke at length about the chemical compositions of their bio-products, while investors wanted to know the market advantages and ther strategy for entering the market. They charted graphs of technical tests, while investors wanted details about competitors, industry partnerships, barriers to entry, and supplier and distribution agreements. The Chief Science Officers spoke in technical jargon, while the audience expected discussion about return on investment and exit strategies.

One lesson is - know your audience and tailor your presentation to what they're looking for. The more important lesson though, is - having a good product is not enough. You are not investment-ready when you have a good idea, a good product, or good science. You are investment-ready when you have a good business opportunity, and that goes far beyond the science.