1. Resources,%AcEviEes,%and%Costs%
Lean%Launchpad:%TherapeuEcs%
Value Propositions
%
Lean Launchpad: Digital Health
UCSF%Entrepreneurship%Center%
UCSF Entrepreneurship Center
November%12,%2013%
October 1, 2013
%
Karl%Handelsman%
Abhas Gupta, MD
Codon%Capital%%
Mohr Davidow Ventures
@abhasguptamd
Karl@CodonCapital.com%
Weekly%Office%Hours:%4:30<5:30%before%class%

2. Resources,%AcEviEes,%and%Costs%
This%
Week%
Value Propositions
Lean Launchpad: Digital Health
This%
Week%
UCSF Entrepreneurship Center
October 1, 2013
Are%you%really%cheaper,%
%beQer,%faster?%
Abhas Gupta, MD
How$does$your$approach$build$value$be3er$than$everyone$else?!
Mohr Davidow Ventures
@abhasguptamd

3. Value Propositions
Lean Launchpad: Digital Health
Biotech%Features%
UCSF Entrepreneurship Center
October 1, 2013
RESOURCES,(ACTIVITIES,(COSTS(
Abhas Gupta, MD
Mohr Davidow Ventures
@abhasguptamd

4. Biotech%Value=%technology,%talent,%transacEons%
• Finance%
– Equity%Raise,%Non<diluEve,%Industry%CollaboraEon%
Value Propositions
• Physical%
Lean Launchpad: Digital Health
– Core%team%coordinates%best%worldwide%resources%
UCSF Entrepreneurship Center
October 1, 2013
• Intellectual%Property%
– Key%value%is%IP,%but%only%key%IP%creates%value%
• Talent%
Abhas Gupta, MD
Mohr Davidow Ventures
– Match%experEse%to%problem,%relevant%experience%
@abhasguptamd

5. Resources:%TherapeuEc%Points%
• Physical%
– Facility%creates%no%value,%acEviEes%via%true%partners%creates%data%to%
drive%value%
Value Propositions
– Capital%intensity%is%related%to%how%much%risk%needs%to%be%assumed%
Major%players%cu^ng,%they%do%not%want%your%overhead%
prior%to%creaEng%value%
Lean Launchpad: Digital Health
• pre<clinical%data%vs.%a%phase%III%trial%
UCSF Entrepreneurship Center
It%is%more%interesEng%for%an%entrepreneur%if%the%risk%reward%is%
October 1, 2013
high%early%where%an%innovaEve%insights%can%dominate%
• Financial%Resources%
– Understand%total%costs%and%potenEal%collaborators%
Abhas Gupta, MD
– “TransformaEonal%TransacEon”%
Mohr Davidow Ventures
@abhasguptamd

6. TransacEons%not%IPOs%built%this%city!%
Value Propositions
Lean Launchpad: Digital Health
UCSF Entrepreneurship Center
October 1, 2013
Abhas Gupta, MD
Mohr Davidow Ventures
@abhasguptamd

7. Corporate%Partnerships%
• OperaEng%capital%
• Technology%or%resources%from%the%partner%
Value Propositions
– FormulaEon%
Lean Launchpad: Digital Health
– High%throughput%screening%
UCSF Entrepreneurship Center
October 1, 2013
• More%shots%on%goals%
– There%have%been%collaboraEons%where%the%future%
upside%is%shared%even%if%the%winning%asset%
Abhas Gupta, MD
originates%in%the%larger%company%
Mohr Davidow Ventures
@abhasguptamd

8. Culture%vs.%Talent%
• Good%culture%aQracts%talent%
• Good%culture%aligns%talent%to%operaEonal%plan%
Value Propositions
• Good%culture%allows%talent%the%freedom%to%
Lean Launchpad: Digital Health
improve,%adapt,%overcome,%re<invent%
UCSF Entrepreneurship Center
October 1, 2013
• Good%culture%embodies%focus,%drive,%talent%
• Good%culture%values%performance%
Abhas Gupta, MD
• Good%culture%improves%talent%
Mohr Davidow Ventures
@abhasguptamd

9. Intellectual%Property%
• Valuable%IP%protects%approaches%to%improve%a%
paEent%outcome%
Value Propositions
• There%are%more%novel%chemical%structures/
Lean Launchpad: Digital Health
proteins%possible%than%atoms%in%the%universe%
UCSF Entrepreneurship Center
October 1, 2013
• There%are%very%few%early%stage%assets%with%
compelling%quality%data%demonstraEng%disease%
modifying%potenEal%
Abhas Gupta, MD
Mohr Davidow Ventures
@abhasguptamd

10. Cost%Structure:%Business%Case%
• Need%Emeline%
– Cost%to%produce%data%as%program%progresses%
Value Propositions
– Metrics%match%your%MVP%
Lean Launchpad: Digital Health
– Your%advantage%is%the%ability%to%bring%together%
UCSF Entrepreneurship Center
resources%and%insight%into%an%operaEonal%plan%
October 1, 2013
• Ability%to%drive%toward%value%
• Prototype%generaEon%and%tesEng%avoids%obstacles%
• Product%centric%culture%driving%toward%IND%candidate%
Abhas Gupta, MD
Mohr Davidow Ventures
@abhasguptamd

11. Can%you%show?%
• Pre<clinical%models%
– Disease%modifying%mechanism%of%acEon%
– Benchmark%against%compeEng%programs%
Value Propositions
• You%are%compeEng%against%everything%including%generics%and%pre<
Lean Launchpad: Digital
clinical%programs%
Health
– Generate%and%evaluate%proto<types%
UCSF Entrepreneurship Center
%%
• The%goal%is%to%produce%the%highest%quality%asset,%extreme%insight%is%
October 1, 2013
needed%to%know%when%to%invest%more%to%“keep%going”%
• Metrics%need%to%be%understood%from%day%one%and%constantly%
reviewed.%%Your%experEse%must%be%the%best%in%the%world.%
• There%is%not%“reality%distorEon%field”%without%data%to%back%it%up%
Abhas Gupta, MD
Mohr Davidow Ventures
@abhasguptamd
What%does%it%cost?%Who%cares%the%most?%What%will%they%pay?%

12. Partner%Cost%Analysis%
•
•
•
•
Upfront%%
Ongoing%support%
Value Propositions
Outgoing%funds%to%each%stage% Health
Lean Launchpad: Digital
Risk/reward%at%each%stage% Center
UCSF Entrepreneurship
October 1, 2013
Abhas Gupta, MD
Mohr Davidow Ventures
@abhasguptamd

13. Value Propositions
Lean Launchpad: Digital Health
UCSF Entrepreneurship Center
October 1, 2013
My%Contact:%Put%LLP%in%Subject%Line%for%extra%points%%
KARL@CODONCAPITAL.COM(
Abhas Gupta, MD
Mohr Davidow Ventures
@abhasguptamd