VC Alternatives – Working with Labs
In the Valley, Silicon Valley that is, finance for start-ups is often assumed to begin and end with VCs (Venture Capitalists). That is certainly not always the case, and in fact in these financially challenging times, searching out alternative funding is a necessity. One alternative available, depending on the type of start-up is to look at the various Federal and Private Labs.
Here’s a sampling of labs in the Bay Area
EPRI (Electric Power Research Institute)
EPRI is the high tech arm of the electric power sector, with offices in Palo Alto, CA, Charlotte, NC, and Knoxville, TN.
They support start-ups by:
- research contracts, license IB via royalty business model
- accelerate emerging products and services into electronic enterprise
- collaboration
- technology innovation (high risk, high pay-off, R&D grants)
- collaborate with VC’s, DOE, CEC, and utilities
Contact:
drastler@epri.com
PARC (Palo Alto Research Center)
Is a for-profit that was spun off of Xerox.
The prefer close, collaborative engagements that leverage PARC technology and capabilities to create new technology and IP.
For a start-up to appeal to PARC it must be on an equity-funding path. (They want that bump at the end like a VC)
Resulting engagements can include one of the following:
For PARC: royalty -bearing license, equity participation, cash to support R&D costs (may be deferred)
For start-up: exclusive or non-exclusive license, incubation space, labs, world-class research, development milestones
Contact:
David Weinerth (david.weinerth@parc.com)
SRI International is a non-profit that works with start-ups and entrepreneurs. They license SRE technology, perform contract research, and pursue joint project.
Contact:
Alex Beavers, Commercial Ventures and Strategic Programs (alex.beavers@sri.com)
Barbara Heydorn, Director, Center of Excellence in Energy (barbara.heydorn@sri.com)
LBNL is a non profit, DOE lab managed by the University of California.
LBNL works with entrepreneurs and start-ups by:
- licenses technology (background IP)
- supports CRADA (collaborative Research and Development Agreements)
- WFO’s (work for others) paid for by company
- multi-institutional partnerships.
Contact:
Michael Mueller (MMMueller@lbl.gov)
