Uruguay Innovation Hub: Support for a Company Builder Focusing on Biotechnology

Purpose

• This instrument is part of the Uruguay Innovation Hub Program (hereinafter UIH), whose objective is to promote science, technology and innovation projects that will enable the country to move towards a knowledge-based economy and society, becoming a world-class innovation center that will attract international investment, increase the country’s potential economic growth rate and generate quality jobs for the country’s inhabitants.
• In this context, this instrument seeks to generate the conditions to carry out a company building program in Uruguay focused on biotechnology ventures, with the ultimate goal of supporting and promoting the creation of a greater number of ventures related to the field of biotechnology.

What are the benefits received?

• Non-reimbursable annual operational support of up to USD 300,000 for six years, provided that the organization contributes at least 20% of the total project cost.
• An office space for operations for 3 years.
• Possibility to access additional non-reimbursable support to ensure access to equipment for supported ventures.
• Possibility to co-invest with the UIH in selected ventures after their participation in the support program, providing financial contributions from own or third-party funds that have been contributed to the selected organization.

Benefit in Joint Investment

• The company builder is expected to co-invest with UIH in selected ventures after their passage through the support program, making cash contributions with its own funds or those of third parties that have been contributed to the selected company builder or a complementary vehicle.
• In order to receive and maintain the join investment benefit, the selected venture must be established in Uruguay at the time of signing the co-investment contract and comply with at least two of the following conditions within the first 24 months of operation:
  • Job Creation or Staff Hired in Uruguay.
  • Substantial Revenue Generation from Uruguay.
  • Part of the founding team based in Uruguay.
  • Developing their venture in facilities of national research laboratories.
  • Documenting the filing of a patent application related to the project, along with a roadmap of the patenting strategy.
• This shall be done as follows:
  • UIH support will be capped at up to USD 250,000 per venture. The contributions to be received by the venture will be made on a 1:1 ratio between UIH and the company builder. At any time after signing the contract, however, the company builder may make additional investments to those foreseen herein.

Who can apply?

Organizations or consortia that meet, among other conditions, the following requirements:

• An executive team with a background and track record associated with the creation of biotechnology-related ventures. This team must provide access to a strong network of mentors, as well as national and international networking opportunities.
• A methodology from the recruitment and selection of potential candidates in the academic sector to the formation of the venture and its support. It must have successful cases associated with company-building processes and startups that have achieved scalability.
• Legal status in Uruguay at the time of contract formalization.
• An executive team present in Uruguay at the start of the project, with the possibility of being locally hired, and representatives of the central organization in the support stages to be carried out in Uruguay.
• A revenue model that ensures financial sustainability after the program funding ends.
• The ability to invest in selected ventures after their participation in the support program, with previous experience in this type of investment.
• A proposal demonstrating a significant impact on the national entrepreneurial ecosystem.

For more information, visit Uruguay Innovation Hub.