FAQ
General
Why PROPEL?
Is this a business plan competition? Will I receive funding after I
complete the program?
Do I have to pay to participate?
How can I get involved in PROPEL?
Will my company’s information remain confidential?
I’m not a life sciences company. Can you
help me get started?
Who can apply?
How do I apply?
Are non-Chicago based companies encouraged to apply?
At what stage of development can a company
apply?
What is the time commitment for PROPEL?
What is the difference between PROPEL and the
iBIO Entrepreneurship Center?
What is the PROPEL Code of Ethics?
PROPEL Coaching Program
What is the PROPEL coaching program?
What is the time commitment for entrepreneurs?
Where are the panels located?
Do you have coaches outside the Chicagoland area?
Who are PROPEL panelists?
Who are PROPEL coaches?
Grants
Do I have to complete both the PROPEL Program
Application and the iBIO Entrepreneurship Center Grant application?
What can the iBIO Entrepreneurship Center and PROPEL do for me in addition to grant awards?
What are the innovation challenge grant awards that are available through
the iBIO Entrepreneurship Center?
Where can I get an iBIO Entrepreneurship Center challenge grant application?
What are the matching grant awards that are available
through the iBIO Entrepreneurship Center?
How is this program funded?
Where can I get an iBIO Entrepreneurship Center
matching grant application?
What can the matching grant award money be used for?
Where can I go for assistance with the matching grant
and/or the challenge grant application?
How is the matching grant award money distributed?
What is an award administrator?
Who evaluates the matching grant award application?
Does the iBIO Entrepreneurship Center offer
any grants that do not require me to invest matching funds?
What can the matching grant award be used for?
What is a contracted service provider and where can I find one?
What are the guidelines for the Executive Summary?
What are the guidelines for the Project Description?
Do you have other questions not answered here? Contact us at propel@ibio.org or call 312.422.1111 extension 5.
General
PROPEL was created to bring together resources to boost success of start-up life sciences companies in Illinois. Illinois has top-tier research, talented workforce, state-of-the-art facilities, and scientific collaboration, which PROPEL hopes to develop into a self-aware, highly interactive entrepreneurial community.
PROPEL is modeled after best practices of several other similar successful programs around the nation, including the San Diego CONNECT® program, which has been shown to dramatically improve start-up company success rates.
Is this a business plan competition? Will I receive funding after I complete the program?
This is not a business plan competition. PROPEL does not provide assistance to specific commercial transactions; it is at its heart an intensive educational offering which entrepreneurs can apply to their businesses. Although you may participate in PROPEL in order to receive feedback and learn how to better prepare your company for fundraising, there are no monetary incentives associated with PROPEL. We do offer links to grant opportunities and other funding sources on our web site located here.
Do I have to pay to participate?
There are no fees associated with applying to PROPEL, PROPEL’s coaching program, CEO Roundtables, professional services, any programs of the iBIO Entrepreneurship Center, and most workshops. Certain workshops (i.e. SBIR/STTR grant preparation training) charge minimal fees.
How can I get involved in PROPEL?
If you would like to participate in PROPEL as an start-up, fill out an online application or obtain more information here. If you would like to be a PROPEL coach, panelist, or if you or your company would like to provide educational services to PROPEL entrepreneurs, contact PROPEL.
Will my company’s information remain confidential?
The staff of iBIO, the iBIO Institute and the iBIO Entrepreneurship Center will make every effort to keep information submitted with applications confidential, but do not guarantee its security. Entrepreneurs are responsible for securing intellectual property. Entrepreneurs and coaches may pursue confidentiality agreements; however PROPEL is meant to assist entrepreneurs with business issues, and is not designed to evaluate technology.
I’m not a life sciences company. Can you help me get started?
PROPEL accepts applications from life sciences entrepreneurs only. There are other resources that we’ve identified that may be helpful to other types of entrepreneurs on our website located here.
Entrepreneurs developing life sciences technologies or life sciences related information technology. Entrepreneurs/companies must be based in Illinois.
Complete our online application to become a PROPEL participant. If you are interested in receiving an iBIO Entrepreneurship Center matching grant or innovation challenge grant, you must first become a PROPEL participant, then you can complete the iBIO Entrepreneurship Center grant applications.
Are non-Chicago based companies encouraged to apply?
Yes. PROPEL serves life sciences entrepreneurs and companies from all over Illinois. PROPEL participants should expect to attend at least one in-person meeting at iBIO headquarters, located in downtown Chicago, although alternative arrangements can be made. We can try to have the final panel presentation in Chicago or at another appropriate location, based on panel attendees and location. Coaching sessions may take place via teleconference. We also list many resources to help entrepreneurs get started in business on our website located here.
At what stage of development can a company apply?
Companies can and do participate from various stages of development, including:
– Concept stage—premoney, preliminary disclosures or patents filed
– Formation stage
– Venture stage
– Restart or strategic realignment
What is the time commitment for PROPEL?
The time commitment for PROPEL varies, based on each company’s short and long-term goals and in which activities the entrepreneur participates. Participants can utilize any of PROPEL’s programs at any time and in any order. There is no time limit or time frame—it is a series of programs meant to assist and guide as needed by the entrepreneur and the life sciences start-up.
What is the difference between PROPEL and the iBIO Entrepreneurship Center?
PROPEL was created to bring together resources to boost success of start-up life sciences companies in Illinois. The iBIO Entrepreneurship Center is part of iBIO, and includes technical assistance as well as access to matching grants and innovation challenge grants funded by the State of Illinois’ Department of Commerce and Economic Opportunity. All PROPEL participants have access to these services.
What is the PROPEL Code of Ethics?
The PROPEL Code of Ethics is signed by all PROPEL participants and contributors. It serves as a guideline for all PROPEL participants and contributors regarding the acquisition and sharing of information, but it is not a legally binding document. All PROPEL participants and contributors agree to conduct PROPEL activities honestly and ethically and will create a reputation for honesty, fairness, respect, responsibility, integrity, trust and sound business judgment.
PROPEL Coaching Program
What is the PROPEL coaching program?
PROPEL helps life sciences entrepreneurs refine their business strategies through one-on-one and group coaching led by accomplished business professionals and serial entrepreneurs. PROPEL assists entrepreneurs with business issues, and is not designed to evaluate technology.
What is the time commitment for entrepreneurs?
Coaching usually takes place over a period of two to four months and concludes in a final presentation to a panel of experts. The specific time commitment is determined based on the entrepreneur’s level of need. The entrepreneur and coach will set specific milestones at the initial strategy session; both commit to putting in the time to achieve those milestones.
Phase I
- Entrepreneur submits application
- iBIO staff interview applicant, including entrepreneur coachability, technological focus and viability, company location
Phase II
- Coach is assigned (if not appropriate for coaching, participants may still participate in other PROPEL offerings)
- Initial strategy session with coach, participant and PROPEL
Phase III
- Milestone meeting sessions with coach
- Scheduling and preparation for final panel presentation
- Final panel presentation and feedback
- Evaluation and follow-up
Panels usually take place in the Chicagoland area; Specific locations will be determined based on availability and appropriateness.
Do you have coaches outside the Chicagoland area?
Our coaches are currently all based in the Chicagoland area, however they can assist entrepreneurs statewide. We are always adding coaches to our roster; non-Chicagoland coaches will be added in the future.
Volunteer panelists consist of a group of six to twelve interdisciplinary experts, including venture capital, private equity and angel investing, intellectual property, transactional law, licensing, business development, marketing, finance and other areas as appropriate.
Coaches are accomplished entrepreneurs and business professionals from all sectors of the life sciences. Their achievements include leading companies through venture financing, bringing companies public, growing companies to the point where they are acquired, bringing products to the market, or progressing through the final stages of FDA approval. A list of current coaches can be found here.
Grants
Do I have to complete both the PROPEL application and the iBIO Entrepreneurship Center matching grant application?
Yes. The PROPEL Application is for all PROPEL program participants; the iBIO Entrepreneurship Center matching grant application and the challenge grant application are separate application forms and processes, completed only by those PROPEL participants who are interested in receiving a matching grant or an innovation challenge grant from the iBIO Entrepreneurship Center.
What can the iBIO Entrepreneurship Center and PROPEL do for me in addition to grant awards?
The iBIO Entrepreneurship Center’s grant program is just one in a series of PROPEL programs aimed at increasing the number of life sciences start-ups in Illinois and boosting the success rates of existing companies. PROPEL drives development of new life sciences companies by providing entrepreneurs with access to specialized resources and expertise.
What are the innovation challenge grant awards that are available through the iBIO Entrepreneurship Center?
The iBIO Entrepreneurship Center serves as a conduit to DCEO’s Illinois Innovation Challenge Program, offering Illinois-based start-up companies with a) technical assistance grants to assist with the SBIR/STTR grant writing process, and b) partial matching grants once federal funds for Phase I SBIR/STTR are granted.
Where can I get an iBIO Entrepreneurship Center challenge grant application?
An iBIO Entrepreneurship Center challenge grant application is available upon completion of the PROPEL Program Application.
What are the matching grant awards that are available through the iBIO Entrepreneurship Center?
The iBIO Entrepreneurship Center has a pool of funds totaling $150,000 over two years that can provide $5,000 awards (up to $15,000 can be approved on an individual case-by-case basis) for client projects to be matched by other company resources. To access one of these awards, the client first must complete an application to the PROPEL program, then complete an iBIO Entrepreneurship Center Grant Application. Both applications will be reviewed by the iBIO Entrepreneurship Center Award Committee. If approved, the client must provide dollar for dollar cash match of the grant.
The iBIO Entrepreneurship Center Matching Grant Award Program is funded by the State of Illinois through the Department of Commerce and Economic Opportunity (DCEO).
Where can I get an iBIO Entrepreneurship Center matching grant application?
An iBIO Entrepreneurship Center matching grant application is available upon completion of the PROPEL Program Application.
How quickly will I know if I qualify for a matching grant award?
Once the full matching grant application is completed and an interview has taken place with iBIO Entrepreneurship Center staff, applicants will be notified typically within two to three weeks regarding the status of the application.
Where can I go for assistance with the matching grant and/or the challenge grant application?
Applicants can work with the iBIO Entrepreneurship Center staff or visit one of our Illinois Entrepreneurship Network partners and Small Business Development Centers throughout the state for assistance in the application process. Contact information for these partners can be found at www.ienconnect.com.
How is the matching grant award money distributed?
The award will be paid directly to the applicant’s contracted service provider (marketing firm, accountant, etc.) after the service has been completed.
What is an award administrator?
An award administrator is the person within your organization who is designated to handle all details and paperwork related to grant funds disbursements to contracted service providers. Some applicants might elect to have their accountant or bookkeeper as the award administrator.
Who evaluates the matching grant award application?
An iBIO Entrepreneurship Center Awards Committee has been structured from iBIO staff, iBIO’s Board of Directors and other life sciences community leaders and includes successful entrepreneurs, attorneys, bankers, and outside equity investors. No staff members from DCEO are members of the Awards committee.
Does the iBIO Entrepreneurship Center offer any grants that do not require me to invest matching funds?
The iBIO Entrepreneurship Center Matching Grant Program only offers matching awards, however, the iBIO Entrepreneurship Center also serves as a conduit to DCEO’s Illinois Innovation Challenge Program, offering Illinois-based start-up companies with a) technical assistance grants to assist with the SBIR/STTR grant writing process, and b) partial matching grants once federal funds for Phase I SBIR/STTR are granted. Additionally, PROPEL does maintain a database of commercial lenders and angel investors in order to help our clients find additional sources of funding.
What can the matching grant award be used for?
Eligible Project Costs include the provision or acquisition of professional services that will lead to the successful achievement of a significant business milestone for client firms. Projects should deliver a short-term impact on the acquisition of capital or increase in revenue. Broad categories of services may include those related to:
- Overall business strategy
- Marketing strategies and plans
- Sales diagnostics
- Lead generation and prospecting strategies
- Channel and market sales analysis and strategies
- Sales pitch and presentation coaching
- Corporate messaging and positioning
- Legal or accounting services
- Technology or product audits
- Financial modeling
- Capitalization or funding strategies
- Development of private placement memorandums
- Management operations and budgeting
- Other specialized or accelerated services that are deemed critical to the successful. achievement of a significant business milestone for client firms
While DCEO and iBIO recognize that many types of professional business services are available and beneficial to entrepreneurs and small businesses, given limited funding availability, the iBIO Entrepreneurship Center award program will be restricted to business planning activities. The iBIO Entrepreneurship Center Awards Committee has discretion to determine special funding circumstances, in consultation with DCEO. Generally, the following project costs will not be eligible for award funding:
- Legal costs associated with establishing or incorporating your business
- Architectural, engineering, and design costs
- Rental or purchase of land or buildings or any improvements or furnishings to land or buildings
- Software or office equipment
- Business valuation or appraisal fees
- Loan application/origination fees
- Fees for lobbying elected assemblies or for entertainment
- Printing of business cards or marketing materials
- Employee training or salaries
- Product development costs
- Website design or improvements
What is a contracted service provider and where can I find one?
A contracted service provider is the entity the applicants choose to assist them with their business planning activity. This could include accountants, consultants, trainers, financial analysts, or others. These providers will be required to sign a service contract and complete an initial screening by iBIO Entrepreneurship Center staff. If you have not identified a contracted service provider for your proposed business planning activity contact the iBIO Entrepreneurship Center for assistance in identifying a list of candidates.
What are the guidelines for the Executive Summary?
Businesses interested in applying for the iBIO Entrepreneurship Center Matching Grant Award Program should submit a three-page Executive Summary of their Business Plan along with the completed application packet. This executive summary should be written clearly and concisely. It will be the main criteria utilized to score your application for an iBIO Entrepreneurship Center Matching Grant Award. If you need assistance developing an Executive Summary for your application or the Business Plan please contact iBIO Entrepreneurship Center staff or your local Small Business Development Center, found on the IEN website.
An applicant’s Business Plan and/or Executive Summary should include the following:
1. Current Problem and the Solution2. Industry, Market and Competition
- Describe the problem your company/product/technology solves in the life sciences market.
- Who Suffers from the Problem? (Customers).
- Describe the company’s key customers and target market(s) (be as specific as possible). Describe the extent of key customers’ suffering.
- Provide specific evidence of customer demand, if possible.
- Describe your solution: the product or service, and the technology on which it is based. Why will it will be embraced by the target market? Include features and benefits.
- Proprietary position: has your intellectual property been disclosed? Patent
- status? (Technology companies)
- Development status: efforts to date (what, who, funding)? Proof of principle? Prototype? (Technology companies)
- Provide specific evidence and or third party verification of the problem or unmet need.
- Describe business value proposition to economic buyer of company’s products
- Describe intellectual property (IP) coverage / strategy
3. Management
- What industry do you operate in? What is the size and growth rate of the industry for your venture?
- Describe the target market, including its current size and projected growth rates.
- How many potential target customers suffer? (Market size and market growth estimates)
- Describe competitors (direct and indirect), including their strengths and weaknesses
- Describe the company’s defensible, quantifiable competitive advantages (in addition to than IP strategy). How do you differentiate yourself from your competition?
- Describe additional barriers to entry.
- How are you going to build and defend market share?
4. Business Strategy / Revenue model / Market Size
- Provide backgrounds of existing key managers (names, titles, background, experience in this industry, responsibilities). Attach bios/resumes.
- Describe significant management additions planned over the next twelve months.
- Highlight company advisory board, if one exists
5. Current Status and Milestones
- Describe revenue streams.
- How the company will reach and sell to customers? (Sales and distribution strategy)
- What strategies do you have in place to market your products/services to your target customers?
- What strategies do you have in place to sell your products/service to your target customers? (i.e. distribution channel, direct sales, OEM relationship, etc.)
- Where is the company today in terms of development, revenue and capitalization?
- Describe company’s stage of development
- List past achievements / accomplishments
- List future objectives /goals / milestone targets
What are the guidelines for the Project Description?
Businesses interested in applying for the iBIO Entrepreneurship Center Matching Grant Award Program should submit a summary of the Project for which the funds are to be used. This summary should include the following:
- What is the proposed project for which you are seeking assistance from a service provider?
- What service provider do you intend to use?
- What is the total project cost? Provide a budget describing use of funds, cost details, etc.
- What are the project deliverables?
- What milestones do you expect to achieve from the project? How will the project help the company penetrate or succeed in this market?
- What business outcomes will it enable you to achieve?
- What will be the anticipated impact on your firm?
- How will you measure success? Please describe success metrics and method of collection.