Accelerator Loan Program
The Accelerator Loan Program reflects the Center’s ongoing commitment to supporting early-stage life sciences companies that will grow employment opportunities and stimulate innovation across the Commonwealth. The primary objective of the Accelerator Loan Program is to provide working capital to early stage life sciences companies with a high potential for technology commercialization, rapid growth, and private equity financing.
Accelerator Program Loans are capped at $750,000 per company. Generally, target applicants are early-stage life sciences companies. As defined in the Life Sciences Statute, life sciences means “advanced and applied sciences that expand the understanding of human physiology and have the potential to lead to medical advances or therapeutic applications including, but not limited to, agricultural biotechnology, biogenerics, bioinformatics, biomedical engineering, biopharmaceuticals, biotechnology, chemical synthesis, chemistry technology, diagnostics, genomics, image analysis, marine biology, marine technology, medical devices, nanotechnology, natural product pharmaceuticals, proteomics, regenerative medicine, RNA interference, stem cell research and veterinary science.” The Accelerator Loan Program is designed to help sustain these companies through a critical stage of development and financing.
Program to Date
To date, the Accelerator program has funded or committed to fund $21.7 million in loans to 31 companies. Eight of these companies, Avaxia Biologics, Good Start Genetics, InVivo Therapeutics, 4s3 Bioscience, MoMelan, Pluromed, Sample 6, and AesRx, have paid back their Accelerator loans early with interest after generating more than $200 million in equity or acquisition proceeds.
For therapeutics companies, (defined as companies whose business goal is to develop a target compound that will be commercialized; may also be called “drug discovery” or “biotechnology”) the applicants should not have raised more than $15 million in total equity financing. For non-therapeutics companies, the applicants are companies that have raised no more than $7.5 million in total equity financing.
More eligibility criteria for the previous round are listed in the solicitation.