Basic Support Package
Founders Choice™ Basic Support package
The Founders Choice™ options become available when Imperial Innovations and the founders jointly agree that a spinout company is the best route for both commercial and societal impact for a given technology (or bundle of technologies).
Under the Basic Support package, founders of Imperial College London Spinout companies will follow the spinout process as usual. They must:
- Dislose their invention to Imperial Innovations
- Work with Imperial Innovations to protect relevant intellectual property
- Come to a joint decision with Imperial Innovations about whether the technology is suitable as the basis of a new company
After these steps are completed, the founders will decide what level of support they require from Imperial Innovations.
Under the basic support package
- Founders will receive between 90% and 95% of the equity at foundation in the new company
- The initial University Equity position will be between 5% and 10% of the company's shares at formation
- A clause will be added to the articles of association of the new company entitling Imperial Innovations' stake to an non-dilute provision (based on BVCA templates) up to a certain investment threshold
- The investment threshold, initial equity holding and terms of the non-dilute clause will be decided on a case-by-case basis depending on the type of spinout
- Founders will be provided with an equity modelling tool to help them understand different equity starting positions
- Founders must finalise business plan, find investors and recruit management within 12 months of the decision on which Founders' Choice package they will use otherwise their option will lapse.