Empirical Ventures has recently announced the launch of an £8 million fund to support early-stage deep-science businesses. This fund is the result of a partnership between angel investors and the U.K. government-owned British Business Investments. The goal of this fund is to provide funding to startups working on solutions to pressing scientific problems. The involvement of the Regional Angels program is part of a broader government initiative to drive investment by encouraging equity finance in areas outside of London and the south-east of England where most business angels are based.
Empirical Ventures consists of Dr. Jonathan Matlock and Dr. Ben Miles, both PhDs in chemistry and physics, who have created the fund to provide necessary scientific expertise to evaluate potential investments. The founders met while working for a University of Bristol spin-out company and have since set up the Science Angel Syndicate to encourage non-expert investors to back cutting-edge science startups. They have now partnered with the Regional Angels Fund to channel more money into science startups, with risks being spread between angel investors and British Business Investments.
The investment strategy of Empirical Ventures focuses on businesses that have conducted research across multiple disciplines, creating intellectual property that can be protected. While revenue generation is not a requirement, startups seeking investment should have moved beyond the initial research phase and have a clear forward-looking plan. An example of a successful investment is EnsiliTech, a company spun out from the University of Bath, which has developed a technology for transporting and storing biological materials without the need for refrigeration. Empirical Ventures aims to make 10-15 investments in the next year, with a focus on impact companies whose commercial success aligns with creating positive change.
The funding landscape for early-stage science businesses can be challenging, with the need for expert investors who understand the science behind the technology. However, companies with a clear mission that aligns with the concerns of investors can attract capital more easily. Empirical Ventures is not the only fund or angel syndicate investing in deep science startups, but their focus on impact companies sets them apart. Overall, the initiative to increase investment in deep science startups is essential for the development of the U.K.’s science ecosystem and the journey of scientific breakthroughs from the lab to the marketplace.
