What to look for in digital health investors to get the right match
Halle Tecco, co-founder and CEO of Rock Health, led a digital health funding panel at a recent Life Science Ventures Summit hosted by the Kauffman Foundation. The panel included Dana Mead, Milena Adamian, Esther Dyson and Sean Ahrens.
Ahrens was the only non-investor on the panel. He is the founder of the digital health startup Crohnology. When asked about his experience with different types of investors when pitching his digital health startup, Ahrens focused on these main points (22:42-26:04):
Who gets it - "I've gone through a whole gamut of talking to lots of different people," said Ahrens. "On the life science side - they're on the more 'don't get it' side of things, and the tech gets it a little bit more."
Types of investors - "You have some investors, particularly angels who are independent, who can invest on emotion and invest on vision, and then you have some investors that will only invest if they see traction and they have proof," Ahrens said.
Find investors that believe - "You want to go to these independent angels that might actually have something that relates to your product," Ahrens said. "A couple of our early investors are people that their girlfriend has Crohn's disease, their wife has MS... Ultimately, that helps you down the road because you have investors that believe in your vision and are not just after the money."
Weekly Wisdom from Kauffman is a regular feature on eMed highlighting helpful advice from the Kauffman Foundation.