Financial Operations Insights, Guides, and Tools

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Biotech Burn Rate and Runway: How to Build a Cash Forecast That Holds Up
Life Sciences & Biotech Kate Dymedenko Life Sciences & Biotech Kate Dymedenko

Biotech Burn Rate and Runway: How to Build a Cash Forecast That Holds Up

We’ve all heard the expression “time is money,” but nowhere is it more meaningful than in biotech. In this industry, cash is the clock. Every dollar spent either moves a project forward or delays progress towards a milestone. Unlike most sectors, biotech startups often operate for years without revenue, underscoring the importance of understanding and managing cash burn and cash runway. 

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Transfer Pricing Basics for Life Sciences: Intercompany R&D, IP, and Cost Sharing Overview
Life Sciences & Biotech Kate Dymedenko Life Sciences & Biotech Kate Dymedenko

Transfer Pricing Basics for Life Sciences: Intercompany R&D, IP, and Cost Sharing Overview

Transfer pricing applies to multinational life sciences companies and covers cross-border transfers of goods, services, IP, patents, and trademarks, as well as R&D and manufacturing. As one of the most significant tax risks a life sciences company will face, meticulous documentation is essential, and pricing strategies must align with market conditions to ensure compliance. 

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QSBS for Life Sciences Founders: Section 1202 Basics and Pitfalls 
Life Sciences & Biotech Kate Dymedenko Life Sciences & Biotech Kate Dymedenko

QSBS for Life Sciences Founders: Section 1202 Basics and Pitfalls 

The decision to structure as a C-corporation (C-corp) is common in the biotech sector, especially for firms seeking venture capital funding. VCs favor C-corporations because the structure protects them and provides various tax benefits, including the Qualified Small Business Stock (QSBS) exclusion under Section 1202 of the federal tax code. 

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Pass-Through vs. C-Corp for Biotech Startups: Tax Pros, Cons, and Investor Expectations
Life Sciences & Biotech Kate Dymedenko Life Sciences & Biotech Kate Dymedenko

Pass-Through vs. C-Corp for Biotech Startups: Tax Pros, Cons, and Investor Expectations

Biotech firms face unique challenges, especially at the startup stage. Heavily reliant on investment, it’s critical to choose the right corporate and tax structure from the outset, as making changes later on can be costly and complicated, and may impact your ability to attract investment and grant funding. 

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