1. Team Presentation for Friday, Sept 28th
Final Team Presentation for Friday, Sept 28th
Get out of the building and talk to 10-15 customers Guillaume:
· Get out of the building and talk to 10-15 customers François!Rouelle!
presentation format:
Final presentation format:
Breadagami
J.!B.!M.!Bucquet!
2 minute Youtube video
o · 2 minute Youtube video
Revolutionize Membrane Protein
examples here: http://www.slideshare.net/sblank/videos
Crystallography
o examples
Day 1: 16
20 minutes presentation here: http://www.slideshare.net/sblank/videos
o · 20 2: 10 presentation
minutes Antoine!François!
examples here: http://www.slideshare.net/sblank/tagged/Columbia
Day o examples here: http://www.slideshare.net/sblank/tagged/Columbia
o and here http://www.slideshare.net/sblank/tagged/stanford
Day 3: 11 here http://www.slideshare.net/sblank/tagged/stanford
o and
Here's what we thought - day 1
o · Here's6
Louis!Nicolas!
Day 1 4: what we thought - day 1
Day canvas 1 canvas Vauquelin!
o Day
o diagrams if you can draw any
TotaloInterviews: 42can draw any
o Text summary if not if you
diagrams
o Text summary if
Here's what we learned - days 2-4not
Friedrich!
Stromeyer!
· Here's what we learned - days 2-4
o Day 2-4 canvases
o Day 2-4 canvases
o Use diagrams
o Use diagrams
Here's where we ended - day 5 Robert!Bunsen!
· Here's where we ended - day 5
o Use diagrams
o Use diagrams
o Text summary
o Text summary
Here’s What We Are Going to Do Next Viktor!Meyer!
· Here’s What We Are Going to Do Next
Moses!Gomberg!
John!C.!Bailar,!Jr.!
R.!G.!Pearson! Fred!Basolo!
Anu Thubagere Fadl Saadi Andrew Hoff Matt Gethers
Graduate Student Graduate Student Graduate StudentHarry!Gray! Graduate Student
Bioengineering Materials Science Materials Science Bioengineering

2. What we thought on Day 1
Novel Technology: Ability to tether biomolecules such as
DNA/RNA/Proteins on a wafer
Initial thoughts:
• Target market would be Academics and
pharmaceutical companies who wished to do
in-vitro studies
• Spatial Control main selling point

3. Business Canvas V1
Oligo manufacturers. Must make chips. Make We can provide a We provide the chip and Academics and
Perhaps strike agreement “master mix” that is scaffold onto which the DNA Scaffold. The pharmaceutical
making chemistry added to oligo staples. small molecules and customer provides the companies who want to
conjugating molecule of Must maintain biologics can be oligo “staples” that are test interactions
interest to oligo standard advertising in journals templated to allow for conjugated to the between small
part of repertoire. and other venues. experiments with high molecules of interest. molecules and biologics
Perhaps they could have spatial control. with high spatial control.
a pool of oligos that are
used specifically for our
devices.
Access to E-beam Advertising in journals.
Also need an agreement lithography. Making Could market services
with facility that has master mix. Must through larger supplier
electron beam cultivate relationships like Invitrogen, Sigma.
lithography capability. with oligo companies.
Relationships with
suppliers?
Must buy chips, constituents of master mix. Need Either direct sale to customers or payment
storage facility. Need access to or need to own SEM. from suppliers when each chip is bought.

4. What we learned on Day 1
• Found three potential markets for our
technology
– Stem Cell Researchers
– Cancer Pharmaceutical Companies
– Protein Crystallography
• No silver bullet yet, many suggestions are for
fields outside of experts’ own

5. Business Canvas V2
Oligo manufacturers. Perhaps strike Must make chips. Make “master We can provide a scaffold onto We provide the chip and the DNA Academics and pharmaceutical
agreement making chemistry mix” that is added to oligo staples. which small molecules and biologics Scaffold. The customer provides the companies who want to test
conjugating molecule of interest to Must maintain advertising in can be templated to allow for oligo “staples” that are conjugated to interactions between small
oligo standard part of repertoire. journals and other venues. experiments with high spatial the molecules of interest. molecules and biologics with high
Perhaps they could have a pool of control. spatial control.
oligos that are used specifically for our Product development Personal Assistance
devices.
Eliminate uncertainty in
Also need an agreement with facility Shipping quantity of stimulants Automated Service Stem cell researchers
that has electron beam lithography
capability. Customer Service Simplify control of Word of mouth
Crystallographers
molecular orientation
Kavli Nanoscience Cancer pharmaceutical
Institute (Caltech) Advertising in journals. Could market companies
Access to E-beam lithography. services through larger supplier like
Making master mix. Must cultivate
Invitrogen, Sigma.
Silicon Wafer Supplier relationships with oligo companies.
Relationships with suppliers?
Integrated DNA Trade shows,
Technologies Technical expertise Conferences,
Publications, Internet
Glen Research Fabrication Facilities
Shipping
Must buy chips, constituents of master mix. Need Yearly subscription model
storage facility. Kavli Nanoscience Institute partnership.
Direct sales

6. What we learned on Day 2
• Interviewed 4 Protein Crystallographers
– 3 of them said they were ‘not interested in our product at
all’
– 1 said it was very interesting for Membrane Protein
Crystallography
• One third of all proteins
• Very difficult to obtain crystal structure
• Started winnowing interesting fields and focusing on
those where technology could have maximum impact
– Removed cancer research
– Ceased searching for new fields
• Started resorting to cold calls

7. Business Canvas V3
Kavli Nanoscience Product development Eliminate uncertainty in Cancer pharmaceutical
Institute (Caltech) quantity of stimulants companies
Shipping Automated Service
Silicon Wafer Supplier Simplify control of
Customer Service molecular orientation Word of mouth Stem cell researchers
Integrated DNA
Differentiate cells with Membrane Protein
Technologies
much higher yield and Crystallographers
Glen Research greater reliability
VWR International Make crystallization
Direct Sales Force
faster & simpler
IP
Trade shows,
Technical expertise Conferences,
Publications, Internet
Fabrication Facilities
Vendor
Must buy chips, constituents of master mix. Need Yearly subscription model
storage facility. Kavli Nanoscience Institute partnership.
Direct sales

8. What we Learned on Day 3
• Membrane Protein Crystallographers are good
early adopters
– Many have resorted to in house technology to
resolve situation
– Focus of Membrane Protein Crystallography
• Specialized market  limited need for
Vendors
• Trade shows and conferences are extremely
important in this field

9. Business Canvas V4
Kavli Nanoscience Get: Word of mouth &
Product development Make crystallization Stem cell researchers
Institute (Caltech) Publications &
faster & simpler
Conferences
Shipping
Silicon Wafer Supplier Membrane Protein
Problem: Crystallizing Keep: Customer Service
Customer Service Crystallographers
Membrane Proteins
Integrated DNA “It’s voodoo” Grow: Cross Selling
Technologies Best case: couple
months
Glen Research Often: Never
TEM Manufacturers
Solution: Direct Sales Force
VWR International IP -Easy to use kit
-Works for all Trade shows
Technical expertise -One tenth of the time
required Vendor
Fabrication Facilities
SBIR/STTR
Must buy chips, constituents of master mix. Need Yearly subscription model
storage facility. Kavli Nanoscience Institute partnership.
Direct sales

10. What we learned on Day 4
• Numbers
– Time scale
– Cost
– Yield
“[If you can do this], it would be revolutionary…the world
would be at your door”
James Bowie
Professor and Vice-Chair; Department of Chemistry and Biochemistry, UCLA-
DOE Institute for Genomics and Proteomics and Molecular Biology Institute

11. Current Business Canvas
Kavli Nanoscience Problem: Crystallizing Get: Word of mouth
Product development Publications Membrane Protein
Institute (Caltech) Membrane Proteins
Conferences Crystallographers
Shipping “It’s voodoo”
Silicon Wafer Supplier Best case: couple
Customer Service Keep: Customer Service -Grad Student
months
-Postdoctoral Scholar
Integrated DNA Often: Never
Grow: Cross Selling -Staff Scientist
Technologies
Solution:
Glen Research -Easy to use kit
-Works consistently
-One tenth of the time
required Direct Sales Force
IP
Trade shows
Technical expertise
Fabrication Facilities
SBIR/STTR/Angel
Consumables (wafers, oligos etc.) Personnel Direct sales
Storage and Work Facility Conference Travel
Kavli Nanoscience Institute partnership

12. Business Canvas V1
Oligo manufacturers. Must make chips. Make We can provide a We provide the chip and Academics and
Perhaps strike agreement “master mix” that is scaffold onto which the DNA Scaffold. The pharmaceutical
making chemistry added to oligo staples. small molecules and customer provides the companies who want to
conjugating molecule of Must maintain biologics can be oligo “staples” that are test interactions
interest to oligo standard advertising in journals templated to allow for conjugated to the between small
part of repertoire. and other venues. experiments with high molecules of interest. molecules and biologics
Perhaps they could have spatial control. with high spatial control.
a pool of oligos that are
used specifically for our
devices.
Access to E-beam Advertising in journals.
Also need an agreement lithography. Making Could market services
with facility that has master mix. Must through larger supplier
electron beam cultivate relationships like Invitrogen, Sigma.
lithography capability. with oligo companies.
Relationships with
suppliers?
Must buy chips, constituents of master mix. Need Either direct sale to customers or payment
storage facility. Need access to or need to own SEM. from suppliers when each chip is bought.

13. Workflow for creating Membrane
Protein Crystals
Cloning
Heterologous expression
Screening for detergents
Membrane preparation
Solubilization
IMAC purification
Gel filtration
Protein characterization
Ion exchange
Crystal screening
Crystal optimization Our Target
X-ray diffraction
Newby, Z, Nature Protocols 4, 619 (2009)

14. Day in the Life Diagram
Before
2 days 1-3 Months 10%
Micelle + Protein + Detergent + 10 Plate Structural
Crystal Analyze Structure
Robot Information
National Lab
Pass
Fail
90%
Total Cost: $200,000
After
2 days Days 90%
Analyze Structural
Micelle + Protein + Detergent + 10 Breadagami Crystal
Robot Structure Information
Local
Pass
equipment
Fail
Total Cost: $100,000
10%

15. Archetype/Ecosystem
Journal • Influencer Funding • Influencer Department • Influencer
Reviewer • Saboteur Agencies •Economic Head
Decider
• Influencer
PI • Economic Decider
• Possible Saboteur
• User • User
• More discretionary Staff • More discretionary
Post-Doc funds Scientist funds
• Early adopter • Early adopter
• User
Grad
• Some discretionary
Students
funds
and Techs
• Early adopter
Reagent/Equi
pment • Provider
Suppliers

16. Minimum Viable Product
Buffers
Patterned chip
Other Vendors 2-D protein crystals
Breadagami
• Easy to use
• Works with off the shelf consumables
• One size fits all

17. Value Proposition
Value proposition:
• Remove uncertainty
• Order of magnitude decrease of time spent to obtain structural
information of membrane proteins
• Higher research throughput
• Less consumables
Value added to customer:
• Old Process: Cost of obtaining structural information of a membrane
protein: $200,000 “Likely an underestimate”*
• New Process: Target cost of obtaining structural information of a
membrane protein: ~$100,000
– Graduate student cost: 9 months $37,500
– Consumables: $12,500
– Breadagami: $50,000 (@$5,000/chip)
*Prof. James Bowie

18. Addressable Market
Total Addressable Market (TAM):
~300 researchers worldwide
Served Addressable Market (SAM):
~150 researchers in USA
Current Target Market:
75% of SAM @ $60k/year/researcher
Estimated sales of ~$7 million/year
Future trends:
• Large increase in number of researchers & funds
• New customer segments develop (pharma)

19. Customer Relationships
Get:
Outreach with Trade Shows Conferences
Workshops
Partnering with prominent researchers
Keep:
Automated, simple system for reordering
Email updates on new uses of technology
Grow:
Cross selling products (buffers, etc.)

20. Revenue Model
• Revenue stream: Direct Sales,
• Pricing: Fixed, value, volume pricing, $5000/chip
•~10 chips for 1 crystal ie $50,000
•Possible cut off limit for Grad Students & Tech
Grad Student/Tech
Breadagami
Principal Investigator
Post-Doc/Senior scientists
• Revenue Streams: Direct Sales
• Pricing: Fixed, value, volume

21. Next Steps
• Talk to more Membrane Protein
Crystallographers to refine value proposition
• Create prototype
• Patent
• Publish

22. What we Really Learned
• You don’t know everything from Day 1
• Go and talk to potential customers
• Don’t be discouraged when you get bad news
• Situation is always more complex than
previously thought
• Being an Entrepreneur is tough!

23. Acknowledgments
• Interviewees
• Classmates
• Charles House
• Andy Sack
• Ken Pickar
• Jon Feiber
• Steve Blank

24. Channel
Vendor
Local (University) Marketplace
Breadagami
Customer
• Typical vendors would be Sigma, VWR,
Invitrogen
• Eager early adopters
• Small community

25. Revenue Model
Year 1 (of sales) Year 2
• Cost: • Cost:
– Raw material ~$300/wafer – Raw material ~$300/wafer
– Lab space ~$13,000/year (1 – Lab space ~$26,000/year (2 person
person space) space)
– Kavli Nanoscience Institute – Kavli Nanoscience Institute
~$30,000/year ~$60,000/year
– Cost of personnel – Cost of living ~$200,000/year
~$50,000/year
• Goal: sell 1000 kits in year 2
• Goal: sell 100 kits in year 1 @ $5000/kit
@ $5000/kit
– Revenue: $5 million
– Revenue: $50,000
– Cost: $586,000
– Cost: $80,000
– Profit: $4.4 million
– Profit: -$30,000