Commercial due diligence on selected digital health startups for an international life science incubator
R2G consulting team supported a leading international life science incubator by conducting commercial due diligence (CDD) to evaluate the investment potential of selected digital health startups.
Background
Our client, an international life science incubator, was looking for a partner to conduct commercial due diligence on pre-selected startups for their new digital health track. They were interested to leverage our digital health expertise to help them better understand aspects of value proposition, market potential and commercial road mapping as in order to select the right opportunities and avoid unnecessary risks.
R2G’s approach
The project was divided into 4 main steps:
Company information analysis: R2G conducted research to investigate and validate four main areas, namely market opportunity, competitiveness (competition & team ability), business model, and go-to-market strategy.
Key company representative interviews: R2G conducted interviews with key company representatives to clearly understand the company ambition, go-to-market approach and capabilities of the leadership team.
Company profiling: R2G developed a CDD template that was both beneficial to the client and companies under review as information about the digital health market and competitor offerings was outlined.
Final presentation and recommendations: Identified key risk areas, market opportunity and ranked the companies based on there overall investment potential.
Results
- Clear evaluation of problem solved, service offering, and market size.
- Overview of key competitor types and assessment of go-to-market strategy.
- Evaluation of core team composition and summary of key risk categories and status.
- Final company recommendations and ranking based across five major dimensions.
Based on our work, the client was able to identify the startups that showcased the most market and investment potential for their incubation program.
Timeframe 4 weeks
R2G Project Team: 1-2 consultants
