Grant-to-startup transition playbook
Moving from government or institutional grants to VC-backed startup.
Before the grant ends
- Clarify IP and publication rights with grant agency and institution
- Document deliverables and outcomes for final report (reuse for investors)
- Identify 2–3 design partners or pilots that prove commercial interest
- Incorporate (if not already) and clean cap table; option pool for hires
- Draft a 12–18 month roadmap tied to a seed round use of funds
Positioning for VC
- Reframe: “grant de-risked technical feasibility” → “now we need to scale and sell”
- Lead with traction (pilots, LOIs, revenue) and team, not only technical milestones
- Be explicit on why non-dilutive funding is not enough (speed, sales, team)
- Know your TAM and beachhead; VCs want a path to $10M+ revenue
Fundraising timeline
- Start conversations 6–9 months before grant end (warm intros, events)
- Prepare: one-pager, deck, financials, and a clear ask (round size + milestones)
- Target investors who understand deep-tech and longer time to revenue
- Consider bridge or SAFE if grant ends before round closes
Compliance and reporting
- Final technical and financial report; keep evidence of spend and outcomes
- Check if there are ongoing obligations (e.g. royalty, march-in, reporting)
- Ensure new funding (VC) does not conflict with grant terms
ScienceToStartup — Resources · sciencetostartup.com