DMN: What advice would you give medical start-ups?
PT: To be successful, companies need to look far ahead and:

- Focus on a single application that cuts costs for the health care system that they can get to market quickly.
- Find a market need and design the product/technology to best meet that need - novel technologies in search of a use are less likely to be successful.

- Interview many physicians, nurses, caregivers and other ultimate customers to make certain your technology is useful - your own physician advisors are biased.

- Put egos aside and do whatever it takes to get a strong, backable CEO who has successfully financed and sold a device company in the past.

- Speak with the FDA early on about what data they will need for approval, and beware of changing CE mark regulations.

- Speak with Medicare and health insurance companies about proposed pricing/revenue models and what they will need to show in studies to get favorable reimbursement.

- Don't be afraid to speak with strategics early on to get their views on what they will need to see before they partner with you.

- Once truly ready for a transaction (sale, merger, partnership or capital-raise), leverage a strong financial advisor to maximize an auction - companies need to be focused on running their business.

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