MHCPDC Criteria for Investment

MHCPDC's mission is to find and assess early stage opportunities not targeted by traditional Venture Capitalists. To be funded by MHCPDC companies must meet a stringent set of criteria. Companies evaluated by MHCPDC undergo a three-stage process.

1. Market and Business Plan Review

MHCPDC performs a preliminary technical market and business plan review against the following criteria:

  • Market size of greater than $250 million annually
  • Regulatory status with FDA
  • Realistic opportunity for market penetration; interest of licensee/partner
  • Stage of development
  • Broad based technology, able to enter multiple markets or develop multiple products for same market
  • Market competition
  • Strong intellectual property
  • Business team with industry experience
  • Strong technical team
  • Maryland-based company

2. Detailed Market and Technical Due Diligence

Once a company has been judged (on a preliminary) to meet the corporation's criteria by the MHCPDC Board of Directors, MHCPDC performs a comprehensive analysis on each investment candidate that includes:

  • In-depth market assessment including existing and potential competing products
  • Technical analysis on each project and on the competing technologies available in the market
  • Intellectual property assessment
  • Corporate and legal due diligence

3. Investment Transaction

Following a presentation to MHCPDC's Board of Directors and its investment approval, MHCPDC works with the investment candidate to structure a deal meeting MHCPDC's criteria and customized to the investee's needs. The corporation is flexible in the nature and form of investment and develops with the candidate a fair, detailed valuation. MHCPDC actively pursues matching investment dollars from commercial and state funders and, where necessary, assists the candidate in strengthening its management team.