Launch a Faculty-Led Startup
Economic development and intellectual property commercialization are an important part of the University’s overall research mission. LSU has procedures in place that permit LSU faculty and employees to start companies utilizing technology they developed at LSU.
Resources for Startups
How to Build a Startup
The Startup Owner's Manual
Business Model Generation
LSU Innovation Park
Louisiana Economic Development
Louisiana Technology Park
Baton Rouge Area of Chamber
National Center for Entrepreneurial Tech Transfer (NCET2)
Essentials to Establishing a Technology-Based Company
Having a protected product or process that is new and/or superior to anything currently
in the marketplace
Creating a management team well-versed in start-up and business operations
Access to sufficient capital and adequate facilities
Utilizing available, low-cost, experienced business assistance
LUCK and HARD WORK!
Policies for Faculty Startups
LSU employees wishing to start a new business should consult with his/her supervisor and other appropriate individuals to ensure all University policies are being followed. An LSU employee starting a new business while retaining his/her LSU position must manage potential conflicts of interest and conflicts of time commitment. Important LSU policies that LSU employees must comply with are:
Managing Conflict of Interest in Faculty-Owned Companies
Keep your company activities separate and distinct from your LSU employee activities.
Expect your company to be treated exactly like any other company. The fact that it is partially owned by a LSU faculty member does not give it any special privileges.
Do NOT involve your current students in your company.
Do NOT use LSU facilities, equipment, supplies, etc. unless covered by a formal written contract.
Licensing LSU Technology
To license a technology contact ITC. As with any other company interested in commercializing an LSU technology, your company must negotiate a license.
Your company will need to have a business manager who is not affiliated with LSU to negotiate the license. As an LSU employee, you may not negotiate with LSU on behalf of your company. Before the license can be signed, the LSU faculty inventors/company founders must obtain PM-11 and PM-67 approvals.
If your company does license an LSU technology, it can expect the license to contain any or all of the following financial considerations:
- An initial licensing fee
- Royalties on sales
- Patent and future cost reimbursement
- Milestone payments
- Royalties from sublicenses
- At the appropriate time, your company must acquire insurance, which names LSU as a co-insured, in an amount suitable for your company’s industry.
A company wishing to license LSU technology must be prepared to work towards commercializing the technology. LSU requires the following documentation in considering a potential licensee:
- Certification of Incorporation
- Formation Documents
- Capitalization Charts
- Business Model Canvas
Research & Development
Your business plan should include space and equipment to meet R&D needs. Further R&D of the licensed technology may not be conducted in your LSU lab, unless, as any outside company, your company provides support/sponsored research for the technology.
Financing Your Company
Private Resources (Family, Friends, Angel Investors, Venture Capital)
America's Seed Fund
Disclose an Idea, Invention or Discovery Technology Disclosure Form
As soon as you believe you have conceived a new technology, submit a Technology Disclosure to Innovation & Technology Commercialization (ITC). All blanks in the form should be completed and drawings and supporting data should be attached.
Upon receipt of your Technology Disclosure Form, ITC will contact you to discuss a plan for managing your technology. ITC will work closely with you during the disclosure evaluation process and provide guidance on prior art searching, market evaluation, and commercialization strategies.
Disclosures that meet certain criteria will be assigned to patent attorneys, who in close consultation with you and ITC, will prepare, file, and prosecute patent applications until issuance of a patent (or abandonment).