If you create a new drug or vaccine how do you go about getting it on the market without having a lot of money

Question

How do you go about getting the money to get the new drug or vaccine on the market?

Answer 1

Short answer: Angel investors

You ask what's an angel investor - well, when you make so much money on the stock market, people want to start investing it in something more tangible such as a small pharmaceutical company rather than a stock code "XXYX".

The US has several major hubs of biotech activity - Boston, NY/NJ, Southern NJ/Philly, DC area, RTP, Seattle, Denver, San Diego, and San Francisco.  A couple of these cities have invested in facilities such as "incubators" which are small subsidized facilties which provide a small office space and a small lab space for a young start-up biotech.  The intention is give a little footing in the market place, persuade investors, then take off into a new facility elsewhere.

In addition, more and more companies are outsourcing their knowhow elsewhere.  The outsourcing is usually domestic, although India is gaining prominence in this game.  The term CMO & CRO for Contract Manufacturing Organization and Contract Research Organization is another way a small company without infrastructure resources can get into something bigger.  

What's the next step - a virtual pharmaceutical company - how - everything is outsourced.  Custopharm is a good example of that - leader in generics, I think the company consists of 4 people and has caused major impact on the market.  As for vaccines?  www.thevaccinecompany.com has a new leukemia drug coming out on the market - I think that's a two guy effort.

With the overhead that the large biotechs are running, small to midsize biotech will be taking the market soon enough over.  

Answer 2

Actually a substantial portion of new drugs are actually developed by smaller research companies, ones without billion dollar budgets. Typically they figure out what they want to make a drug for, they find the relevant biological targets - receptors usually, and they use various techniques to screen just absolute mountains of different molecules until they find something that 'clicks' to that receptor. It's then tinkered with, to find out how and what it does in a living cell, then later in an animal. Once you've found a useful molecule, it's common practice to sell the patent on the drug to one of the large Pharma companies for a hefty chunk of cash, or a share of the profits. This sidesteps the enormous burden of taking the drug through clinical trials in humans, the problem of manufacturing, and the liability when everyone sues you.

The money to start the company can be raised via venture capital, usually. These are companies that specialize in investing money in high-risk startup corporations, for a big stake in the potential profits.

Keep in mind that the process of 'creating' the drug itself, even without the ~2 billion dollar cost of proving safety and efficacy is not a cheap deal. Costs in the millions and requires a fairly hefty research team

Answer 3

Patent it first, otherwise you will have absolutely no protection.

Once it is patented, then you can market it to prospective investors who will have the time, money, and resources to have it developed, tested, and FDA approved.  A new drug or vaccine, you are looking at years before it will get to the market in the US.

you may be able to bypass this process in many third-world nations, but you will need an international patent to protect your idea from being pirating..

Answer 4

Find the closest street corner.

Answer 5

patent and collaborate with a pharma company ,

Answer 6

Without being a large pharmaceutical company researcher, the only other viable option I can think of is to be connected with a university.

The university usually holds the patent rights unless you have made some other arrangement in advance. At some point, if things look promising, some drug company is sold the right to develop the drug for clinical trials and marketing.