Spin-outs are firms founded primarily to commercialise the intellectual property (including ideas, information, and knowledge) created by university staff, where the IP either belongs to the university under general law or under the terms of the contract of employment, or the member of staff has assigned the IP to the university to enable it to be commercialised, or where significant university resources (e.g. funding, facilities) were used to generate the IP. There are several common themes and/or stages associated with spinning out a company from the university ecosystem that require due consideration by certain stakeholders. This information has been captured in the ‘spin-out pathway’.
The spin-out pathway map
The diagram below outlines the key interactions involved in a typical university spin-out process, which is divided into three main stages: preparation, negotiation, and close. For each stage, the diagram identifies the specific actions to be taken and indicates which stakeholder – Technology Transfer Office (TTO), academic founder (AF), or investor (I) – is responsible for each action.
Swipe graphic to see pathway
Identify your role
As a University Technology Transfer Officer (TTO), academic founder, or investor, you are responsible for managing specific actions throughout the spin-out process.
Many of these actions are interdependent, so it’s essential that all stakeholders clearly understand their own roles and responsibilities as well as those of others involved. Effective communication and close collaboration are key to ensuring timely progress and successful outcomes.
Technology Transfer Officer
A TTO provides support by helping founders navigate the spin-out process. Their main objective is to facilitate forming the spin-out company while protecting the university’s and the academic founder’s interests.
Start your TTO journey
Academic Founder
The academic founder (AF) is the central, initial stakeholder involved in a spin-out project around whom the company will be built. They are responsible for working with other university staff, principally the TTO, to ensure that the formal spin-out arrangements with the university are precisely defined and legally executed in relevant contracts.
Start your founder journey
Investor
An investor is someone who provides funding to a business with the goal of earning a return on their investment. In the context of a university spin-out, investors are typically drawn to the potential of turning academic research and innovation into commercially viable products or services.
Start your investor journey