Episode 126: Venture Math 101 – The Numbers Behind Funding Biotech Innovation
Math doesn’t have to be intimidating, especially when it’s the kind that helps fund companies and move science forward.
In this episode, host Elaine Hamm, PhD, is joined by Isaiah Reeves, PhD, Biomedical Analyst at Solas BioVentures, for a practical and approachable deep dive into venture math. Drawing on his background as a scientist turned investor, Isaiah breaks down the core financial concepts every biotech founder should understand: from valuations and dilution to IRR, cap tables, and deal terms. The conversation offers real-world guidance for navigating fundraising, choosing the right partners, and avoiding common pitfalls that can derail long-term value creation.
In this episode, you’ll learn:
- How venture capitalists think about valuations, dilution, and returns, and why fully diluted post-money matters.
- Key metrics like IRR and DPI, and how they influence investment decisions and fund performance.
- Common deal terms and cap table “red flags” founders should watch out for as they raise capital.
Tune in to learn how understanding venture math can help founders make smarter funding decisions, protect long-term value, and build biotech companies positioned for sustainable growth and impact.
Links:
Connect with Isaiah Reeves, PhD, and check out Solas BioVentures.
Connect with Elaine Hamm, PhD, and learn about Tulane Medicine Business Development and the School of Medicine, as well as Cadenza Bio.
Connect with Josh Eckelberry, MBA, and Mark Corrigan, MD.
Check out the books The Go-Giver and Venture Deals.
Check out the podcasts STAT, Biotech Hangout, and 20VC.
Check out our previous episodes on Networking as an Introvert and Solas BioVentures with Travis Manasco.
Connect with Ian McLachlan, BIO from the BAYOU producer.
Learn more about BIO from the BAYOU – the podcast.
Bio from the Bayou is a podcast that explores biotech innovation, business development, and healthcare outcomes in New Orleans & The Gulf South, connecting biotech companies, investors, and key opinion leaders to advance medicine, technology, and startup opportunities in the region.
