Quantum will invest in KOL physician inspired Class I and Class II (USA) and class III (EU & OUS) product ideas that have pending, or issued, IP. Our contract manufacturer will provide seed funding and utilize the existing infrastructure and facility in Orange County to design, develop and bring the products through regulatory approval.
Additional management and/or R&D talent may be hired to provide project management, product development, intellectual property reviews, engineering testing, clinical studies and marketing/sales for the development and manufacture of the new technology.
Each new project will be housed in the Orange County-based contract manufacturing facility through completion of regulatory approvals and limited market release (LMR), if necessary.
Manufacturing will either be transferred to an acquisition partner or maintained at the contract manufacturing facility on a contract basis.
Why we are different.
Quantum Fund is diﬀerent than other typical investment vehicles in several aspects:
The General Partners carefully evaluate portfolio companies by utilizing their extensive industry experience and staying in their lane to only select innovative technologies that ﬁll gaps in emerging markets. The fund will likely not make passive investments, but only investments into companies where the General Partners can gain majority control.
Each Newco will have an equal equity spilt between the General Partners and the Limited Partners. This eliminates the need for priced rounds and creates aligned goals for the fund and all Newcos.
The General Partners’ Orange County-based Contract Manufacturing Organization (CMO), with vast experience for developing and manufacturing catheter based neurovascular products, will house each project and perform the development through limited market release and subsequent commercialization. This eliminates the need for separate brick and mortar set-ups and staﬃng for each Newco, will increase development speed, and reduce funding requirements.
Each Newco will be structured as a C Corporation allowing Limited Partners exclusion from Federal Taxes for up to
$10million of proﬁt or 10X their tax basis.
The General Partners will not take a salary or collect any management fees from the fund. A carry of 1% only will be used to cover fund general and legal expenses.
The General Partners will not share in any exit proﬁt distributions until there is at least a 3X return to the Limited Partners.
Proﬁts will be reinvested into the Orange County Medical Device ecosystem providing more seed funding to sustain the innovation cycle.