With no economic downturn in sight, it looks like a promising year ahead for Orange County’s innovators and entrepreneurs, particularly in terms of funding.
Several companies faired particularly well this year; chipmaker Syntiant in Irvine raised $25 million; software developer Mavenlink brought in $48 million; and invisible braces maker Swift Health Systems, or Inbrace, nabbed $45 million just before year’s end.
Investors and entrepreneurs are optimistic about the region’s potential for more successful exits—likely via acquisition in the near future, as the market hasn’t been particularly kind to startups-turned-IPOs this year.
Deals will continue to flow, but it will take some time to generate more successes and create a ripple effect throughout the community, Ray Chan, chairman and CFO of Koa Accel told the Business Journal last week.
Support System
Supporting organizations—incubators, accelerator, and various flavors of the venture studio model—are devoting more energy into creating a more accessible and collaborative environment for entrepreneurs.
The EvoNexus incubator in Irvine has been steadily adding companies to its portfolio under Managing Director Bob Genthert, who took the reins earlier this year. Meanwhile, the tech transfer division of University of California-Irvine expanded its facilities and added a wet lab incubator under its roof.
It’s also worth keeping an eye on OCTANe’s moves next year—including its relocation to Irvine’s Great Park Neighborhoods, which will open with a new fintech incubator.
PREDICTION:
Medtech will continue to dominate the local startup scene, but biotech is on the up and up. Allergan alum Fauad Hasan will make headlines as his new biotech startup comes out of stealth mode next year.
