1. Not managing your budget strategy
Failure to plan financially for what is expected often sets up medical device startups for failure, according to Nelson. “They don’t know how to use their money wisely.”
Before the Great Recession, there were still medtech startups that would invest in space and the best office equipment. But with funding still difficult to come by, that doesn’t happen much.
“Most startups are staying virtual and small,” Nelson said. “They don’t want to build up a lab with a lot of people. Their investors aren’t interested in that. Their investors are interested in solving problems, getting the device to market and selling the company.”