From Innovation to Exit: How VCs scale Healthcare startups

From Innovation to Exit: How VCs scale Healthcare startups -  Tenity Insights from Davos 2025

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Introduction: The gap between innovation and market success

In the world of healthtech, medtech, and biotech, groundbreaking innovations emerge every day. But while scientific breakthroughs hold the promise to revolutionize patient care, many startups face an uphill battle in turning their ideas into scalable businesses.

In a special episode of Innovation Connected, recorded at Davos, Max Plank, Venture Partner at Tenity, speaks with Mark Goldstone, Partner at Eckuity Capital, about the challenges of commercialization, what makes a strong founder, and the future of healthtech investments.

- Why is commercialization still the Achilles’ heel of many health startups?
- What do the best founders do differently to scale in a competitive market?
- How is AI reshaping the future of healthcare investments?

This article dives into the key takeaways from their discussion, featuring timestamps and direct quotes to highlight the most critical insights.

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Why commercialization remains a major hurdle for Health Startups

A common misconception among early-stage founders is that a great product is enough to guarantee success. However, as Goldstone explains, the real challenge is not in building the innovation but in commercializing it effectively.‍

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Max Plank: “Commercialization then probably a big thing where you look at it?”

Mark Goldstone: “It is one of the key focus areas for us in the fund. We’re a little bit unusual in that we’re a 10-year fund, but our aim is to be a seven-year fund. So we’re looking for companies that can really accelerate growth fast so that they can get to the kind of returns that we’re looking for in our investments within a seven-year period. So that we can return capital earlier or at least have the ability to give our investors the option that we return the capital to them earlier.”

Key Takeaway:

• Investors prioritize startups with clear, fast-scaling commercial strategies over those that are purely research-driven.
• Healthtech startups need to develop strong go-to-market strategies from day one.

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What makes a great founder? The people behind the innovation

While technology and product innovation are crucial, investors ultimately bet on people. Founders who possess grit, leadership, and commercial awareness stand out in a crowded market.

“A big part of investment selection is really about the people. Do they have the grit to get there? Do they have the gravitas to lead a team and to build a team? To understand that they need the right types of people around them? Those people come to the surface very quickly when you start looking across companies, and that’s what we look for. And of course, we support in every way.”

Key Takeaway:

• Resilience and adaptability are just as important as the technology itself.
• Investors look for founders who can attract and build high-performing teams.
• The ability to sell a vision and execute a commercial strategy is critical.

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The role of AI and Data in the future of Healthcare innovation

One of the biggest shifts in the healthcare industry is the increasing role of AI and data-driven decision-making. As traditional healthcare delivery models become unsustainable, startups leveraging AI for efficiency, cost reduction, and improved patient outcomes are gaining investor attention.

“We’re focused on three verticals: healthtech, medtech, and biotech services. In those sectors, the big driver for all of them is data and AI. If you look at healthtech, we’ve got a market which is, in many of the large Western markets, aging rapidly with more and more chronic diseases becoming expensive to manage. So how do you fix that? That’s where the promise of data, AI, and technology can help ease the burden, take costs out of the system, and drive efficiencies. That’s why this is a great time to be investing in that space.”

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Key Takeaway:

• AI-driven efficiency and automation are crucial to solving healthcare’s rising costs.
• Data-driven startups with a clear value proposition will be highly attractive to investors.
• The intersection of AI and healthcare presents new opportunities for both startups and investors.

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VCs want more than just a great idea—They want clear exit strategies

Investors enter an opportunity with the exit in mind—and they expect founders to have a roadmap for acquisition, IPO, or strategic partnerships.

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“We go into an investment with either a deal already pretty much tied up for the exit or a very clear picture of what that deal will be. It can’t be a very limited number of options—we look to have companies that have multiple exit opportunities, whether it’s through private equity, public offering, or to a strategic like a big medical device or pharma organization.”

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Key Takeaway:

• Founders need to think about exit strategies early.
• Having multiple exit options increases investment appeal.
• Startups should focus on clear value creation that aligns with strategic buyers or investors.

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Final thoughts: What founders need to do to win in Healthtech VC

The healthtech and biotech landscape is evolving faster than ever, and while innovation is critical, investors are looking for more than just great ideas. They want strong teams, clear commercialization strategies, and a solid understanding of market realities.

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Key takeaways from the episode:

- Commercialization is often the biggest challenge—not the science itself.
- Investors bet on people, not just technology—founders must have resilience, leadership, and commercial acumen.
- AI and data are shaping the future of healthtech—startups leveraging these will stand out.
- A clear exit strategy is essential—startups with multiple pathways to acquisition or IPO are more attractive to VCs.

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