Jun 8, 2020

Keeping a company in business during a major recession can be like keeping a boat afloat amidst stormy waters. The neurotech company Neuros Medical was created in the middle of the Great Recession of 2008, and still fares well even during the current recession brought on by COVID-19. In this episode, Jon Snyder, the founder of Neuros Medical, discusses, during the NYC Neuromodulation 2020 Online Conference, how the company was founded and succeeded during the Great Recession, and what advice a neurotech company should follow in the face of limited funding and capital.

Top three takeaways:

1. During the Great Recession, when Neuros Medical was starting out, the economic world was very uncertain from day to day, and you never really knew which neurotech companies would be able to maintain enough funding to survive.
2. Neuros Medical fared so well because it was very focused and determined, but above all, very capital efficient. It didn’t rely on hundreds of millions of dollars, and could do a lot with a little.
3. When running a neurotech company during a difficult time like this, it is important to ask yourself why you’re doing this, remember that your products will eventually help patients, and remember that tough times don’t last, but tough people do.

[0:00] Ladan introduces the episode

[3:20] Ladan introduces and discusses Neural Implant Media

[6:00] Jen French discusses how various companies fared throughout the Great Recession, and how some companies did better than others

[10:00] Jon Snyder introduces himself and discusses the nerve block created by Neuros Medical

[12:45] The bulk of testing for the nerve block happens in the US because the US is where Neuros Medical received the necessary Investigational Device Exemption for the pilot studies

[16:30] The company was incorporated in 2008, in the heart of the Great Recession

[20:00] During the Great Recession, the economic world was changing every day, to the point where you didn’t know from day to day whether a neurotech company was going to be able to raise any more necessary capital

[24:00] Snyder discusses how those in academia can get a better understanding of the funding landscape and better interact with funders

[27:45] Snyder’s mindset is to be very capital efficient, which worked out very well when the company first started

[31:15] Snyder discusses liquidity as the company raises capital and how this will change going forward

[33:15] People losing their jobs nowadays increases the pool of talented candidates for the company, which is an optimistic way of looking at things

[35:45] The company was successful because it was very focused and capital efficient, which may have been how other companies were successful during the Great Recession

[40:30] It is important to be able to know whether your company would fare better as more management heavy or more tech-heavy

[43:45] As a neurotech company, what you’re working on will eventually help patients, which is something very important to think about when you think about why you’re doing what you’re doing

[46:20] Tough times don’t last, but tough people do. It’s what’s inside of us that can help us get through this setback.

[48:00] Neurotech Entrepreneur Working Network is a great network for entrepreneurs to share ideas and advice for the success of new neurotech ventures

[52:40] Ladan briefly discusses the Neurotech Entrepreneur Working Network again