Victorian Government focusing on health startups with new grant opportunity

LaunchVic’s next funding round is focusing on the health sector, startups falling in this category will have a chance of getting grants from the Victorian Government.

This new funding aims to accelerate the growth of Victoria’s health startups and capitalise on one of Victoria’s leading industries.

“We want to use our strengths in health and life sciences to create more successful startups and boost local jobs,” Minister for Innovation and the Digital Economy Philip Dalidakis said.

The funding will support accelerator and education programs focused on the health sector, including medtech, biotech, pharma, health and ageing services and disability services.

So, medtech startup can get excited about this massive opportunity.

According to the statement, Victoria’s health sector contributes $30 billion each year to the state and is the largest and fastest growing source of employment. In Victoria, 11 percent of startups and scaleups are health and well-being companies, yet these businesses are accounting for 26 percent of startup jobs.

This is disproportionately larger than any other industry in Victoria’s startup sector, which is quite an achievement. Victoria’s unemployment rate is at 5.2% as of March 2018, which is on the lower spectrum, and a massive improvement from last year where Victoria had the highest unemployment rate.

Victoria’s health sector is clearly doing pretty well, and there are statistics to prove that point.

The recently released 2018 Global Startup Genome report stated that Melbourne is one of the world’s most important global health and life sciences ecosystems.

“Victoria is a leader in innovation and a leader in medtech and pharma — we want to combine these to create new companies and medical technologies that could enhance or save lives,” Minister for Health Jill Hennessy said.

Earlier this week LaunchVic released a new report that looks at the state of health tech in Victoria.

The report found 57 percent of health startups do not know where to go to access the support needed to grow and another 42 percent do not know how to identify or locate investors.

Despite all that, 43 percent did increase their revenue while 50 percent stayed stagnant. $163m was invested in health and wellbeing over last five years, which is pretty low as compared to the other startup industries.

The report calls for addressing the gaps as mentioned by including more assistance for health startups entering the startup world and using experienced HealthTech entrepreneurs and experts as consultants and mentors.

“Leveraging Victoria’s strengths and supporting startups that are focused on health will further position Victoria as an internationally leading health startup hub,” LaunchVic CEO Dr Kate Cornick said.

Applications for funding close on Thursday 5 July 2018 and a preference will be given to accelerators that are led by or partnered with Victorian hospitals.

Image via the City of Melbourne/ That Startup Show /Photographer Wren Steiner.