By Art Pappas, Managing Partner of Pappas Capital

In the 1980s, North Carolina was just starting to land on the radar of life sciences executives across the United States. That’s when I started hearing more talk among my peers about the state breaking into the biotechnology sector in some unique ways.

I wanted to see for myself. My role at Abbott in Chicago allowed me to come to North Carolina to check out the Abbott manufacturing facilities in the state. Then I moved here to take a position as head of international operations with Glaxo (now GSK), where I established an office in Research Triangle Park.

And before long, I saw first-hand what my colleagues in Illinois had been talking about. North Carolina’s emergence in life sciences had an important catalyst that no other state or region could claim: A state-supported, accelerator-style entity known as the North Carolina Biotechnology Center.

Today – 40 years after its founding – NCBiotech has significantly expanded its influence and impact on biotechnology.

North Carolina’s national and global leadership position materialized particularly with the support of NCBiotech. Our research universities, elected officials and life sciences industry executives had the vision to create an organization to spearhead a new economic engine for the state, capitalizing on the growth of the emerging biotechnology industry.

I believe there are three indispensable attributes of NCBiotech:

Company-building resources for entrepreneurs: NCBiotech has a distinct process to help entrepreneurs turn their research and ideas into companies ready to seek capital to build and expand. NCBiotech’s mentoring and entrepreneurship support help make startups attractive to the venture community and the pharmaceutical and med-tech industries.

The support often starts with grants and loans in addition to operational guidance and mentoring. For companies that have demonstrated early success, financial support can be a grant of $25,000 to initiate a business plan or patent filing and then further support in the range of $250,000 to $1 million to achieve milestones that gain the venture community’s interest.

At Pappas Capital, several of our investments have had support from NCBiotech in the form of early funding that allowed them to continue with their development plans to the point where they became attractive for us to consider. For example, we took a position in Ribometrix after NCBiotech provided it with a company inception loan. We invested in Phoundry Pharma after NCBiotech provided the company with grants and loans.

These and many other new companies achieved their growth plans as a result of the resources available through NCBiotech.

Catalyst for the industry: NCBiotech’s early efforts involved providing grants to university researchers looking for sponsorship of their research, or in some cases financing to support their federal Small Business Innovation Research grants.

NCBiotech today has moved significantly beyond those initial programs to become an essential industry resource for North Carolina and beyond.

With 830 life sciences companies and counting, North Carolina is one of the nation’s leading hubs for industry. Most people believe, correctly, that the state’s life sciences industry revolves around NCBiotech. It’s a universe that includes biotech startups, as well as pharmaceutical, ag tech, and gene and cell therapy companies with thousands of employees and innovators. Our companies have access to workforce training, research, networking, and a host of other resources through NCBiotech.

Economic development driver for the state: I often remind people that NCBiotech has an interest in developing the biotech industry for the entire state, not just companies in Research Triangle Park. In my time on NCBiotech’s board of directors, including serving as its chair, we focused our programs on addressing the life sciences development needs for all of North Carolina.

There’s no question that NCBiotech’s impact has been felt statewide over the past four decades. Its five regional offices collaborate with industry, government, universities, community colleges and nonprofit organizations to support economic development in all regions of North Carolina.

One illustration is the development of biotech, clinical research and marine science programs and companies in the Wilmington area. NCBiotech’s Southeastern Office has spearheaded opportunities such as the NCBiotech Venture Challenge, now a statewide innovation-focused competition that started in Wilmington.

These collaborations often lead directly to investment and economic development opportunities. For example, I recently invited UNC-Wilmington leadership to Pappas Capital to discuss ideas for enhancing the university’s marine science program.

Unlike the 1980s, when NCBiotech was a curiosity to the life sciences industry nationally, NCBiotech has fully established itself as an influential resource for taking ideas from the lab to the marketplace. When I give talks and presentations in other areas of the country, I make it a point to mention NCBiotech. Invariably, if I do not bring it up, then I am certainly asked about it.

NCBiotech’s approach and focus on building relationships, developing entrepreneurship, encouraging scientific advancements and supporting economic development have made North Carolina a leading life sciences hub and an ideal location for companies, entrepreneurs and investors looking for enterprise development opportunities.

Art Pappas is Founder, CEO and Managing Partner of Pappas Capital, a Research Triangle Park-based global venture capital firm, and member and former chair of NCBiotech’s board of directors.

Photo above: Main entrance to the North Carolina Biotechnology Center‘s Research Triangle Park Campus. Courtesy of Jim Sink at NCBiotech.