Startup Jobs and Innovation Act could mean big break for life sciences industry [Video]

Could a new bill in the U.S. Senate jumpstart healthcare startups? Sen. Robert Menendez (D-N.J.) and Sen. Pat Toomey (R-Penn.) introduced the Startup Jobs and Innovation Act today. If turned into law, the legislation would modify the tax code to allow innovative startups to partner with investors through “R&D Partnership Structures.” This could mean a break for the expensive life sciences industry, especially the medical device industry, which has said the negative impact of the medical device excise tax inhibits growth and innovation within small businesses the most.

According to a press release:

The development process for a single breakthrough technology can cost more than $1 billion and take upwards of 10 years. Without a supportive policy environment, some potentially life-changing seed and start-up technologies may never be realized because private capital is not rewarded or incented. . . .

Only start-up and small companies dedicated to R&D would be eligible to utilize R&D Partnership Structures, …