University of Waterloo-based incubator Velocity recently hosted its first virtual Velocity Fund Pitch Competition (VFPC), investing a total of $250,000 in four early-stage tech startups.
The June competitionâs winners were MedMe Health, which received $100,000, and Tutturu, Able Innovations, and Boogaloo Beds, which each received $50,000 in pre-seed investment, of the $400,000 available from the Velocity Fund and the Velocity Health Tech Fund.
The VFPC takes place three times a year, giving startups the chance to compete for up to $100,000 in investment.
âAll of these companies are looking to redefine and capture an enormous market opportunity, and they each have a strong founding team that we believe can help them do it,â said John Cappuccitti, Velocityâs director.
The VFPC takes place three times a year, giving startups the chance to compete for up to $100,000 in investment, network, showcase products, and meet with angel and pre-seed investors.
The competitionâs eleven finalists filmed their three-minute video pitches in advance of the June 18 event. Eight of the competitionâs finalists pitched from the âvirtual VFPC stageâ at Velocityâs Kitchener incubator, while the other three, including Boogaloo Beds, pitched remotely. Finalists received coaching from Velocity Business Advisors and their peers.
The winning companies were judged on the bases of their potential and the strength of their virtual pitches, by Michelle Moon of LG Technology Ventures, Hamzah Nassif from Real Ventures, and Darian Zigante of Wittington Ventures.
Toronto-based MedMe Health, which received $100,000, helps pharmacists deliver care virtually, at scale through their web-based platform.
âThis funding will be critical for scaling our platform to pharmacies that are awaiting our services,â said Rui Su, MedMe Healthâs co-founder and chief clinical officer. âWeâre proud and excited to be empowering pharmacists through todayâs challenges, while reimagining their crucial role in the future of healthcare.â
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Torontoâs Able Innovations is the healthtech startup behind DELTA, a platform that allows a single operator to laterally transport patients without physical exertion. The company said its platform helps contribute to âa more dignified care experience.â
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âAble Innovations is proud to announce that we are among the newest additions to Velocityâs Health Tech Fund portfolio,â the company wrote in a tweet. âThe investment will go towards developing the beta-prototype of our DELTA.â
Waterloo-based Tutturuâs software allows users to watch movies and shows together, remotely without sharing their screens. The startup calls its tech âvirtual browsing,â and bills it as âa new way to browse the web.â
Boogaloo Beds, of Denver, Colorado, builds smart beds for people with special needs. The startup says its product creates a calming environment that enables self-regulation and minimizes meltdowns.
âVFPC always gives us a chance to âpeek around the cornerâ and see whatâs next.”
The VFPCâs finalists included Serapis Labs, Revolve Surgical, Phoenix, Mixonset, LumenEd, Intelliculture, and AffinitĂ© Instruments.
âVFPC always gives us a chance to âpeek around the cornerâ and see whatâs next, and I think that is especially true of the teams that applied for investment this round,â said Cappuccitti.
Velocity has hosted 27 VFPCs since the competitionâs inception. The incubator said this edition, however, received the highest number of applications in the competitionâs history, a 40 percent increase from its previous application cycle.
In April, Velocity announced that in light of COVID-19, it would be hosting its June event online, expressing its intention to âsupport founders through this tough timeâ by continuing to invest in high potential, scalable startups.
According to the incubator, the online, on-demand event was a hit, netting over 1,000 views in its first 12 hours after going live through a new video portal. Velocity offered virtual âbackstage passesâ to angel investors and venture capitalists, enabling potential backers to meet with finalists individually.
The number of healthtech companies Velocity houses has increased over the last six years. In 2019, over one-third of the hubâs incubated companies were in the healthtech sector. The Kitchener-Waterloo incubator currently works with 27 healthtech startups.
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In March, Velocity launched its second pre-seed fund, the Velocity Health Tech Fund, raising 80 percent of its $1 million USD target. The fund invests in winners of the VFPC and entrepreneurs working to deliver medical devices, diagnostic tools, new therapies and digital health initiatives. The fund is in partnership with Communitech.
The hub also started increasing its engagement with research labs and adding business advisors with healthtech experience. This included healthtech giant PerkinElmerâs 2019 decision to move its Canadian demonstration lab to Velocity.
In Fall of last year, Velocity launched a new pre-incubator campus program, called Concept, splitting out its existing startup programming from its student offerings.
In 2019, Velocity companies and alumni also reached over $1 billion CAD in venture capital raised since the incubator was launched 11 years ago. Velocity claims that, since 2013, its incubated healthtech companies have raised over $50 million CAD in private investment.