By Thomas Gryta
(Wall Street Journal, May 21, 2010) The U.S. government outlined plans for a $1 billion stimulus for small biotechnology, medical device and diagnostics developers that could hand up to $5 million to qualifying companies, both public and private. The program, part of the health-care overhaul approved in March and detailed by the Treasury Department Friday, is aimed at producing new therapies and creating jobs in a sector that has been hard hit in the economic slowdown and credit crisis because of its high capital needs. The funds will come in the form of tax credits or as a grant for unprofitable companies. It will cover 50% of development costs in 2009 and 2010, giving up to $5 million to companies with qualifying projects and fewer than 250 workers. ”Funding for these stages is critical, but it is not always easy to find, especially in the current climate where venture capital is harder to come by,” Click here to read more…