UNMC entity aims to increase business to Nebraska

The University of Nebraska Medical Center will waive its licensing fees for new or expanding Nebraska businesses that want to develop its research findings.

Jim Linder, a UNMC administrator who heads the intellectual property office called UNeMed, said the AdvanceNebraska program unveiled this week was designed to spur economic growth in Nebraska and create new jobs.

"We want to see a business plan that enhances the payroll of Nebraska," he said.

UNeMed serves as liaison between the university and companies who see commercial potential in its research. Typically the companies pay UNMC a fee to develop the research into a product or service.

Through AdvanceNebraska, companies that want to develop UNMC's intellectual property can submit a business plan to UNeMed. If staff members in that office feel that a company has the resources to implement it, then the licensing fee is waived for the first three to five years in exchange for a share of the profits later.

"We've basically taken the risk out that they put $500,000 on the table and lose it," Linder said.

The catch is that companies that take advantage of the program must add to Nebraska's work force, either by expanding their current in-state operations or by moving into the state.

In return, UNeMed negotiates for a share of future profits. Linder said the university's share could be 5 percent per year, but that figure would likely vary depending on how critical the license was to the final product or how much money the company put in to develop it.

Patrick Jones, president of the Association of University Technology Managers, said he wasn't aware of similar programs, but universities sometimes lower their upfront fees.

He said the key to AdvanceNebraska's success and for all intellectual property offices lies in being able to "weigh the assets of the state for the benefit of the state."

According the UNeMed, UNMC spends about $80 million on research each year and receives $1 million to $2 million on licenses from its intellectual property.

Linder said that in the past year, the office has issued 12 new licenses. The goal for AdvanceNebraska's first year is to increase that number by one to three licenses, he said.

Patty Wood, a spokeswoman with the Nebraska Department of Economic Development, said staff was still discussing the program with UNeMed, but "from what we've seen, it looks innovative."

On the Net:

University of Nebraska Medical Center: http://www.unmc.edu/

UNeMed: http://www.unemed.com/

AdvanceNebraska: http://www.unmc.edu/advancenebraska/

Nebraska Department of Economic Development: http://www.neded.org/