The way biotech veteran Alexis Borisy and entrepreneur Zach Weinberg see it, the venture capital model is unfair. Or at the very least, a little one-sided.
Scores of scientific founders work inside incubators at top biotech VC firms, creating companies specifically for them. The founders typically end up owning very little equity in the companies they create, sometimes 1% or less, according to Borisy, who worked at VC Third Rock Ventures for nearly a decade. Independent founders, meanwhile, are often asked to give up control of their companies during the seed or Series A financing rounds.