We will be Engaged, Involved and Committed
We believe in being an active and involved partner in portfolio companies in order to drive the achievement of crucial milestones. This includes helping each company to focus on and achieve a clear set of development objectives to advance its technology to the clinical proof-of-principle stage. Working together we can apply a unique combination of clinical expertise and early-stage venture experience to determine the most effective path to achieve regulatory approval in the shortest time possible. The principals collaborate with TGen, Mayo Healthcare, ASU Biodesign Institute, Banner Health, the University of Arizona Medical Center and other Arizona-based healthcare institutions to identify and provide critical resources to portfolio companies.

Investing in High Growth Potential Companies
TRAC primarily provides capital for companies at the pre-clinical or early-clinical stage of development. These research driven companies will have made an important discovery and have demonstrated proof of concept in the laboratory and will have secured an intellectual property position on their discovery. We are also able to explore opportunities with companies that have commenced later stage clinical trials; however, later stage investing is not TRAC’s primary focus.

The Structure of Our Participation
TRAC generally invests in the form of preferred stock with dividends to secure a minority position in a portfolio company. Most often, we will be the first outside investor. TRAC will generally invest up to $1,000,000 in pre-clinical companies and from $500,000 to $2 million in early-clinical stage companies.

Investment Horizon
Our objective is to provide capital during the early stage of development and to achieve profitable exits prior to completion of later stage clinical trials. We will generally look to sell our positions in pre-clinical investments once significant value has been achieved, which generally occurs when efficacy has been demonstrated in human trials. In most cases the most desirable exit strategy for TRAC will be a sale of the portfolio company or its technology to a larger pharmaceutical company. It is possible that we will hold an investment through the completion of the development process and FDA approval, but exits earlier in the development cycle are more likely.

Extensive Due Diligence
Investment candidates should expect TRAC to conduct extensive due diligence prior to making an investment. It is critically important that we have a full understanding of the capabilities and personalities of the key executives, the stage and scope of the research, the business model and the dynamics of the particular niche in which the company competes.

Post-Investment Participation
We believe strongly that investors should add value beyond capital, so with our investment comes our involvement. We also believe in giving management significant latitude to manage and operate the day-to-day business of the company. Our team will take a proactive approach in guiding and supporting the clinical research, development initiatives, corporate development activities, and financial strategies of TRAC’s portfolio companies. Active monitoring of company performance, industry trends, and product development is critical to reducing risk and maximizing value for all parties involved.    .