Today’s talent acquisition market within biotech is fiercely competitive. The industry requires highly-skilled individuals, and there simply is not enough qualified people to go around. A biotech company lives and dies based on the effectiveness of its personnel. As companies jockey to attract the best talent, especially VC stage companies, one factor has revealed itself to be instrumental when professionals are considering new opportunities: funding.
While professionals are excited to work on pioneering science and products, in many cases, the science on these projects is unproven, which creates a heightened element of risk. Working on cutting edge science, with new technologies and developing new products can significantly extend the time and increase the resources required in research and development, which comes with hefty costs. It may also create a greater need for educating the market and building awareness, which also increases costs. Greater costs can also create greater risk.
How are companies mitigating the concerns of today’s talent around risk and financing? Highlighting their financial strength is one major way. Companies that have a deep well of funding can convey their financial position to prospective candidates and alleviate the amount of risk they perceive taking.
Funding Mitigates Risk
Today’s workforce is more open to the idea of switching jobs than in past years. A recent Gallup survey discovered that 63% of American workers believe it is likely that they will find a better job in the next year. When asked in their 2012 study, only 19% of respondents said so. While talent knows that there are excellent opportunities for them, changing companies requires undertaking some risk.
As candidates weigh their employment options, they are increasingly interested in the company’s funding. If the company is strong financially, there is far less risk for them in jumping aboard. If the company’s financials are not strong, candidates are much more likely to sit tight and wait for another opportunity.
The Source of the Funding Matters
Not only are candidates asking more questions about the funding that biotech has, but they are interested in where the money is coming from. When a biotech startup is backed by a VC firm with a track record of supporting successful companies, it piques their interest.
VC investment in the biotech industry has been rising year over year, with record investments in recent years. 2018 saw over $12B in VC investment, up significantly from the $3B in 2013. With so much money pouring into the industry and the relatively low long-term success rate, professionals are very discerning with their employment choices.
Get Access to the Best Talent with Marcus and Associates
For biotech companies, hiring the best talent is vital for success. Your company will need to sharpen your recruitment efforts in order to gain access to the best people, who are more selective than ever when considering their employment options. Whether your company has strong financial support or not, be prepared for talent to inquire about the funding of your company. Understanding your company’s financial position as well as being knowledgeable about your financial backers can make a big difference in your ability to attract talent.
Need help finding dynamic biotech talent? Contact Marcus & Associates today to learn more about our proven process for biotech recruiting success.