Innovation Participation Shares
How Innovation Participation Shares (IPS) Work
Supporting Innovation. Participating in Commercialization. The ITSCE Fund Innovation Participation Shares (IPS) Program connects eligible sponsors with scientific innovations and their potential path to commercialization.
Through the program, participants may contribute to a designated innovation and qualify for contractual distributions tied to that innovation's eligible commercialization revenue, subject to the applicable written agreement.
IPS participation is innovation-specific. It does not automatically provide ownership in ITSCE Fund, ownership of intellectual property, equity in a product company, or ownership of a commercial product.
Step by step
From contribution to participation.
1
Choose a Champion Sponsorship Level
The Champion Program offers five contribution levels:
- Bronze — $250
- Silver — $500
- Gold — $1,000
- Platinum — $2,500
- Legacy — $5,000
Each contribution is associated with a designated innovation and governed by a separate IPS participation agreement.
2
Select an Innovation
Review the available information about the innovation you wish to support, including its development stage, intended commercial application, funding requirements, and applicable participation terms.
Your participation will apply only to the innovation identified in your agreement unless a separate written agreement provides otherwise.
3
Make Your Contribution and Receive Your IPS Agreement
After selecting an innovation and submitting your contribution, you will receive a separate, innovation-specific IPS participation agreement from ITSCE Fund. Your agreement will identify the designated innovation and document the applicable terms, including:
- Your contribution amount and Champion level.
- The applicable participation and distribution calculation.
- The five-year participation term and its commencement date.
- Your distribution cap.
- Payment conditions and other material terms.
- Applicable cancellation, refund, and termination provisions.
You will have an opportunity to review the agreement before your participation becomes effective.
Payment alone does not guarantee acceptance or establish that participation is effective. Your participation will be governed by the applicable agreement and any required eligibility and compliance procedures.
4
Understand How Distributions May Occur
If the supported innovation generates eligible commercialization revenue, you may qualify for distributions under the applicable written agreement.
The agreement will specify how eligible revenue is calculated, how the available distribution pool is determined, how your share is allocated, and when payments may be made.
A contribution does not guarantee that an innovation will reach the market, generate revenue, or produce distributions.
The limits
The five-year term and distribution caps.
IPS participation is subject to a maximum five-year term, as defined in the applicable agreement, and a maximum distribution cap based on your Champion sponsorship level.
| Champion Level | Contribution | Distribution Cap | Maximum Aggregate Distributions* |
|---|---|---|---|
| Bronze | $250 | 150% | $375 |
| Silver | $500 | 175% | $875 |
| Gold | $1,000 | 200% | $2,000 |
| Platinum | $2,500 | 225% | $5,625 |
| Legacy | $5,000 | 250% | $12,500 |
*These amounts reflect the proposed interpretation that the cap is the maximum total cumulative distributions, including any amount attributable to the original contribution. The governing agreement must expressly establish how the cap applies. These figures are limits, not projected earnings or guaranteed payments.
Cancellation and refunds
A defined opportunity to reconsider.
ITSCE Fund intends to provide sponsors with a defined opportunity to reconsider their participation after receiving their IPS agreement. Under the proposed policy:
- You may request a full refund before signing your IPS agreement.
- After signing, you may request cancellation and a full refund within five business days of receiving the agreement, subject to the final written terms and applicable law.
- If ITSCE Fund does not approve or complete the participation arrangement, your contribution will be refunded.
- If the selected innovation becomes unavailable before participation takes effect, your contribution will be refunded unless you expressly agree in writing to select another innovation.
- After the cancellation window expires and participation becomes effective, refunds are not automatic. The governing agreement and applicable law will determine whether a refund or other remedy is available.
ITSCE Fund intends to hold contributions without deploying them during the cancellation period. The final payment and refund procedures will be described in the applicable agreement.
The complete cancellation policy and any required legal rights will be reflected in the final governing documents.
Your rights
What IPS participation does and does not provide.
Unless a separate written agreement expressly provides otherwise, IPS participation does not confer:
- Equity or ownership in ITSCE Fund.
- Ownership of intellectual property.
- Equity in a university, researcher, manufacturer, licensee, or product company.
- Ownership of a commercial product.
- Management, governance, or voting rights.
- A guaranteed return of your contribution or guaranteed distributions.
Your rights are limited to those expressly established in the applicable agreement.
The risks
Recognize the risks.
Scientific research and commercialization involve uncertainty.
An innovation may not achieve its technical objectives, obtain required approvals, attract customers, reach the market, or generate sufficient eligible revenue to support distributions.
You may receive less than your contribution or no distributions at all.
The five-year term and distribution caps limit the contractual participation arrangement; they do not eliminate the underlying risks.
Before you participate
Review everything first.
Participation is subject to the applicable agreement, eligibility requirements, and any required legal or regulatory procedures. Before participating, review:
- The information provided about the designated innovation.
- The applicable IPS agreement.
- The distribution calculation.
- The five-year term and its commencement date.
- The distribution cap.
- The cancellation and refund policy.
- The material risks.
Interested in supporting scientific innovation?
Explore the ITSCE Fund Champion Program to learn about eligible innovations, available participation levels, and the terms applicable to each opportunity.
Explore the Champion ProgramImportant Notice: This page is for general informational purposes. It is not an offer to sell or a solicitation to buy a security or other financial instrument. Any participation opportunity will be made only through appropriate documentation and procedures, subject to applicable law. The program, offering process, and governing documents must be reviewed by qualified legal counsel before launch.
Follow an innovation from the start.
Join the waitlist to hear when a participation window opens.