Innovation Fund for New Cures
As a donor considering supporting pediatric cancer research you care about advancing cures for children with cancer. Your generosity is motivated first and foremost by your desire to have a positive impact on the lives of children with cancer and their families.
Alex's Lemonade Stand Foundation (ALSF) shares the same commitment to giving, because it is the right thing to do. However, we have also come to recognize that as funders of research, we have an opportunity to gain a potential financial return on our contributions, which in turn will allow us to sustain and potentially grow our impact.
Most discoveries will not lead to commercialization; this is science after all! But there is potential that a special few will lead to a breakthrough technology, treatment or cure that could result in a patent. These patents may be monetized, resulting in revenue payouts to the institutions and researchers who hold those patents. As partial funders of the work behind the patents, our organization would receive an appropriate portion of the revenues generated by the commercialization of the patents.
How it works:
As funders of a variety of innovative research projects, ALSF and The RUNX1 Foundation have secured rights to a share of the revenue that may come through the commercialization of these funded projects.
We have created an opportunity for donors to our organizations to join in this unique model of giving with potential for future returns, through the Innovation Fund for New Cures (The Fund). Here’s how it works:
- ALSF and The RUNX1 Foundation have contributed to The Fund their rights to a share of the revenues, if any, that may be generated from the intellectual property resulting from the work funded by a selection of our research grants.
- If you choose to join The Fund, for each donation of $1,000 to ALSF and RUNX1 Foundation, we will assign a share of The Fund to you— which means if you donate $100,000, you will receive 100 shares.
- If The Fund receives revenue from any of the projects in the future, you will receive a portion of the revenue based on your assigned shares as a proportion of the total number of shares in The Fund.
- You can choose to keep the revenue or give some portion as a donation back to ALSF/RUNX1 so we may invest in new projects in the form of research grants.
There is no guarantee that The Fund will receive any revenue, which means there is no guarantee you will receive any revenue from The Fund. Revenue will be entirely dependent on whether the work funded by the research grants results in intellectual property that is successfully monetized.
How many projects are in the Innovation Fund for New Cures?
Currently, The Fund contains 30 projects, representing a $8.478 million investment from our organizations. We anticipate adding additional projects to The Fund as we grow our portfolio of funded grants.
How many shares total are in The Fund?
The Fund is currently comprised of 8,478 shares, (each $1,000 investment equals 1 share). As the portfolio of funded grants grows, the shares will grow, as will the potential for a return.
Is there a minimum donation to join the fund?
Yes, the minimum contribution to participate in the fund is $25,000.
Is this legal?
Yes, The Fund was set up with the guidance of multiple lawyers who specialize in non-profits, intellectual property, and valuation.
Is my donation to The Fund tax deductible?
A donation to the Fund meets the tax deductibility test because the value of what you receive, (a share of highly speculative returns in the future), has been deemed to be of nominal value by an expert in valuation. However, you should always consult with your tax advisor on the deductibility of your gifts.
How can I learn more about the projects in The Fund?
We have a Fund Book available with information on every researcher and project in the fund. We are also always available to discuss the projects in more detail. Contact us here.