There is a perception that the USA is this amazing entrepreneurial engine and everyone makes it without any support from government. That is a myth. Whilst we dont have the same spirit or scale here and therefore R&D funding is needed to get things off the ground the US is not free of support. Also for Australia, Bio is considered a place where we punch above our weight and therefore it gets some more support.
Have a look at Tesla and US car industry as a whole, not to mention the oil industry. Massively supported and we shouldnt mention Fanny Mae and Fanny Mac as well or the propping up of large sections of the US Defence industry?
Here is how the USA helps startups in general
https://www.bio.org/articles/jumpstart-our-business-startups-jobs-act-impact-biotechnology-industry
Old, but this has a good summary of the pathways to funding in the USA at a very high level:
https://www.bio.org/advocacy/letters/bayh-dole-access-early-capital-paper
This from 2010 FierceBioTech:
Feds spell out the rules on $1B biotech windfall
May 24, 2010 | By
John Carroll
The federal government has fired the starting pistol on a
$1 billion tax credit/grant program that could provide up to $5 million in R&D support for qualifying biotech companies. On Friday the Obama administration spelled out the rules on the new program, which is expected to be swiftly swamped by a deluge of applications.
"We expect the program to be heavily oversubscribed," BIO Spokesperson Ellen Dadisman told the
Washington Post. "I think that's an indication of its popularity and its necessity." One member of the administration told the
Wall Street Journal that "thousands" of applications are expected.
In short, a company with fewer than 250 employees engaged in developing new medications, diagnostics and devices will be eligible to receive the money either as a tax credit or as a grant. Companies developing promising new therapies that address unmet needs and cut healthcare costs will be eligible for the credit or grant, which can cover up to 50 percent of development costs for 2009 and 2010. The government will give "special" consideration for cancer drugs. Steve Levy, CPA, provides
more details about the new rules for the program.
(20min delay)