2014 Global life sciences sector outlook
Resilience and reinvention in a changing marketplace
IRS releases final regulations and interim guidance on medical device excise tax
Guidance impacts manufacturers, producers and importers of medical devices
Companies operating in the biotechnology, pharmaceuticals and medical devices sectors face a period of unprecedented change and challenges.
Deloitte has a dedicated team of Life Sciences professionals, with the expertise, resources and relationships to assist both public and private life sciences companies. Our range of services spans the entire development cycle of life sciences companies and is designed to assist you in the face of this environment.
Deloitte has worked with many leading companies in the life sciences sector, and on the most complex, landmark programmes. Our clients include some of the world’s leading multinational corporations, as well as indigenous Irish companies at all stages of development.
With our global network of Life Sciences professionals, our in-depth sector experience and our cross-functional Irish team dedicated to the provision of high quality advice to life sciences companies, we are in a unique position to provide you with a dedicated, industry-specific service to meet your requirements. Our ability to advise is informed by our experience of execution, and we have a breadth and depth of professional skills to support your needs.
Deloitte recognises that every business is different and we tailor our service offering to the needs of each individual client.
We recognise the challenges facing pharmaceutical, biotechnology and medical devices companies in today’s market environment, including poor research & development (R&D) productivity with fewer products coming to market, major patent expiry opening the door to generics, a shift to emerging markets, a challenging fundraising environment, competitive company valuations leading to consolidation and acquisition opportunities, and profit and margin pressure. In many instances, there is a requirement for new commercial models, a critical focus on R&D productivity and a requirement to undergo transformational change to ensure lean operations.
How we can help
Our dedicated team of life sciences professionals offers a range of services aimed at meeting the requirements of indigenous life sciences firms at all stages of development, in addition to the range of services currently provided to our multinational pharmaceutical clients.
Below is a small selection of the services we offer and that we have provided to life sciences clients during the various phases of their business cycles.
- Book-keeping and accounts preparation services for emerging businesses
- Advice on the key issues that may become relevant in terms of holding, exploiting/licensing and managing new discoveries and breakthroughs in a tax efficient manner
- Assistance with preparation of a business plan
- Assistance with raising of funds from State supports or angel investors, including assistance with the preparation and application for grant aid/funding incentives
- General business planning and strategic advice
Start up phase
- Assisting with company incorporation and ongoing company secretarial support
- Technical accounting advice, including financial instruments and the use of share based remuneration
- Advice on tax compliance obligations, including preparation of tax returns and claims for R&D credits
- Advice on tax incentives and reliefs, for example the new Irish intellectual property (IP) tax regime and R&D tax incentives
- Assistance with the preparation of financial projections and business plans
- Project management of the fundraising process in today’s challenging fundraising environment from initiation to completion
- Data protection advice from our enterprise risk services experts
- Cost performance review, in light of current market and margin pressure, including reviews of systems, supply chain models, working capital and cash management
- Assistance with funding appropriate debt and equity for growing businesses
- Tax advice on IP licensing and other commercial arrangements, including transfer pricing assistance
- Sarbanes-Oxley compliance and internal controls assistance
- Support on general business, accounting and tax issues arising on consolidations, joint ventures, mergers and acquisitions
- The life sciences sector has been consolidating for many years. We can advise on consolidation strategies and implementation, including target identification, financial, commercial and tax due diligence, valuation and deal negotiation, as well as post-merger integration and organisational redesign
Scaling/exit funding required phase
- Expertise on initial public offerings (IPOs) and accountants’ reports
- Structuring activities to ensure a tax efficient exit
- Provision of advice on growth/exit strategy
- Provision of strategic and financial advice on transactions involving listed companies
- Corporate governance