Rules & Terms of Use

BCIC-New Ventures Competition Rules 2013

These rules have been established for the BCIC-New Ventures Competition 2013 (“Competition”) organized by the New Ventures BC Society (“NVBC”).

1. Eligibility
2. Submission Requirements
3. Requirements for Supplemental Prizes
4. Awards and Final Ceremonies
5. Definitions
6. Terms of Use

Eligibility Requirements

For a “Participant” (see Definitions below) to be eligible:

The Participant must have at least one person who is a permanent resident of B.C.

If the Participant is a business, it is:

• A B.C.-based business with the majority of its activity in B.C.
• Privately held and has not been incorporated for more than five years, with the possible exception of businesses that are entering the competition for the purpose of substantially changing their business model or business direction. Participants are not required to be incorporated to enter this competition.
• All persons are of the legal age of majority in B.C. or if not are represented or accompanied as appropriate by someone of the legal age of majority in B.C.
• While a person can participate on one or more teams or submissions, they are not the lead for more than one team or submission.
• The Participant has raised less than $500,000 of equity financing from “outside investors” (i.e. investors other than friends, family and company founders) for the submission as of the date of entry in the Competition, unless otherwise approved by NVBC.

The Participant agrees to:

• Reasonably co-operate in providing NVBC with statistical and tracking data for up to two years following the end of the 2013 competition.
• Co-operate in the promotion of the Competition by allowing the use of the Participant’s business and personal names.
• Upon request Participants will provide a brief (250-word) overview of their venture for the use of NVBC for promotional and publicity use and will make themselves reasonably available to NVBC and the media for promotional and publicity purposes.

Participants have not previously:

• Entered the Provincial and/or Regional competition more than three times; or
• Won any cash prize in any past Provincial or Agritech BCIC-New Ventures Competition other than the BCIC-New Ventures Regional Competition; or
• Placed in the top ten of the NVBC competition twice.

Participants cannot be:

• Directly involved in the judging process for the Competition
• A service-based consulting business, with the exception of those service businesses that are entering the competition specifically to commercialize new intellectual property utilizing a product-based business model

In consideration of NVBC admitting a Participant to the Competition, the Participant agrees to be bound by the terms and conditions (the “Terms of Use”) and all competition rules contained on this Site. NVBC reserves the right to accept or decline any applicant to the competition.

NVBC reserves the right in its sole discretion to disqualify any entry that in its judgment violates the spirit of the competition guidelines, processes and rules of the BCIC-New Ventures Competition. NVBC’s decisions are final and binding.

For the submission to be eligible:

- The clear intent of the submission is to build an economically viable, for-profit, new business in B.C.
- The Participant bears sole responsibility for the preparation of their submission.
- The submission meets all of the Submission Requirements
- The Participant must be commercializing Intellectual Property that meets at least ONE of the following criteria:

1. It is an innovative product or service (SEE DEFINITIONS) involving new technology defined for the Competition as the application of a practical system of knowledge concerning the physical world and its phenomena.
2. It combines existing technologies in a way that results in new intellectual property.
3. It utilizes technologies to develop new or improve existing products or services.
4. It utilizes technologies to develop new or improve existing production processes.
5. It is the early-stage development of a new technology.

- All submissions are made by stated deadlines in all eligible rounds.

- The Participant has paid the registration fee of $200 in Canadian funds and has registered for the Competition either online at www.newventuresbc.com by the stated entry deadline or by mail or courier in an envelope post-marked by that date. Cheques should be made payable to the New Ventures BC Society, and sent to:

BCIC-New Ventures Competition
9th floor, 1188 West Georgia St.
Vancouver, BC
V6E 4A2

BCIC-New Ventures Competition (“NVBC” or “the Competition”) Submission Requirements

The following are the submission requirements for each round of the Competition:

Round 1: The Idea

In this round Participants will have access to seminars, networking opportunities and online resources.

Completed registration and an outline of the business idea using the online form must be submitted electronically by April 18, 2013, 11:59pm.

• Show how the Participant meets the eligibility requirements;
• Include a description of the product or service offering (maximum 200 words);
• Include a description of the innovation behind the idea without disclosing proprietary technology (maximum 200 words);
• Briefly describe the technology sector the idea stems from (maximum 300 words); and
• Provide a brief analysis of the relevant market and competition (maximum 300 words).

Entries will be evaluated for eligibility on the basis of the points noted above. The finalists moving on to Round 2 will be announced by April 23, 2013.

Round 2: Feasibility Test

The purpose of the Round 2 entry is to test the “fitness” of your business idea against a jury of experienced peers.

The Round 2 entry may be no more than five pages, and must answer the questions in the order listed below. Your entry will be read by as many as five judges and judged primarily according to the criteria detailed below. Your entry must be uploaded to the NVBC online system by May 9, 2013, 5:00pm.

Round 2 Questions:

1. Baseline information. Your answers to the following points will assist the judges in understanding what your venture is all about, but do not form a part of the basis for evaluation of your venture.
   • Product/Service: Describe your product or service and the nature of the technology.
   • Technology Development: Describe the development stage of your product/service.
   • Team: Describe your company’s strengths and weaknesses. List the credentials of your technical and management teams, and if applicable, advisors and board of directors. If you don’t have a team, describe the key positions and critical skill sets that you need to add.
   • Business Plan Status: What research has been conducted, what remains to be done, and how and when do you anticipate doing so. What key sources are included to document and support your plan?
2. Evaluation information.Your submission will be judged primarily according to the following five criteria. Each of the five criteria will be judged on a scale of 1 to 5 (where: 1=poor; 2=fair; 3=good; 4=very good; and 5=excellent). Points are awarded on the basis of the clarity and credibility of your submission.
   • Question #1: Intellectual Property. Using the World Intellectual Property Organization definition [SEE DEFINITIONS], describe the various forms of intellectual property (IP) related to your product/service that are needed in connection with your business and whether you own such IP, are developing it under license or otherwise. Describe your intellectual property strategy, including any plans for intellectual property protection.
     IMPORTANT: Be sure to consider all forms of IP (not only patents) in explaining how your IP strategy will help your company create a sustainable competitive advantage over competitors in the marketplace.
   • Question #2: Market: Who is your customer? Describe the value proposition: the quantifiable value your customers will derive from purchasing your products or services. Why will they buy it? Describe the target market in terms of size, segmentation and trends. What are the barriers to market entry?
   • Question #3: Distribution. Describe how you will take your product to market and reach your customers from a sales and marketing perspective. What alliances do you intend? How will you overcome barriers to market entry?
   • Question #4: Competition. Who are your existing or potential competitors? Describe your company and product’s primary competitive differentiators. What makes you unique, better? What makes your competition threatening? How might competitors react to the introduction of your product or service?
   • Question #5: Financial. Describe your revenue model— how you plan to make money. What have you spent to date? What funds have been raised? How much money do you need? When do you need it? What will you do to raise any additional funds required for your product/service? When will your venture be cash-flow positive? What significant assumptions have you made? What risks have you identified?

Each of the jurists will review between 10-25 submissions, and each submission will be reviewed by up to five jurists. Based on the jury’s feedback, an ordinal listing of companies based on judging results will be generated from which the top 25 companies will be selected to advance to Round 3 of the Competition as follows:

The companies ranked in the top 15 of the ordinal list will automatically be promoted to Round 3.

Round 2.5: The balance of the top 25 companies (10 companies) will be selected from among the next group of 25 companies (companies ranked 16 through 40 on the ordinal list). Each of the companies will be invited to present an in-person pitch to a jury, using the same judging criteria as used for the written submission. Based on the outcome of the in-person pitches, the Round 2 jury will complete its determination of the list of 25 companies that will advance to Round 3 of the competition. During this interim phase, each company will be provided with coaching and/or mentorship to assist the Participant in the preparation of their oral pitch.

The first 10 finalists for Round 3 and Round 2.5 will be announced by May 28, 2013. The final Round 3 announcement will be made by June 20, 2012.

Round 3: Venture Plan

In this round, Participants will have the opportunity to be assigned two to three team mentors, to access a number of experts through a panel mentoring session, and to participate in additional workshops. NVBC strongly recommends participation at all offered mentoring and seminar sessions.

Round 3 deadline is August 8, 5:00pm, 2013.

Note: In addition to answering the foregoing questions, those Participants who wish to be considered for the BC BioEnergy Network Prize or the Vancity Social Venture Prize, must also submit further information as outlined here .

Round 3 entries must answer the 12 questions in the order listed below. It may be no more than eight pages, plus specified appendixes. It will form the foundation of a business plan. Entries must be uploaded to the NVBC online system by August 8, 2012, 4pm.

• Question #1: The Product/Service:Describe the Product/Service with respect to the nature of the technological advancement, cost-saving advantages or revenue-generating possibilities within, or in relationship to, the target market segment. In your description please address the following points:
  • Describe the Product/Service.
  • Describe the Product/Service business.
  • How will revenue be generated?
• Question #2: Intellectual Property: Describe any intellectual property or other innovation associated with your Product/Service. Outline any patentable intellectual property and provide patent status. Explain how your IP strategy will help your company create a sustainable competitive advantage over competitors in the marketplace.
• Question #3: Technological Development: 
Describe the current development status of the Product/Service. In your explanation please address:
  • What are the unknown factors with respect to further development or any enhancements?
  • Does this technology rely upon emerging or commercially available technology?
  • Define clear milestones for the next 18 months
• Question #4: 
The Technical Team:Describe the company’s team and address the following points (remember you may attach resumes as appendices):
  • Highlight professional or academic qualifications of the team members.
  • Describe past activities of the team with respect to past ventures
    Indicate if and how team members have worked together prior to this project.
  • If the team is not fully assembled, what critical skills sets are missing?
• Question #5: Market Scope: 
Describe the market scope for the Product/Service
  • Describe the key attributes of the target market (size with segmentation, buying criteria, behaviour, etc.)
  • What are the market trends and why?
  • How will you build your market?
• Question #6: 
Market Need: 
Describe the Product/Service’s appeal and relative fit to the target market. Please address the following points:
  • Is the Product/Service introducing a need or filling an existing need?
  • Why will customers purchase your Product/Service?
  • Based on internal or industry feedback, are further improvements or enhancements necessary? What are these?
  • Characterize the “early adopters” of the Product/Service within the target market and describe your ideal customer profile.
  • What indication of interest has been received from potential customers to use or test the Product/Service?
  • Describe clear milestones for the next 18 months
• Question #7: Distribution Channels:
 Describe the intended sales channels for the Product/Service in the target market. Please address the following points:
  • How or who will sell the Product/Service?
  • Does your Product/Service provide a solution for the sales channel?
• Question #8: Competitive Situation:Describe the competition in the market place for the Product/Service. Please address the following points:
  • Describe the competition in the market place for the Product/Service. Please address the following points:
  • Which current market stakeholders may feel threatened by your Product/Service?
  • Why will your product/service “beat” the competition?
• Question #9: Barriers to competition:
 Describe any barriers to others competing with your product or service. Examples might be:
  • Patent or copyright protection
  • Time to engineer a new product
  • Market presence as first to market
• Question #10: Business Plan Status: Describe the current status of your business plan. In your response please address the following points:
  • Who wrote the business plan?
  • What advisors were consulted or what additional research was conducted?
  • What key sources are included to document and support your plan?
• Question #11: Management Capacity: Describe the business skills (leadership, directorships, finance, marketing, operations, HR, etc.) of your team. Please address the following points:
  • Highlight the key credentials of the management team.
  • What key skill sets remain to be recruited?
  • Does management regularly consult with market-based advisors or experts? How?
• Question: #12: Financial: Describe the financial position of your venture. Your answer should address the following points and be supported by attached statements.
  • How will your revenue model enhance market acceptance in the target market?
  • How are you going to price your service/product?
  • Include reference to your cash flow statement
  • Include reference to one- and two-year pro-formas, plus three- to five- year summaries
  • How much money has been spent?
  • How much money has been raised?
  • How much money is required?

Appendices may only include the following:

• Resumes
• Pro-forma Financial Statements
• Supporting research NOT authored by the team

Requirements for Supplemental Prizes

BC Bioenergy Network Prize

Participants wishing to be considered for the BC Bioenergy Network Prize must be actively involved in the commercialization of Bioenergy technology (defined as renewable energy that is derived from biomass of recent living organisms. Biomass feedstocks include forest, agriculture and municipal wastes (landfill gas, solid waste, and wastewater), AND answer these additional questions in the order listed below. This document may be no more than three pages in length, and must be received as part of the Round 3 submission by the stated deadline .

Vision and Strategy: A statement and discussion of your organization’s sustainability strategy.

Profile: An overview of your organization, operations, and stakeholders.

Environmental Impact: We ask that participants estimate or at least address the question of whether the net greenhouse-gas reductions flowing from the project are lower than greenhouse-gas emissions from a coal-fired energy source. In addition, the question as to whether the expected exhaust outputs will meet the environmental standards as expressed in the California Clean Air and Water Regulations should be addressed.

The winner of the BC Bioenergy Network Prize will have placed in the top 10 (“Round 4”) of all NVBC participant companies.

Vancity Social Venture Prize

Participants wishing to be considered for the Vancity Social Venture Prize must be a for-profit venture that has as part of its purpose a strong social or environmental mission and creates shared value to the local community and society at large in addition to economic profits.  Your venture uses its business structure to create shared value by creating economic value in a way that also creates value for society by addressing its needs and challenges.

In addition to the 8-pg submission, participants must answer these questions in the order listed below. This document may be no more than three pages in length, and must be received as part of the Round 3 submission by the stated deadline.

Vision and Strategy: A statement and discussion of your organization’s social or environmental purpose and the shared value that your business creates.

Profile: An overview of your organization, operations and stakeholders.Governance Structure and Management Systems: A description of your organizational structure, policies, management systems and stakeholder engagement efforts.

Performance Indicators: Measures of your organization’s performance divided into economic, environmental, and social performance indicators.

Please provide specific information about how you are going to measure your social or environmental purpose and how you can demonstrate your shared value.

Additional questions to consider in the Vancity Social Venture Prize submission (addressing each question is not required):

• How does the technology help address a social or environmental issue? What is the challenge being addressed?  And how does this technology contribute to a positive outcome for the local community or society at large?
• What is the shared value that you are creating?  In addition to economic impact, how are you creating value for society by addressing its needs and challenges?
• What is the potential impact or reach of the technology in BC?
• Does the company or its product/service have the opportunity to scale or to replicate to achieve broader impact?
• Will your company be adding new jobs in your community?
• Are you using sustainable business practices – balancing growth against the environmental and social impacts on their community?

The winner of the Vancity Social Venture Prize will have placed in the top 10 (“Round 4”) of all NVBC participant companies and demonstrated a plan to make a significant social or environmental impact on their local community or society at large.

BCIC Resource Industry Prize

No additional documentation required. The jury will choose the top Resource Industry company for this prize based on the following guidelines:

• The recipient will be working to commercialize a technology for application in the following resource industries: Mining, Forestry, Agrifoods or Natural gas.
• The recipient will be (a) one of the 10 finalists of the BCIC-New Ventures Competition

Wavefront Wireless Prize

No additional documentation required. The jury will choose the top wireless company for this prize based on the following guidelines:

• The recipient will be active in the wireless / mobile sector
• The recipient will be (a) one of the 10 finalists of the BCIC-New Ventures Competition
• The recipient will (a) have a strong team, (b) have high growth potential in global markets

Plug and Play Tech Center Prize

No additional documentation required. The jury will choose the top information communications technology (ICT) company for this prize based on the following guidelines:

• The recipient will be active in the ICT sector
• The recipient will be active in one of the following sub-sectors; consumer internet, software, mobile, wireless, gaming, and social media.
• The recipient will be (a) one of the 10 finalists of the BCIC-New Ventures Competition, and (b) the top performing ICT company.
• The recipient will (a) have a strong team, (b) address $100M + market

Round 4 – The Finale

Up to 10 finalists will present their business idea to the Competition jury orally on September 12 or 13, 2013 .

Participants may use PowerPoint or other graphic displays to support their oral presentation. Each team will be given 15-minutes to present their venture plan, followed by a 30-minute question-and-answer session between the Participant and jury. There will be approximately 10 minutes between presentations.

The Jury, who may also have called upon outside expertise to complete their “Due Diligence”, will evaluate presentations. The Jury will be directed to rank the submissions in the order they deem to be most likely to succeed as a business venture in the current market.

All Round 4 finalists will receive a certificate acknowledging their achievement at the awards ceremony. The winners will be announced at the BCIC-New Ventures Competition awards ceremony on September 25, 2013.

AWARDS AND CEREMONIES

The Participants will be informed of the results for Rounds 1, 2, and 3 by e-mail. The results will also be posted on the NVBC website. The names of the winners in Round 4 will be made public on the day of the award ceremony on September 25, 2013.

A jury appointed by the NVBC board will determine the recipients of NVBC Awards. The final results are subject to approval by the NVBC board.

The prize award structure is as follows:

• One (1) participant will win the $100,000 BCIC first-prize package ($80,000 cash);
• One (1) participant will win the $55,000 BCIC second-prize package ($42,000 cash);
• One (1) participant will win the $35,000 BCIC third-prize package ($28,000 cash);
• One (1) participant will win the $20,000 BC Bioenergy Prize. A team may win the BC Bioenergy prize in addition to another prize. If none of the 10 finalist teams meet the requirements for the BC Bioenergy prize, the prize will not be awarded; and
• One (1) participant will win the $15,000 Vancity Social Venture Prize. A team may win the Vancity Social Venture Prize in addition to another prize. If none of the 10 finalist teams meet the requirements for the Vancity Social Venture Prize, the prize will not be awarded.
• One (1) participant will win the Plug and Play Tech Center Prize, valued at $10,000. The top Information and Communications Technology (ICT) company will be awarded this prize.

All prizes are in Canadian dollars. All Round 4 finalists will receive a certificate acknowledging their achievement at the awards ceremony. The winners will be announced at the BCIC-New Ventures Competition awards ceremony on September 26, 2012.

Prize amounts may change without notice. NVBC administration will communicate any changes to all participants.

Participants nominated for an award shall be represented at the final ceremony; they will, therefore, be informed of their nomination sufficiently in advance.

All prizes that are to be awarded will be awarded at the final ceremonies.

Definitions

Intellectual Property: Intellectual property refers to creations of the mind: inventions, literary and artistic works, and symbols, names, images, and designs used in commerce. Intellectual property is divided into two categories: Industrial property, which includes inventions (patents), trademarks, industrial designs, and geographic indications of source; and Copyright, which includes literary and artistic works such as novels, poems and plays, films, musical works, artistic works such as drawings, paintings, photographs and sculptures, and architectural designs. Rights related to copyright include those of performing artists in their performances, producers of phonograms in their recordings, and those of broadcasters in their radio and television programs.

Participant: The Participant may be either one or more persons, or a business. The Participant must include at least one person with a permanent residence in the province of British Columbia. If the Participant is a business, the business must have the majority of its activities in British Columbia. Eligibility requirements must be met.

Service: must not be a service-based consulting business, with the exception of those service businesses that are entering the competition specifically to commercialize new intellectual property utilizing a product-based business model

Technology: Technology can refer to material objects such as machines, hardware or utensils, but can also encompass systems, methods of organization, and techniques.

Team: A team is a group of persons, who together are a “Participant” in the BCIC-New Ventures Competition.

Terms of Use

You must read and agree to the competition terms of use outlined below (these “Terms of Use”) to be eligible for entry.

Warranties and Disclaimers

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In no event shall NVBC or its Sponsors, Jury, or Mentors (as defined in the Competition Rules) be liable to you or any third party for any special, punitive, incidental, indirect or consequential damages of any kind, or any damages, loss or expense whatsoever, including, without limitation, those resulting from the loss of use, data or profits, whether or not NVBC has been advised of the possibility of such damages, loss or expense, and on any theory of liability, arising out of or in connection with the use of this Site or of any Web site referenced or linked to or from this Site. Some jurisdictions prohibit the exclusion or limitation of liability for consequential or incidental damages, so the above limitations may not apply to you.

The use of the Materials or the downloading or other acquisition of any information, data or documents through this Site is done at your own discretion and risk and you agree that you will be solely responsible for any damage to your computer system or loss of data that results from such downloading or other acquisition. No advice or information, whether oral or written, obtained by you from NVBC or any Sponsor or Mentor or through or from this Site shall create any warranty not expressly stated in these Terms of Use.

NVBC reserves the right to terminate, withdraw or amend the Competition or disqualify any entry for any reason and without notice.

Representation of Rights in the Work

You represent and warrant that you are the sole author of all documents and information submitted in connection with the Competition (the “Work”), that the Work is original and that the Work has not previously and does not presently infringe on any patents, industrial designs, trade marks, trade names, brand names, service marks, logos or copyrights, whether or not registered and whether domestic or foreign, or the trade secrets, know-how or confidential or proprietary information of any other person or entity (the “Intellectual Property Rights”).

Indemnity

You agree to indemnify, defend and hold harmless NVBC and any Sponsor or Mentor and their respective officers, directors, employees, consultants, representatives and agents from and against any loss, liability, claim, cause of action, demand, damages, costs or expenses including without limitation reasonable legal, accounting and other professional fees made by any third party arising from or in connection with your use of this Site, your participation in the Competition including but not limited to any violation by you or any other Participant of these Terms of Use or of the Competition Rules, your infringement of any Intellectual Property Rights or your misuse of any confidential information by any person. NVBC reserves the right to assume the exclusive defense and control of any matter, subject to indemnification by you, which shall not excuse your indemnity obligations.

You further agree not to make any claim or initiate any proceedings in relation to any loss, damage or expense that you may incur in connection with your use of this Site or the Materials, or your participation in the Competition, including but not limited to your submission or otherwise might claim contribution and indemnity from NVBC and any Sponsor or Mentor and their respective officers, directors, employees, consultants, representatives and agents.of the Work, against any person, partnership, corporation or other entity who might claim pursuant to the provision of any applicable statute

No Confidentiality Obligation

NVBC understands confidentiality is a major concern to you and efforts will be made to restrict access to your submission. Nevertheless, you acknowledge that NVBC cannot ensure the privacy of any information that you send us. Without limiting the generality of anything else stated in these Terms of Use or in the Competition Rules, NVBC and any Sponsor or Mentor and their respective officers, directors, employees, consultants, representatives and agents shall not be responsible for any damages that you may incur by your communication of information and submission of the Work (whether confidential or not) to NVBC or, if at your request, NVBC communicates confidential or other information to you.

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Additional Situations

Situations not covered by the above rules and terms of use will be resolved by NVBC board of directors and their decision will be final. The NVBC staff and board of directors reserve the right to amend the rules without notice, including in the event situations occur that are not covered by the above rules or to further interpret or clarify the existing rules when necessary.