R. Nolan Townsend, MBA, is a leader with experience that spans the globe. Before he became CEO of Lexeo Therapeutics in 2020, he worked at Pfizer for more than a decade, with leadership roles in Finance, Corporate Strategy, Operations and Marketing, and Rare Disease in North America, Asia, Africa/Middle East and Europe.
Now, he heads a clinical stage biotechnology company that aims to apply the transformational science of gene therapy to address some of the world's most devastating genetic diseases including Alzheimer’s disease and cardiovascular disease.
An executive with a global perspective, Townsend shared his top three leadership tips for entrepreneurs.
1. Understand the risks
Biotech R&D is not a space for the risk-averse. There is a high likelihood of failure, Nolan said. Risks to the development program and the company are compounded because revenues aren’t generated until an approved product reaches the market.
Fundraising needs to continue during this period, which could take up to 10 years. In the face of “one of the most challenging entrepreneurial undertakings,” he said, “you ask the question, why would anyone go do that?”
Nolan said it’s crucial to understand the math, and evaluate the science and the abilities of the team to fully comprehend the risks.
2. Have conviction
Drug development is much more than an intellectual exercise. “You [require] so much conviction that you will beat the odds. That is what you need to be successful in biotech,” Nolan said. He said a leader needs to be “all in” and fully committed to the venture. “You shouldn't do it unless you have that level of conviction,” he said.
Nolan emphasized that decisions can’t be taken lightly. Once a determination has been made, a leader needs to infuse the organization with confidence and enthusiasm.
“It's almost like it becomes evangelical,” Nolan said.
3. Build the best team
The need to leverage great science is a core element in any biotech enterprise. But the science must be advanced by great people. “The best teams win,” Nolan said. While some may “bank on flashy science,” he said, “it's the highest quality teams and how they react to those unexpected circumstances that actually makes a difference.” Not everyone agrees with that view, however.
“You see a lot of venture investors that just bet on teams [and] you see some that bet on science. I would be the one betting on the teams,” Nolan said.
Assembling the right team – with the needed skills and shared values – helps ensure better odds of winning. “If you see a track record of success on the team, they're likely to be able to replicate that irrespective of the type of science. Everything else will follow,” Nolan said.