FAQ
What exactly is a clinical trial, and why are they so expensive?
A clinical trial is a research study in which human participants receive an experimental drug, device, or intervention so that researchers can evaluate safety, dosing, and effectiveness. They’re expensive because they require highly regulated protocols, complex data collection, specialized staff, extensive oversight, and most importantly recruiting and caring for real patients over time, often across many sites and countries.
What is a CRO, and why do biotech companies use them?
A CRO (Contract Research Organization) is an external partner that helps pharma and biotech companies design, run, and manage clinical trials. Companies use CROs for their specialized expertise, global site networks, and ability to scale operations. However, as Suzanne notes, outsourcing doesn’t eliminate the sponsor’s responsibility clinical operations still needs to be strategic in selecting and managing CRO partners.
Why do so many clinical trials fail, even after promising lab or animal data?
Preclinical results in cells or animals don’t always translate to humans. A drug might be safe and effective in animals but fail to show benefit in people, or reveal safety issues at human doses. Trials can also fail due to poor patient recruitment, flawed study design, unforeseen side effects, competition from better therapies, or regulatory hurdles. It’s a high-risk funnel by design.
How is raising capital in biotech different from raising capital for a tech startup?
Biotech startups often need millions of dollars just to run a single early-stage human trial, and they usually don’t have revenue for many years. Investors must fund science, manufacturing, regulatory work, and human trials under significant uncertainty. By contrast, many tech companies can build and test products with relatively smaller teams and budgets. As a result, biotech investors tend to demand stronger scientific rationale, clearer operational plans, and well-defined milestones.
What is How Women Invest, and how is Suzanne involved?
How Women Invest is a venture fund and leadership community focused on women. It backs women-led companies those with women in key executive roles and supports women in becoming CEOs, board members, and investors themselves. Suzanne is an LP (limited partner) in the fund and participates in pitch reviews and due diligence where her life sciences expertise is relevant.
Does this episode offer medical or investment advice?
No. The conversation explains how the biotech and clinical trials ecosystem works and touches on Suzanne’s personal career and investing journey. It is not individualized medical, financial, tax, or legal advice. You should always consult your own qualified professionals before making health, investment, or career decisions.