The Fab Fund makes Production Advances to qualifying local businesses or individuals ready to begin production on a fab-centric invention, product or service. A Production Advance is made to the qualifying business/individual under a simple revenue sharing agreement that is specific to the product or service being proposed.

The sponsoring Fab Lab will share in the Fund's component of the revenue in exchange for supporting the local entrepreneur. The terms of the share will be negotiated specifically for each proposal, as products differ considerably in projected gross profit margins. Production Advances can range from a few hundred dollars up to $50K.

The Production Advances may be used for production-related activities (including equipment leases, supplies, and operational labor costs), sales and marketing. The business/individual applying for the advance must provide a plan detailing how the funds will be used. Any material changes to this plan must be submitted to the Fab Fund for approval.

Key Considerations:

• Sponsorship by a local Fab Lab that has access to business mentoring resources for the local entrepreneur.
• Capabilities/experience of entrepreneur(s)
• Market potential for invention, product or service
• Alignment of invention, product or service with capabilities for small-lot production
• Support capabilities of the sponsoring Fab Lab
• Strength and availability of local business mentoring resources 

The primary business support/incubation will be provided by the Lab or affiliated local mentoring resource – the Fund will does not take the lead in business mentoring. The Fund will involve its network of business and domain experts to help the entrepreneur refine the product plan.