Neuroza Executive Summary

Neuroza develops and distributes a wearable electroencephalography (EEG) sensor which is used alongside a machine learning algorithm and a mobile application to diagnose and monitor depression. Neuroza aims to help patients and their doctors navigate the depression treatment process together. Neuroza will compete in the wearable medical device market as a C-corp company incorporated in Delaware and headquartered in Philadelphia, Pennsylvania.

Current standards for depression diagnosis are qualitative and the treatment process is complex (“Depression in primary care” 2002). By selling our product directly to psychiatrists, Neuroza will reshape the depression diagnosis space. Doctors will interpret EEG data to provide quantitative insights about a patient’s depression.

The main components of Neuroza are the EEG sensors, a headband, the bluetooth connection board, and the machine learning app. Following the prescription, the patient will wear the device for about 30 minutes per day over the course of a week before their next appointment with the doctor. The 30 minutes should consist of resting state activities such as watching a movie, but not sleeping or exercise (personal communication, 2020). Meanwhile, the doctor will be able to see the EEG readings and is able to make an informed decision using the data upon the next visit. The patient is then able to wear Neuroza again in the future comparing the new results to the baseline so that changes in a patient’s depression condition are clear and understandable, as any changes would appear in the EEG. The EEG sensors were developed by researchers at the University of Pennsylvania’s Pennovation Center, and Neuroza plans to exclusively license the patent for the technology. The developers own the current patent on the EEG sensors which was filed in 2018 (Berger, 2019).

Neuroza will compete in the wearable medical device market, capitalizing on market trends and growth. As Neuroza can be worn at home by patients for monitoring, the product aligns with a market trend in which there is increased demand for products that provide patients with personalized, at-home care. In addition, Neuroza aims to capitalize on the market’s projected growth in value from $7 billion in 2017 to $30 billion in 2023 at a 27.6% CAGR (BCC Research, 2020).

There is currently no clinical method to diagnose depression and monitor patient progress nor is there a comparable device to Neuroza. Psychiatrists use symptom-based psychiatric rating scales to understand how their patients feel. Similar devices exist such as Muse, an EEG meditation aid and Flow, a depression treatment device; however, these are not designed to diagnose depression or monitor its symptoms (Muse, 2020).

Neuroza will reach psychiatrists through continuing medical education (CME) channels. All doctors are required to attain some yearly CME hours; methods to attain hours include attending lectures or conferences on updated medical research (O’Neill, 2020). At CME conferences, our team will educate psychiatrists on Neuroza. Moreover, Neuroza will develop a sales team which will travel the US selling Neuroza to clinics and psychiatry practices. The complete headpiece will require assembly of the sensors and headwear. The manufacturing of all physical components will be outsourced, while software will be developed in house. The final product will be assembled and shipped from the Philadelphia headquarters. This ensures a high quality product and minimal infrastructure for the Neuroza company, while still maintaining Neuroza’s final say on each product.

There are five phases which will take Neuroza from initial funding to launch. Phase I is preliminary planning, which will take three months to complete, Neuroza is focused on finalizing a business plan and pitching to potential seed investors. Phase II is where our product begins to develop and will take six months. In phase II, software development is initiated and the Philadelphia headquarters is established. Neuroza will begin preparing for FDA trials by finalizing the product. Phase III is the longest phase as it encompasses all FDA trials. This is expected to take two years to complete, and Neuroza should be market ready upon completion. In phase IV, Neuroza will begin to order the production of Neuroza and complete shipping trials as well as finalizing FDA approval. Phase IV will take six months to complete. Phase V is categorized by Neuroza’s first major sale. All phases together will encompass about four and a half years. From here, Neuroza will continue to expand and to include physicians in future sales.

Neuroza has seven members on its management team. The first five are currently established. Ayush Parikh is the CEO of Neuroza. He is a senior studying computer science. Yewen Tang is a Master’s Student in the Integrated Product Design program. With past experience as a UX Designer/Researcher, she is serving as the VP of Marketing for Neuroza. Rachel Adler is a senior in CBE serving as the VP of Operations for Neuroza. Gabrielle Weiss is a senior in BE serving as the VP of R&D. Bram Bruno is a senior in CIS and is the VP of engineering. The next two members will be added within the first two phases of the five phase plan. Sydney Kaye, with her previous experience consulting for patent owners as well as her financial prowess, will serve as the VP of Finance. Isabel Kim, a final year law student at Penn, will serve as the VP of Compliance.

Neuroza will raise $3MM in 3 rounds of funding in order to create value for our customers. Neuroza seeks to raise $500k in seed funding, $1MM in series A and $1.5MM in series B. In 2025, Neuroza expects to sell 100,000 units at a price of $550 with a net profit of $12.5MM. Acquisitions are common in the medical device industry with an average of 6-10 years between the founding of a company and its acquisition; therefore, we expect Neuroza to be acquired in 2027 as our FDA timeline is shorter than most and this falls at the lower end of the 6-10 range. At the time of acquisition, Neuroza will be worth $200MM. This acquisition price was calculated using a P/E ratio of 16, which is average for the wearable medical device industry, multiplied by the expected earnings in the year of acquisition.


BCC Research. (2019, March). Wearable Medical Devices: Technologies and Global Markets. BCC Research. Retrieved from

Berger, M. (2019). A wearable new technology moves brain monitoring from the lab to the real world | Penn Today. Penn Today. Retrieved 17 November 2020, from

“Depression in primary care: tools for screening, diagnosis, and measuring responses to treatment.” Med, Oct 2002, Retrieved from

Muse - Meditation Made Easy. Muse. (2020). Retrieved 17 November 2020, from

O'Neill, C. (2020, February 14). A Guide to Medical Education Meetings; CME and Promotional. GCG Event Partners. Retrieved from

Technology-Enabled Behavioral Health Integration | NeuroFlow. NeuroFlow. (2020). Retrieved 17 November 2020, from

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