Unlocking Cost-Efficient Biopharma Innovation with Unused and Used Equipment

Why Unused or Slightly Used High-End Equipment Is Often Overlooked

The U.S. biopharma industry faces increasing competition from China’s rapid expansion, while NIH cost caps are poised to impact funding for R&D. As investors and innovators look to stretch every dollar further, events like the 2025 BIO International Convention provide a critical forum to explore more efficient, cost-conscious strategies.

One such strategy: capital equipment savings. While often overlooked, capital expenditures represent a major investment line item—and a major opportunity. By leveraging unused and slightly used equipment, organizations can significantly reduce upfront costs and allocate more resources to R&D, accelerating timelines without compromising quality.

The Federal Equipment Company Advantage

Federal Equipment Company provides a comprehensive selection of unused and used biopharma and biotech equipment, enabling companies to optimize their investments while maintaining top-tier production and research capabilities. Our offerings span a wide range of biopharma applications, including:

• Biologics & Drug Development – Supporting production from living systems, recombinant DNA, and biosynthetic processes.
• Cell & Gene Therapy – Equipment for cultures, proteins, antibodies, antigens, biosimilars, vaccines, and transgenics.
• Nanotechnology & Drug Delivery – Advanced solutions for RNA therapeutics and hematopoietic agents.
• Small & Large Molecule Chemistry – Supporting chemical compound intermediates, hormones, and therapeutic agents.

The High Failure Rate of Drug Development

Drug development is a costly and high-risk endeavor. Studies show that 90% of drugs fail in clinical trials, with most failures occurring in Phase 1 or 2. According to PMC, fewer than 10% of drug candidates that enter Phase 1 ever make it to market.

Where Do Most Failures Occur?

• Preclinical studies – Many compounds fail before human trials even begin.
• Phase 2 trials – The highest attrition rate (~70%) occurs here, as drugs that show early promise often fail to demonstrate efficacy in larger patient populations.
• Phase 3 trials – Late-stage failures are particularly costly, often due to unexpected safety concerns or insufficient efficacy.

Why Do Drugs Fail?

• Lack of efficacy (50–60%) – Drugs fail to deliver the expected therapeutic benefit.
• Safety concerns (20–30%) – Unanticipated adverse effects emerge during human trials.
• Commercial & strategic factors (~10%) – Some drugs are discontinued due to financial viability, competition, or corporate priorities.

The Cost of Failure

• Drug development typically takes 10–15 years and costs $1.3 billion to $2.8 billion per successful drug.
• Late-stage failures drive up costs, making drug pricing higher to compensate for earlier losses.

How Failing Faster Can Help

• AJMC highlights the importance of failing early to avoid costly late-stage failures.
• Better preclinical screening and biomarker-driven trial designs can reduce wasted investment.
• Unused and used biopharma equipment can stretch budgets further, allowing for more preclinical and early-stage trials, increasing the chances of success.

Equipment Financing and Leasing Options

To further reduce upfront costs, Federal Equipment Company offers flexible financing options, including capital acquisition financing and operating lease/rental agreements. These services ensure that biopharma companies can access critical equipment without compromising financial flexibility.

Pharmaceutical Product Development Services

Through our partnerships with Techceuticals and CMC Pharma, we provide expert support for drug product development, streamlining processes from R&D to commercialization.

Available Biopharma Equipment

• Aseptic Fill-Finish & Isolators: Prosys Aseptic Isolator, BioQuell QUBE Isolator System, Bausch Advanced Technology Vial Filling Line
• Incubators & Environmental Chambers: Binder CO2 Incubator, Binder Humidity Test Chamber
• Bioreactors & Fermenters: Sartorius Single-Use Mixers, PALL Life Sciences iCELLis 500 Bioreactor, Cytiva 2,000L Bioreactor
• Chromatography & Filtration: Sartorius Hipersep Flowdrive HPLC System, Tangential Flow Filtration System
• Packaging & Sterilization: Automated Liquid Packaging Blow-Fill-Seal, MG2 Robotic Palletizer, IMA NO2 Sterilizer

Meet Us at BIO 2025 – Booth #3479

If you’re attending the BIO International Convention in Boston from June 16–19, 2025, visit Federal Equipment Company at Booth #3479. We’ll be showcasing equipment solutions across bioprocessing, packaging, and more. View our show specials here or set up a meeting with our team.

Our representatives Orlando Martinez (orlando@fedequip.com) and Joanne Jorza (joanne@fedequip.com) will be available to discuss how used and unused equipment can stretch your project budget—and fast-track your next milestone.

The Case for Unused & Used Equipment in Biopharma Investment

With the high failure rate of drug development ventures prior to the preclinical stage, it’s critical to allocate capital efficiently. By integrating unused and slightly used equipment into investment strategies, biopharma companies can stretch funding further, improving their chances of advancing promising research into clinical trials.

Ready to optimize your investment strategy? Explore Federal Equipment Company’s biopharma inventory and financing solutions today.