Spin-out Company

"A spin-out company is an independent legal entity, usually created by the university and academic founders, to lead the development and commercialisation of an innovation opportunity arising from research.

The company is separate from the university, has shareholders, its own employees, usually investors and is managed by a Board of Directors. There are many examples worldwide of spin-out companies formed to commercialise university innovation and some of these are household names. They have not only delivered products and services to meet an unmet need, but they have also created thousands of jobs directly and via their supply-chains".

Source: https://www.gla.ac.uk/myglasgow/ris/innovation/spin-outcompanies/#whycreateaspin-outventure%3F,what%E2%80%99sinvolvedincreatingaspin-outventure%3F,howisaspin-outopportunityfunded%3F,howdoyougetrewardedfromaspin-out%3F