What is a University software spinout?

A University software spinout is defined as a University spinout company that

(a) requires only source code and/or object code to be licensed or transferred from the university to the company at formation for the business to be viable; and

(b) whose business will be software products only or consulting services provided by the use of software; and

(c) that will operate in a regulatory-light environment.

A regulatory-light environment for a software company is an environment wherein said product or service does not require regulatory approval by an external body.