<p>In the modern business environment, University-Industry Collaboration (UIC) has emerged as a dynamic mechanism for knowledge co-creation and a way for firms to reach and sustain a competitive advantage. Prior research emphasizes the importance of prior collaboration experience for firms to gain from engaging in UIC. This creates a gap, as less experienced firms are increasingly entering UICs with aspirations to derive value from these engagements but lack targeted guidance on how to navigate the associated challenges effectively. This research first investigates internal challenges faced by firms with limited collaboration experience when engaging in UIC. Secondly, it explores considerations for less experienced firms to effectively navigate the challenges and harness the gains from such collaborations. We investigate UICs that are linked to public programs offering pathways for fostering learning environments and generating valuable knowledge outcomes. Through an in-depth case study of Alfa, we identify key internal challenges associated with the limited UIC experience. Moreover, by examining multiple cases consisting of experienced and less experienced firms in UIC, we pinpoint considerations for less experienced firms to gain from their engagement in UIC. This paper offers actionable insights that bridge the experience gap, providing practical guidance for firms aiming to enhance gains from UIC.</p>