Business Incubation

Global and Indian Business Incubation Centres

Business incubators are designed to nurture the development of newly formed entrepreneurial companies by providing them with an array of targeted business support services and resources, which include: management guidance, technical advice, consulting, appropriate rental space, shared basic business services and equipment, networking support, marketing assistance, and financing necessary for company growth. The most common goals of incubation programs are to improve the survival and growth of new start-up firms substantially, create jobs and wealth, enhance entrepreneurial climate, create and retain businesses, commercialize new technologies, build or accelerate growth in a local industry, and diversify economies. The earliest incubation programs focused on a variety of technology companies or on a combination of light industrial, technology and service firms. However, in more recent years, they are targeting industries such as food processing, medical technologies, space and ceramics technologies, arts and crafts, telecommunications and software development. Incubator sponsors have also focused on microenterprises creation, the needs of women and minorities, and environmental endeavours. Although the business incubation centers have come of age, the unavailability of adequate and reliable information about them is a major concern which needs to be addressed.

Startup Incubation:

Startup Incubation “also known as Startup accelerators” hold significant importance in a country like India where entrepreneurs by the score are launching new setups and changing the game of business by minutes. For the uninitiated, Startup incubation programs or centres provide support functions, mentorship and resources to individual entrepreneurs or entrepreneurial setups. This enables them to get all the expert advice and technical guidance that they need to survive for a longer time, unlike most other entrepreneurial ventures that fizzle out within a few months of their launch.

Almost every other prestigious B-school today houses an incubation center so that great ideas can be nurtured from their very source. Currently there are about 100 incubation centers supported by the ISBA which is the apex Indian professional body supporting business incubators. Private incubators are a handful, but gradually growing. These numbers are expected to double within the next two years.

Latest news about Business Incubators in India:

•The Ministry of Science and Technology cleared a proposal for setting up a Rs.36 crore biotechnology business incubation center at the University of Pune called the The Science and Technology (Scitech) Park.

•TheHubli-Dharwad Municipal Corporation in the North Karnataka region is open an incubation center at the Aryabhata IT Park in Hubli to attract and hone entrepreneurs in the IT sector from Hubli and Dharwad.

•The Ministry of Science and Technology has proposed to set up a Nano Park near the Bengaluru International Airport (BIA). This will host a nano-incubation center, science and technology-based business incubator, physical infrastructure and other support systems.