1 / 28

The start-up after incubation period Financial and managerial sustainability of incubators.

The start-up after incubation period Financial and managerial sustainability of incubators. Giordano Dichter Head of Quality and Technical Assistance European Business and Innovation Centre Network. Oh no… after three years of incubation it is not over yet?!. TAIEX Workshop

yaholo
Download Presentation

The start-up after incubation period Financial and managerial sustainability of incubators.

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. The start-up after incubation periodFinancial and managerial sustainability of incubators. Giordano Dichter Head of Quality and Technical Assistance European Business and Innovation Centre Network Oh no… after three years of incubation it is not over yet?! TAIEX Workshop creation and development of Start-ups in Technology Parks and Innovation Incubators Chisinau, Moldavia, 21 June 2013

  2. General Mission: innovative, innovative and innovative local and sustainable entrepreneurship!!! TAGs: Professional Innovation Incubation BSO R&D Technological innovation Entrepreneurs SMEs Regional/local Economic development Sectors Territory Competitiveness Growth

  3. The EC-BIC Criteria Organization: visible, adequate, ppp, represented, sustainable, independent!!! TAGs: Catchment area Public sector Strategies Private sector Coordination Positioning Financially Sustainable Premises Visibility Autonomous Staff Adequate

  4. The EC-BIC Criteria Services: To SMEs, to entrepreneurs, to start-ups... Signposting!!! TAGs: Incubation Start-ups Pre-incubation Business plan Business model Financial planning Training Mentoring Coaching Networking Hosting Access to finance IPR Post-incubation Follow-up Diagnosis Projects Innovation profiling Signposting

  5. Activity measurement and evaluation of performance: Tracking, Benchmarking, continuous improvement TAGs: Review Common indicators Observatories Self-evaluation questionnaire Benchmarking Reputation

  6. Quality: Giving to the community of entrepreneurs and BICs to get positive returns!!! TAGs: TQM Compliance Process Quality system Self-evaluation questionnaire On-site visits BQMC Customer satisfaction surveys Management information systems

  7. A perspective from who’s on the field 10,6% conversion rate! It’s a tough job!

  8. But someone’s got to take care of it.

  9. And… we are good at what we do! Average survival rate in the EU? 50% - 60%

  10. And we do it quite efficiently

  11. Are entrepreneurs sailing through troubled waters? A tough environment Unbalanced support measures! YOU BET! Non-rewarding culture! A slower growth

  12. What NOW? Life is not easy! It’s tough out there

  13. EU Incubation Process

  14. Question #1: Do I want to engage in the post-incubation process? You have graduated from my incubator! • JOB DONE! It’s time that my efforts go to support someone else. • I’m using public funding, man, there are others on the line! Don’t be too greedy! • It will cost me too much to engage, so good luck! • Mission NOT Accomplished! • All right, all the above is true but, 3 years of support will not give you the highest chances of success. • It is a total different game out there now!

  15. Question #2: Sustainability, how? • EASY!  I have public funds and my government pays for all my costs! Nothing to worry about! • Lucky chap! But.. Are you sure? Resources are getting scarcer! • The Public sector has other alternatives for job creations • what is your real added value? • what is your value for money? • What is your ROI? • What is your PBP? Are you SURE you are good enough to have government continuing to pump money in your system for ever?

  16. Question #2: Sustainability, how? • Hard enough, thank you, life is not easy! What do they expect from me, to turn into gold everything just by touching stuff? • My local government provides me with nothing! • It has provided funding for the building, but running costs are not paid for, or are paid for, but not enough for me to make an impact! Then, my friend, you may want to take some time to analyse your business model! You do it for others, time to look at yourself! We can’t continue to rely on public sector funding for ever! EU local governments support to BICs has passed from 73 to 60% (-7% only in the last 2 years!).

  17. The most common scenario: • I need to rely on creative business models to achieve self sustainability • YES, follow-up after graduation is a goal of my incubator QUESTION #3 How can I engage in post-incubation support without going bankrupt?

  18. The three phases of incubation • Usually, pre-incubationis totally subsidized: It is a COST Center. • Commonly enough the incubation period is partially subsidized: it is a COST center although we can see places where incubation is a profit center. • The post-incubation period instead has no common thread but wisely enough most incubators have managed to transform it in a positive revenue source.

  19. What are you offering?

  20. Revenue / Added Value Who can provide you what?

  21. Key Activities

  22. Post incubation phase how to make it profitable? Consulting Fees • Build your fee structure • 100% paid • Reputation! • Not only to ex-incubatees! But also: free expertise, free mentorship programs  the former incubatee is one of the most valuable assets of an incubator!  PAYBACK Time!

  23. We believe the EU incubation industry can help… a few statistics EC-BICs’ start-up services

  24. EC-BICs’ development services

  25. Services for SMEs delivered by BICs

  26. Questions? Thanks for the patience! Giordano Dichter Head of Quality and Technical Assistance European BIC Network T: +32 2 7611083 E: gdi@ebn.eu S: g.dichter W: www.ebn.eu

More Related