- 1. BUSINESS INCUBATION FINANCIALS AND SUSTAINABILITY Rajesh
Agrawal Director, Finance, ICRISAT
2. Business Incubation
- Processwhich nurtures entrepreneurial companies
- Helping them survive and grow during the start-up period
- Providing services and resources tailored to young firms
3. Why Incubate?
- Improves entrepreneurial climate
4. What makes them successful?
- Setting up of viable enterprises
- Appropriate feasibility study
- Governance and management
5. How do incubators get initial funding?
- Grant funds from Government
- Venture Capital Financing
6. Are Incubators worthy of public subsidies ?
- In the USA $! Invested has led to anaddition tax collection of
$ 30
7. Financial and sustainability issues in incubators
- Incubators to operate as viable businesses
- Effectiveness and Efficiency
- Time horizon (5 to 10 years)
8. Financial and sustainability issues in incubators
- Financial self sustainability
- Incubation model mismatch
- Critical mass of users available or incubation to create
demand
9.
- Payment of tangibles/ non tangibles to bebundled with rent
etc.
- Adoption to local environment
10.
- Diversified revenue sources
11.
- Trade offs between impact and sustainability
- Sustainability sets an example for hosted clients
- Incubating the incubators
12. Stage in Business Cycle 13.