PRV BVCManagementSeminar2016 IncubatorEnterprisesv3
PRV BVCManagementSeminar2016 IncubatorEnterprisesv3
PRV BVCManagementSeminar2016 IncubatorEnterprisesv3
Introduction:
It is no denial that enterprises are the economic units of any economy which
helps the science, technology, commerce, and life of the people in the economy.
World-wide various economies have encouraged incubators for providing
onward encouragement to the aspiring entrepreneurs to start enterprises for
the holistic economic development. Thus, incubators and enterprises are very
vital for the economic development.
Entrepreneurs:
Need of entrepreneurs:
Incubator:
Most common incubator services are: help with business basics, networking
activities, marketing assistance, help with accounting and financial
management, access to bank loans, loan funds and guarantee programs,
access to angel investors or venture capital, help with presentation skills, links
to higher education resources, links to strategic partners, help with
comprehensive business training programs, advisory boards and mentors and
technology commercialization assistance. Although most incubators offer their
clients office space and shared administrative services, the heart of a true
business incubation program are the services it provides to start-up
companies.
Incubators do charge for the facilities and resources that they supply, but since
nearly all are supported in some manner by government or regional grants, the
charges are subsidized and lower than in the market place.
An important issue in the functioning of business incubators in a region is the
nature of their interaction with institutions of higher education. The support of
start-up firms – particularly high-technology firms.
T-TBI has till date successfully incubated about 60 companies and has a 92
percent success rate. In 2011, T-TBI was chosen as the world’s best software
incubating company and the first Indian organization to have achieved this
status.
Startup Village
This incubator is a different kind of startup. This is a public private enterprise
run by Government of Kerala. The Government has earmarked Rs. 100 crore
for Startup Village and desiring to incubate over 1000 startups in a period of
one decade.
TBI provides startups with fully furnished office spaces, mentoring support in
developing business and technology plans. It provides varous other facilites
such as networking of business resources, seed capital assistance . Apart from
these it also helps assissting in marketing, professional , arranging of
conferences and video conferences.
Ever since it started, CIIE has incubated more than 50 companies, only a
handful of which were owned by IIM students. This centre is incubating
businesses in the areas of internet , mobile and clean technology.Apart form
these the social sector and healthcare startups were taken up.
From mentoring clinics to art exhibitions from global warming initiatives to
social enterprise funds, CIIE has evolved as a prestigious business incubation
centre in India. The notable CIIE’s incubatees are Colored.by, Biosense, Boond,
Croak.it, Flick2Know, Ideophone etc.
The StartUps are screened by the screening committee before startups can get
into NSRCEL.
GSF Accelerator
GSF is a private accelerator rather than a incubator. However, many startups
have been quite successful from GSF Accelarator. Adequate numbers have got
acquired likes of Facebook or then raised hefty Series A funding after being
mentored at GSF and therefore included them in the list.
AngelPrime
AngelPrime was launched recently in 2011 in Bengaluru by well known names
in the Indian tech industry like BalaParathasarathy, ShripatiAcharya and
Sanjay Swamy. The areas that AngelPrime aims to incubate in are mobile
payments, e-commerce and smartphone / tablet apps. It has already begun
incubating a mobile payments company and a smartphone and tablet startup.
Unlike the CIIE, AngelPrime believes in incubating their ventures at their office
space so that they can be closely monitored. AngelPrime has an edge in its
services because the founders bring their previous corporate networks and
experiences into incubating new ventures.
Business incubators play a large role in reducing the gap between new
products / services in stages of ideation to their commercial rollout. It also
provides an equal platform to all entrepreneurs so that they can create
products and services that will benefit all sections of the society.
T-Hub:
T-Hub is the subject case study, which is a distinguished incubator from many
angles. T-Hub is India’s largest and also the fastest-growing startup engine
catalysing Innovation, Scale and Deal Flow. It is set up in 2014 as anunique
public/private partnership between the government of Telangana, three of
India’s premier academic institutes (IIIT-H, ISB and NALSAR) and key private
sector leaders. It stands at the intersection of the startup, academic, corporate,
research and government sectors.
Incubator in T-Hub:
The first phase of T-Hub is housed in a 70,000 square foot building called
Catalyst, making it the largest incubator in a single location in India entirely
dedicated to entrepreneurship. The building will be used for co-working spaces,
meetings, mentoring, networking sessions and conferences. T-Hub provides
access to mentors, investors and academia under one roof.
It supports and promotes technological innovations occurring in the Hyderabad
startup ecosystem. Early stage startups with a minimum viable product (MVP)
and with some traction in the market can apply.
Credits from different service providers (HR, legal, accounting, finance, cloud
services), pitch and mentoring sessions etc. totaling upto 50000+ credits
• T-Hub has chosen 6 key sectors from which they would incubate
startups, and all of them were chosen based on the strengths of
Hyderabad as a city. Health technology, agricultural technology, financial
technology, transport and logistics, sustainability and social sector are
their key areas.
Today, T-Hub supports 200 startups in the co-working space and guide 5
incubatees in which they have a stake. T-Hub has achieved break-even point in
the first year itself. T-Hub has multiple revenue streams: rental income from
workspace, events and workshops they conduct in the building and divesting
stake in companies that they invest in at a later stage. But their main job is to
create a startup ecosystem.
Do Incubators influence entrepreneurism?
As a part of the find out, as a sample, about 47 students who are currently in
their final year of engineering and management courses have been enquired.
Most of the students are from engineering colleges or management institutes
which are affiliated to JNTU-H and are also NBA accredited. It is understood
that these organizations do conduct programmes on entrepreneurship
development for their students. Therefore, the nature of the sample is
considered to be apt. Since this study is only an overview study, a small
sample of 50 was targeted and the size of sample got reduced to 47 due to non-
response from 3 persons. For a study of this nature and purpose, the targeted
sample of 50 members and final sample of 47 members is considered as
sufficiently representative. The aspects on which the opinion of the sample was
obtained include awareness of existence of T-Hub as an incubator within their
geographical reach, observe or learn from news reports about the success of
existing startups in T-Hub, views about the need of such incubators, and
finally their aspiration to approach T-Hub and setup a startup therein or in
any similar incubator. utcome of the enquiry:
Of the sample 47 students who were attempted for discussion / enquiry, all of
them have participated in the enquiry process and have responded with
interest and patiently.
No. of persons
Sl.No. Question / Aspect / Particulars Responded Responded
Enquired
Positively Negatively
1 Are you aware of incubator
47 46 01
concept
2 Did you know about incubation
as a part of Entrepreneurship
47 29 18
Development Programme in your
institution, etc.
3 Did you know about incubation
concept from news items or from 47 46 01
discussions
4 Have you heard about T-Hub 47 46 01
5 Do you think T-Hub’s
establishment is required and 47 46 01
justified
6 Are you aware that T-Hub is
mostly dominated by IT and 47 17 30
related enterprises
7 Do you find it relatively more
interesting to read news about T-
47 42 05
Hub in the newspapers whenever
they are being published
8 Do you know the names of some
companies / startups operating 47 09 36
in T-Hub
9 Do you know that T-Hub is a
public and private partnership
47 41 06
and that it has good number and
qualitative collaborations
10 Did you feel inspired / influenced
or encouraged to tread
47 46 01
entrepreneur path after knowing
about T-Hub
The enquiry / discussion with the sample of students revealed very interesting
and corroborating information. Not to surprise that all the students of the
sample are aware of T-Hub, most of them are observing or reading news on T-
Hub whenever any news item is published in newspapers on T-Hub, and most
of them are inspired / influenced by the existence of T-Hub and intend to start
an enterprise. Of course, it was a surprise that a majority of them are not
aware that as of now, T-Hub is occupied mostly by IT and related firms and the
eco system around and within T-Hub is dominated by IT and related business
propositions only.
In addition to the above, most important outcome of this research survey is the
influencing factor of T-Hub. In the discussions it was noted that while all the
persons interviewed have not confirmed that they would approach T-Hub or for
that matter any incubator, it was quite clear that they are able to get
influenced towards entrepreneurship and are also evaluating their financial
and other resources for trading entrepreneur path, and appear to have been
drawing comfort from the fact that a successful incubator viz., T-Hub is within
their reach and they can approach it in case of any need. This establishes that
the very existence of T-Hub is itself contributing to the entrepreneurship factor
in a big way for a larger benefit of the economy and the entrepreneurs. Ideally,
it is such a kind of confidence and support which is very critically required for
aspiring entrepreneurs to start their own enterprises.
Conclusion:
References:
i) www.batavianewyork.com/for-businesses/pages/batavia-industrial-center
ii) www.entrepreneur.com/in
iii) en.wikipedia.org/wiki/Incubator_(culture)
iv) en.wikipedia.org/wiki/Business_incubator
v) en.wikipedia.org/wiki/Incubator
vi) sineiitb.org/sine/home/
vii) fitt-iitd.in/business-incubation/
viii) www.technopark.org/setting-up-a-company
ix) www.crunchbase.com/organization/technopark-technology-
business-incubator#/entity
x) startupmission.kerala.gov.in
xi) indianangelnetwork.com
xii) www.startupfreak.com/technopark-technology-business-incubator-2
xiii) www.ciie.co
xiv) www.iimb.ernet.in/node/5710
xv) www.nsrcel.org
xvi) www.gsfindia.com/accelerator
xvii) primevp.in
xviii) www.t-hub.co
xix) www.t-hub.co/catalyst