Business Incubation

Business Incubation

 

The process of incubation is said to be accelerating the success and growth of the business through a lot of business development programs and support services that include physical space, capital, coaching, common services, and networking connections. The business incubation programs are often sponsored by municipal entities or private companies and public institutions such as universities and colleges. Their goal is to strengthen the new startups by the young entrepreneurs by providing them with the essential supports such as technical and financial services. According to the National Business Incubation Association, there are approximately 900 business incubators nationwide.

 

Benefits of incubation

 

The owners of startup businesses get a lot of benefits from the incubators. Their office and manufacturing space are offered at below-market rates, and their staff supplies advice and much-needed expertise in developing business and marketing plans as well as helping to fund fledgling businesses. Usually, the companies spend a minimum of two years under the guidance and protection of business incubators. During that time, the companies share the secretarial office, telephone, and production equipment expenses with other startup companies. This helps to reduce cost.

 

How to get the help of business incubators

 

All the business incubators are not alike. If you have a god idea for a business, you can try to find out a business incubator that best suits your needs and requirements. If you want to find out the incubator in your state, get the help from National Business Incubation Association's website. Or you can approach the local economic development agency in your state by getting the contact number from phone directory. Also, you can enquire in your local college or university if they are having any business incubation programs.

 

If you find out any business incubation program of your interest, you can prepare and submit a fleshed-out business plan. The screening committee will study the plan and determine whether or not you meet the criteria for admission. They will admit only the businesses which have the best possible chances for success as they have the only limited equipment and finances. This is how the incubation works for startup businesses by new and young entrepreneurs.

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