Definitions
The 6th International Summit of Business Incubation and Science/Technology Park Associations held in Dortmund, Germany, November
A Science Park is an organization managed by specialized professionals, whose main aim is to increase the wealth of its community by promoting the culture of innovation and the com-petitiveness of its associated businesses and knowledge-based institutions.
To enable these goals to be met, a Science Park stimulates and manages the flow of knowl-edge and technology amongst universities, R&D institutions, companies and markets; it fa-cilitates the creation and growth of innovation-based companies through incubation and spin-off processes; and provides other value-added services together with high quality space and facilities.
The terms “Technology Park” or “Research Park” are used as synonyms.
D R A F T
Further definitions of terms used in the business incubation industry were discussed at the 6th International Summit of Business Incubation and Science/Technology Park Associations held in Dortmund, Germany, November
The following proposals for definitions are a compositions of definitions from different sources and the Summit discussion:
A Business Incubation Program is an economic and social development entity designed to advise potential start-up companies, help them to establish, and accelerate their growth and success through a comprehensive business assistance program. The main goal is to generate successful businesses that will leave the program financially viable and freestanding. These graduates create jobs, revitalize communities, commercialize new technologies and create wealth for local and national economies.
Critical to the work of a business incubation program is:
- Management that develops and orchestrates business, marketing and management resources and relationships tailored to the needs of the business clients
- Shared office services, training, technology support and equipment
- Selection of clients and an acceleration process by which businesses become more independent and progress to graduation
- Assistance in obtaining the financing necessary for business growth
Business Incubation Programs gain added value by providing access to appropriate rental space and flexible leases in an incubator facility.
A specific type of a Business Incubation Program is a Business Incubator: The most important specialty of business incubators is to offer rooms for lease to their clients companies.
A Business Incubator is an economic and social development entity designed to advise potential start-up companies, help them to establish, and accelerate their growth and success through a comprehensive business assistance program. The main goal is to generate successful businesses that will leave the program financially viable and freestanding. These gradu-ates create jobs, revitalize communities, commercialize new technologies and create wealth for local and national economies.
Critical to the work of a business incubator is:
- Management that develops and orchestrates business, marketing and management re-sources and relationships tailored to the needs of the business clients
- Shared office services, training, technology support and equipment
- Selection of clients and an acceleration process by which businesses become more independent and progress to graduation
- Assistance in obtaining the financing necessary for business growth
- Office and / or workshop/laboratory rooms for lease on flexible terms
Another specific type of a business incubation program is a Business Support Center. These centers concentrate services in one place, but do not offer rooms for lease to their client firms. Another important difference is the target group which is not focused on start-up and early stage firms, but includes existing small and medium enterprises.
A Business Support Center is an economic and social development entity designed to advise potential start-up companies, help them to establish, and accelerate their growth and success through a comprehensive business assistance program. The main goal is to generate successful businesses that will leave the program financially viable and freestanding. These graduates create jobs, revitalize communities, commercialize new technologies and create wealth for local and national economies.
The services critical to the success of Business Support Centers are:
- Management that develops and orchestrates business, marketing and management re-sources and relationships tailored to the needs of the business clients start-up consulting and business planning
- consulting in business development (legal, marketing etc.)
- consulting for and/or access to financing
- training
Besides these services, according to local needs and possibilities there may be other offers like shared office services, email or postal addresses, copier, access to telecommunication (phone, Internet, fax), meeting room, exhibition hall etc.
The main issue of discussion at the Summit concerning the definitions was the question, if a difference should be made between business incubators and business incubation programs, i.e. between incubators with or without walls. Another question of lesser importance is how comprehensive the listing of services to be provides by a business incubator / incubation pro-gram should be.
All associations are invited to contribute to the discussion and support developing a definition (or definitions) which could be adopted by the next International Summit.