Open Incubator Network

Index Context Concept of OIN Services Responsibility Matrix Commercial Model Benefits SRCOEM

Context Yearly over 1000 companies are set up promising to offer new services and products in India However, only 40% survive the first year and only 10% survive till end of second year Most failures due to lack of o Mentoring o Infrastructural Support o Funding o Interested Clients

Concept of OIN Development of a network of Incubators in association with Educational Institutes across India Supported by IncuCapital, an early stage Venture Capital firm Incubators designed to provide basic office infrastructure support to startups at reasonable prices Provide Mentoring support to Entrepreneurs, assist in fund raising and connect with right network to expand business

Concept of OIN (contd.) Open work culture to foster innovation and creative thinking Incubator property of Education Institute but required to adhere to OIN guidelines Startups provided access to every incubator part of OIN

Services Mentoring: OIN in association with IncuCapital will provide Mentoring to all startups within the incubator Marketing: Develop and market incubator to potential clients Business Model: Minimum one review of Business Model for every startup incubated Funding: OIN will assist startups in raising funding, connecting with various Angels and VC firms Events: Planning and organization of events in and around of incubator

Responsibility Matrix Institute o Provide necessary space and infrastructure as per established guidelines  Office Space with ergonomically designed furniture  Electricity  Internet Connection preferably over Wi-Fi o Provide access to Alumni base to assist in success of startups incubated o Encouraging staff/faculty to work with Startups and assist them in their endeavors o Assist in marketing activities for the Incubator o Management of daily administrative within incubator

Responsibility Matrix (contd.) OIN o Setting up and management of Incubator o Access to startup in other incubators in its network o Mentoring support o Assistance in Fund raising o Planning and Organization of events o Engagement with Industry

Commercial Model Start ups pay a reasonable rental fee OIN and the Institute will mutually arrive at the minimum and maximum based on: o The market forces as sensed by OIN o The social cause for which the Institute has a commitment The objective is make the incubator sustainable with the rental fee itself

Commercial Model (contd.) OIN through the Institute will also work on accessing extra funds from government or corporate CSR pools and other contributions (including sponsorships etc.) OIN will charge the incubator 50% of the Revenue Surplus o Revenue Surplus to be calculated as Gross Total Revenue (from all sources) minus the Total Expenses of the Incubator (not including any investments or Capital Expenditures)

Benefits Branding: Institute name is highlighted as and when any incubated startup is covered in any news Mentor Access: Students can benefit from interacting with various Angels, PE/VC firm representatives and financial experts, who will be involved in mentoring Industry – Academia Tie- up: Institutes get opportunity to tie-ups with various Industrial organization who will be assisting in this venture Student Exposure: Institute students get opportunity to interact with Entrepreneurs and even gain work experience by working with Startups

SRCOEM

Proposed Layout Proposed number of seats – 18

Proposed Rate S R. N O.P ARTICULARS B ASE RATE R ATE PER S EAT 1S INGLE PERSON COMPANY (P OD SEAT ) INR 5,000 2T WO PERSON COMPANY (2 P OD SEATS ) INR 9,000INR 4,500 3T HREE PERSON COMPANY (3 P OD SEATS ) INR 12,000INR 4,000 4F OUR PERSON COMPANY (4 P OD SEATS ) INR 14,000INR 3,500 A VERAGE R EVENUE PER S EAT INR 4,250

Revenue Projections Maximum No. of Seats (A) – 18 Average Revenue per seat (B) – INR 4,250/- Maximum Expected Revenue (A x B) – INR 76,500/-

Revenue Projections (contd.) Maximum Expected Revenue – INR 76,500/- P ARTICULARS M ONTH 1M ONTH 2M ONTH 3M ONTH 4M ONTH 5 C APACITY 20%40%60%80%100% R EVENUE (X) INR 15,300 INR 30,600 INR 45,900 INR 61,200 INR 76,500 E LECTRICITY 3,000 4,0006,000 A DMIN AND M AINTENANCE 5,000 9,000 P HONE AND I NTERNET 2,000 5,000 M ARKETING 2,000 5,000 T & E 2,000 3,0005,000 T OTAL E XPENSES (Y) INR 14,000 INR 23,000INR 30,000 G ROSS S URPLUS (X – Y) INR 1,300INR 16,600INR 22,900INR 31,200INR 46,500