Facilitating the Growth of New Technology-based Firms through Incubation: An Integrated Model. Professor David A. Kirby University of Surrey March 2007

NTBF’s Definition –- 25 years old –Based on potential invention/technological risk –Established to exploit an invention/technological innovation Purpose –Technology Transfer/Commercialisation (Autio, 1997) –Catalyst for Innovation (Autio, 1997) –Source of Employment (Oakey, 1991)

Definitions: Incubator/Pre-Incubator No formal or legal definition Describes a wide range of activities intended to help entrepreneurs –Develop their ideas –Launch a new venture NBIA (2001) definition –“provide hands on management assistance, access to financing and orchestrated exposure to critical business or technical support services. They also offer entrepreneurial firms shared office services, access to equipment, flexible leases and expandable space – all under one roof” incubators world-wide –Different contexts –Different objectives

Definitions: Science Parks No uniformly accepted definition IASP definition “ an organisation managed by professionals, whose aim is to increase the wealth of its communities by promoting the culture of innovation and the competitiveness of its associated businesses and knowledge-based institutions. To enable these goals to be met a Science Park stimulates and manages the flow of knowledge and technology amongst universities, R & D institutions, companies and markets; it facilitates 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.” Incubators part of the Science Park Concept

A Continuum of Incubation Concept (Proving) Launch (Establishing) Growth (Developing) Pre-Incubator (desk) Incubator (room) Science Park (building)

Incubation Process Market, Technical, Resources & Managerial Problems Improved Success Accommodation Training, Mentoring Coaching Resources (Capital) Expertise (Business/Technology) Networking

The Surrey Model SETsquared Centre Surrey Technology Centre Surrey Research Park Pre-Incubator Incubator Science Park

Pre-Incubation Faculty & Students Entrepreneurship Awareness training IP Advice Pump-priming funds Accommodation Office Services Mentoring/coaching Monitoring/Review Networking Build Entrepreneurial Team General Public Technology Screening/Assistance IP Advice Accommodation Office Services Mentoring/Coaching Monitoring/Review Networking Build entrepreneurial Team

Post Incubation Integrated incubation process –Pre-Incubator Incubator Science Park After-care support –Tailored to needs/stage in evolution of firm Mentoring Seminars/ workshops Events –Linked into the activities of the University Student Projects Outreach activities (STEP/KTPs) Incubators are becoming the entrepreneurial schools of tomorrow (Albert and Gaynor, 2003)

Conclusion Surrey Model –Continuum “Hard” and “soft” support Prestigious address –Quality accommodation Networking opportunities –Each other –University –Regional support –Managed professionally As a business –Embedded in politico-economic strategies of Region Nation –Research (Science) Park becoming a research & teaching laboratory –Needs testing in different contexts