Fuelling Entrepreneurship the Story of Technology Business Incubation in India, 2014
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FUELLING ENTREPRENEURSHIP THE STORY OF TECHNOLOGY BUSINESS INCUBATION IN INDIA COPYRIGHT: National Science and Technology Entrepreneurship Development Board (NSTEDB) PRODUCED BY: NSTEDB, Department of Science & Technology (DST), GoI & Indian STEP and Business Incubator Association (ISBA) DESIGNED BY: RBC Worldwide, Hyderabad, India www.rbcworldwide.com PRINTED AT: Kala Jyothi Process Pvt. Ltd., Hyderabad, India www.kalajyothi.com DISCLAIMER The National Science & Technology Entrepreneurship Board, Department of Science & Technology, Government of India through the Indian STEPs and Business Incubators Association, used their best efforts in collecting and preparing the information published herein. The data and analysis are indicative and there are no warranties about the accuracy. NSTEDB and ISBA hereby disclaim, any and all liability for any loss or damage caused by errors or omissions, whether such errors or omissions resulted from negligence, accident or other causes. The contents do not necessarily reflect the official view or policies of the Department of Science & Technology, Government of India or any other Government Department. This report does not constitute a standard, specification or regulation. Incubators play an important role in mentoring new businesses which start as a small or medium business. The new Companies Bill obliges companies to spend 2 percent of average net profits under Corporate Social Responsibility. I am glad to announce that the Ministry of Corporate Affairs will notify that funds provided to technology incubators located within academic institutions and approved by the Ministry of Science and Technology or Ministry of MSME will qualify as CSR expenditure. In order to encourage innovation, Point No.: 76 Section: IV I propose to exempt from Service Tax, Investment, Infrastructure & Industry all services provided by Technology Budget Speech of Finance Minister February 28, 2013 Business Incubators. Similarly, their incubatees ,whose annual business turnover does not exceed INR 50 lakhs, GOVERNMENT’S THRUST ON TECHNOLOGY BUSINESS INCUBATION will be exempt from Service Tax for the first three years. Point No.: 156 Section: Part B Budget Speech of Finance Minister February 28, 2007 The National S&T Entrepreneurship Board has set up a number of Technology Business Incubators with seed funding from the Technology Development Board. The Government will be happy to provide enabling concessions to the incubatee- entrepreneurs. Point No.: 95 Section: XI Other Proposals Budget Speech of Finance Minister February 28, 2006 MODELS AND STRATEGIES for INCUBATORS - Going Forward - National Science & Technology Entrepreneurship Development Board , Department of Science & Technology, Government of India The NSTEDB, in its three decades of effort in promoting technology-driven and innovation focussed entrepreneurship and incubation has attempted several initiatives that have been in tune with the times. Primarily, the initiatives have been towards evolving Institutional frameworks that aid and assist the development of techno-entrepreneurs and ventures. Partitioning this effort into two time zones - the late 20th Century belonged to the creation of STEPs where Engineering Institutions of repute were encouraged to build capacity to convert Job Seekers to Job Providers. Several of these Institutions belonged to the Private Sector, making it an early effort towards a bringing in a PPP dimension. Changes in the National Policy and economic scenario coupled with the growing strength in technology development brought in the focus towards Technology Business Incubators wherein the Institution base was expanded to bring in R&D Labs, Technology Parks and other Entrepreneurship related organisations. Enhancing access to technology facilities and seed funding were introduced to provide greater impetus to venture creation and sustenance. In order to bring in worl-class knowledge of technology commercialisation, during the same period, several partnerships were forged at the national and international level and the corporate sector to bring in elements that aided the development of the ecosystem. World Bank, European Union, corporate giants such as Intel, Boeing, Lockheed Martin, The Times of India Group etc. have been actively working with us on several fronts to promote innovation based startups that take on projects of social value and impact. Going forward, we aim to build on this experience with a target to significantly increase t he Incubation capacity through partnerships and participation from the corporate sector, governments and International agencies. Scaling up performing incubators, strengthening the mentor base, widening the top of the entrepreneurship funnel through innovative capacity building are some of the key activities that will be pursued. The coverage of incubators under the CSR of corporates by the Ministry of Finance is expected to accelerate the movement further. CONTENTS Chapter 01 THE ROLE OF NSTEDB, DST IN PROMOTING AND NURTURING ENTREPRENEURSHIP & INCUBATION - The Genesis 09 - The Early Years (20th Century) 10 - The Later Years (21st Century) 11 Chapter 02 TECHNOLOGY BUSINESS INCUBATORS - PROFILES - The Early Years (1985 - 2000) 19 - The Later Years (2001 - 2013) 37 Chapter 03 INCUBATION SUCCESS STORIES - A GLIMPSE 110 - Market Traction and Employment Generation 112 - Technology Development 122 Chapter 04 LITERATURE ON TECHNOLOGY BUSINESS INCUBATION 132 - Enabling Green Shoots Ventures through Business Incubation 133 - NSTEDB Initiatives for Enabling the Incubation Ecosystem 141 Chapter 05 A COMPILATION OF GRADUATE & INCUBATEE COMPANIES 148 JAMMU & KASHMIR HIMACHAL PRADESH Shimla Ludhiana INCUBATORS PUNJAB Patiala UTTARAKHAND IN INDIA Roorkee Karnal ARUNACHAL PRADESH HARYANA DELHI Ghaziabad Pilani Noida SIKKIM UTTAR PRADESH ASSAM RAJASTHAN NAGALAND Kanpur MEGHALAYA BIHAR MANIPUR Varanasi Bhopal JHARKHAND TRIPURA WEST BENGAL MIZORAM MADHYA PRADESH Ranchi Kolkata GUJARAT Ahmedabad Shibpur Kharagpur Rajkot Shibpur CHHATTISGARH ODISHA MAHARASHTRA Bhubaneswar Mumbai Pune Ichalkaranji Hyderabad Bagalkot ANDHRA PRADESH Verna GOA KARNATAKA Manipal Bengaluru Surathkal Chennai Vellore Mysore Hosur Erode Coimbatore Kozhikode KERALA TAMIL NADU Vallam-Thanjavur Trichirappalli Kochi Kollam Thiruvananthapuram 0301 STEPs S.No. ORGANISATION NAME CITY STATE 01 International Advanced Research Centre Hyderabad Andhra Pradesh 02 National Small Industries Corporation Rajkot Gujarat 03 Himachal Pradesh University Shimla Himachal Pradesh 04 Birla Institute of Technology Ranchi Jharkhand 05 Bagalkot Engineering College Bagalkot Karnataka 06 Sri Jayachamarajendra College of Engineering Mysore Karnataka 07 National Institute of Technology Karnataka Surathkal Karnataka 08 Maulana Azad National Institute of Technology Bhopal Madhya Pradesh 09 JNECP Mumbai Maharashtra 10 University of Pune Pune Maharashtra 11 Guru Nanak Engineering College Ludhiana Punjab 12 Thapar University Patiala Punjab 13 Trichirappalli Regional Engineering College Trichirappalli Tamil Nadu 14 PSG College of Technology Coimbatore Tamil Nadu 15 Indian Institute of Technology Roorkee Roorkee Uttarakhand 16 Harcourt Butler Technological Institute Kanpur Uttar Pradesh 17 JSS Academy of Technical Education Noida Uttar Pradesh 18 Indian Institute of Technology, Kharagpur Kharagpur West Bengal TBIs S.No. ORGANISATION NAME CITY STATE 19 Agri-Business Incubator, ICRISAT Hyderabad Andhra Pradesh 20 IKP Knowledge Park Life Science Incubator Hyderabad Andhra Pradesh 21 International Institute of Information Technology Hyderabad Andhra Pradesh 22 University of Hyderabad Hyderabad Andhra Pradesh 02 23 Birla Institute of Technology & Science, Pilani Hyderabad Andhra Pradesh 24 University of Delhi South Campus TBI Delhi Delhi 25 Shriram Institute for Industrial Research Delhi Delhi 26 Indian Angel Network Mentoring & Incubation Services Delhi Delhi 27 Padre Conceicao College of Engineering (PCCE) - Centre for Innovation & Business Accelerator Verna Goa 28 National Design Business Incubator (NDBI) Ahmedabad Gujarat 29 Centre for Innovation Incubation and Entrepreneurship (CIIE) - IIM Ahmedabad Gujarat 30 Mudra Institute of Communications Ahmedabad (MICA) Ahmedabad Gujarat 31 Nirma University Ahmedabad Gujarat 32 National Dairy Research Institute - Society for Innovation & Entrepreneurship Karnal Haryana 33 Composites Technology Park Bangalore Karnataka 34 EHealth Bangalore Karnataka 35 Global Incubation Services (GINSERV) Bangalore Karnataka 36 Manipal University Manipal Karnataka 37 Technovate India Innovations Bangalore Karnataka 38 National Institute of Technology, Calicut Kozhikode Kerala 39 Technopark Trivandrum Kerala 40 Amrita Vishwa Vidhyapeetham Kollam Kerala 41 College of Engineering, Trivandrum Thiruvananthapuram Kerala 42 Indian Telecom Innovation Hub - TBI STARTUP VILLAGE Kochi Kerala 43 MITCON Consultancy & Engineeing Services Limited Pune Maharashtra 44 Society for Innovation and Entrepreneurship (SINE) - IIT Mumbai Maharashtra 45 National Chemical Laboratory, Entrepreneurship Development Center Pune Maharashtra 46 D.K.T.E. Society's Textile & Engineering Institute Ichalkaranji Maharashtra 03 47 Kalinga Institute of Industrial Technology Bhubaneswar Odisha 48 Birla Institute of Technology & Science, Pilani Pilani Rajasthan 49 Kongu Engineering College Perundurai, Erode Tamil Nadu 50 Vellore Institute of Technology Vellore Tamil Nadu 51 University of Madras Chennai Tamil Nadu 52 Rural Technology and Business Incubator (RTBI), IIT Madras Chennai Tamil