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Incubator

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An incubator is an organization that helps a start-up business grow. The incubator typically provides office space and access to shared office equipment and resources. Other incubator services for start-ups may include financial and technical expertise, fund raising assistance, and any other service that might be of use to the typical target start-up. The incubator can be a non-profit or a for-profit entity, but most are non-profit. Many institutes of higher learning fund and affiliate with a non-profit incubator that helps students and researchers commercialize new products and services that (often) originate within the educational institution. A business incubator might also be designed to help new businesses thrive in an economically distressed area. The for-profit incubator may affiliate with, or also be, a venture capital firm. The non-profit incubator typically charges a fee; the for-profit incubator will often demand an equity stake. The National Business Incubation Association's (NBIA) membership roster can be helpful in finding an incubator.



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