Can business incubators be established through public-private partnership? This question struck my mind, while going through an article by MS Siddiqui on business incubators. While private participation is critical for the success of business incubators, running an incubation facility under PPP remains an open question. While the cost recovery can be made through rents from the incubated companies, other benefits may include outreach of the private partner. This however makes the credentials of the private party critical to reap these extra benefits.
North Texas Enterprise Center for Medical Technology (NTEC), a business incubator is running successfully in Texas under the PPP mode. The public-private partnership provides start-ups with affordable office and lab space, management support and funding guidance. (It also has other tenants.) It has helped nine companies get off the ground, employ more than 100 people and raise about $40 million. For details, click here.