In order to enhance the number of start-up businesses, it is logical to adopt a strategy that will encourage more individuals to seriously
consider entrepreneurship, to lower barriers that discourage them from starting and to provide a reassuring chain of support that will
assist start-ups at each stage of their progress. The following is an example of what this ‘support chain’ might look like:
Strong emphasis is placed on the individual responsibility of the entrepreneur. In the early stages (self)-selection is the guiding principle. A do-it-yourself approach combined with a structured self learning approach is adopted in the preparation phase. This stems from the belief that not everyone is able to be successful as an entrepreneur and not any business idea can be successful in any environment. In the TBIF Entrepreneurship Lab prospective tenants and clients can make use of a wide range of facilities while preparing and formulating their business plan. A market research (e.g. scanning the environment in which they wish to operate eventually) plays an important role in the process to arrive at a realistic business plan.
Pre-incubation
PHASE 1
Promotion, Selection and Orientation |
| STEP | ACTIVITY | TBIF services and supporting doc |
| Promotion |
TBIF promotes the programme among prospective tenants and clients |
Promotion Program materials |
| Screening |
Tenants and clients are selected and screened by the TBIF office; special attention is paid to entrepreneurial acumen, ability, skills and experience. |
Selection and Orientation Materials |
| Entrepreneurship Orientation |
For those clients with limited entrepreneurial experience a special orientation (training) programme is organised by the TBIF |
Training provided by TBIF trainers |
| Orientation of Business Plan |
Special sessions to give explanation of the contents and structure of a good business plan |
Training provided by TBIF trainers on subsidised payment basis |
Pre-incubation
PHASE II
Preparation of the Business Plan |
| STEP | ACTIVITY | TBIF services and supporting doc |
| Feasibility study |
Data collection with use of Business Plan template based on "do-it-yourself" approach |
Hand-outs to applicants |
Business Plan formulation
(draft business plan) |
With the assistance and guidance of business advisers clients will formulate their draft business plan. |
TBIF business adviser assist client on subsidised payment basis |
| Appraisal of the draft business plan |
TBIF Financing Appraisal team will evaluate the quality of the draft business plan and assess what type of steps to be taken for the subsequent finalisation of the plan |
Internal members of Appraisal team; appointed by the TBIF Technical Committee |
Business Plan formulation
(final business plan) |
With the assistance and guidance of business advisers clients formulate their final business plan; this phase may include a further market study. |
TBIF Business adviser assist client on subsided payment basis. |
| Appraisal of the financial plan |
The TBIF forwards the business plan to the EDF for appraisal of the financial structure and by positive result the EDF assists in making contact with the participating banks. |
Forwarding to EDF |
Pre-incubation
PHASE III
Preparing for Start and Incubation |
| STEP | ACTIVITY | TBIF services and supporting doc |
| Preparing for start |
Clients will finalise their business plan, incorporate comments by the appraisal team and add data, information and documents required by the external parties (including EDF / financial institutions) |
Business adviser assist client on subsided payment basis. |
| Access to finance |
Tenants/clients will submit their proposal for EDF evaluation before EDF funding can be acquired or for presentation to banks/financial institutions. The banks will appraise the application and take a final decision. |
Participating banks operate under framework agreements with the EDF and are independent in their decision making and price setting. |
| Admission request |
TBIF Business consultants will assist the client to complete the incubator admission form |
|
| Financing the business |
After obtaining finance, the tenant sends a formal admission request to the TBIF technical committee. |
|
Incubation
PHASE IV
Business Start Up and Incubation Process |
| STEP | ACTIVITY | TBIF services and supporting doc |
| Approval |
TBIF technical committee approves or reject the admission request according to entry criteria and advice of the TBIF management. After approval the tenant signs a contract for one year TBIF incubation and general BDS services, renewable for one more year. |
The TBIF tenants/client signs a contract for one year client specific BDS services TBIF Technical Committee. |
| Incubation Process |
Business management guidance and coaching available on a continuous basis for tenants/clients of the TBIF who will be closely monitored and mentored for a period of 2 years. |
TBIF consultants, often in cooperation with Business Clubs, existing companies, and external specialist advisers. |
Post-incubation
PHASE V |
| STEP | ACTIVITY | TBIF services and supporting doc |
| TBIF- Entrepreneurs contract for further cooperation |
Monitoring and evaluation of the business, based on cooperation contract |
M & E Guidelines |
| Entrepreneurs benefits from TBIF contact |
TBIF continue to provide tailored consultancy and stimulate communication / co-operation between its former tenants / clients and private sector, Government, financial institutions, national and international business opportunities. |
Follow up guidelines |
| TBIF collects data for further dissemination |
TBIF disseminates experiences and best practices to other incubation organisations |
Dissemination policy guidelines |
ideas generation/development