Source: "Best Practices for Managing Incubators", Rahul Patwardan, Founder of IndiaCo

Adapted by: Vadim Kotelnikov, Founder of Buisness e-Coach and Innompic Games, Adviser to Inidiaco




Local Economic Development Incubators

Academic and Scientific Incubators

Corporate Incubators

Private Investors’ Incubators




For profit

For profit

Main Activity



Radical innovation

Radical innovation


Job creation

Re-industrialisation / revitalisation

Economic development

Support to particular target groups or industries

Development of SMEs and clusters

Commercialisation of technologies

Development of venturepreneurial spirit

Civic responsibility


New sources of finance

To develop intrapreneurial spirit among employees – keep talents

Monitoring − access to new technologies, business models, and new markets


Profits by selling stock from a portfolio of companies allowing to risks to be spread


Small commercial craft or service companies

In some cases, high-tech companies

Projects internal to institution prior to company creation

External projects

Internal and external projects, generally related to the activity of the company

Radical-innovation high-risk-high-return start-ups

Lean startups




Hosting and shared services

Administrative assistance


Entrepreneurial simulation games


Coaching – training – networking

Access to financing

Concept testing

Technical advice and support

Intellectual property advice

Seed capital

Basic management advice

Entrepreneurial simulation games


Access to business angels, venture capitalists, and corporate investors

Access to innovation ecosystems and industrial networks

Strategic advice



Financial resources

Prototype and market testing

Access to commercial markets

Entrepreneurial simulation games


Long-term strategic partnership

Access to multiple competencies

Venture management and strategy advice

Entrepreneurial simulation games

Supply of one or several types of financing and search of complementary financing

Personal networks


Hosting and administrative assistance

Legal services, public relations, recruiting, etc...

Key Problems

Durability – lack of stability of resources

Quality of management and services provided – highly dependent on the quality of the manager

Governance, risk of conflicts about the objectives, bureaucratic red-tape, time spent in negotiating with different partners

Legitimate inside the institution

Legal status, governance, independence, and operational flexibility

Income sources

Management quality; lack of business coaching expertise

Access to external resources and network

Strategic position of the incubator for the corporate structure

Management independence and ability to mobilize internal resources

Durability of the mission of the incubator

Conflicts about the objectives between the owners / the managers of start-ups and the corporation

Sourcing of top-quality projects

Level and conditions of the incubator payment in comparison with provided services

Valorisation of the incubator's participation at the entry and the liquidation

Durability of the incubator




Regular development

Increasing territorial coverage

Development of social entrepreneurship

Rapid development under the aegis of public programs

Testing of the concept in numerous companies

Likely to develop

High levels of consolidation and restructuring of the sector

Still looking for a successful model