Aiman Ragab, PhDDean – College of Management and Technology - AASTMT

General Supervisor - Project Incubation Center

Nader BakirExecutive Consultant - Project Incubation Center – AASTMT

Dubai International Conference Innovative Sources to Finance Small and Medium-Sized Enterprises

Dubai – UAE – February 2010

Doha M. Yacout - “Presenter”Projects Consultant – Project Incubation Center – AASTMT

SMEs Development & Business Incubation

Traditional Business Incubators Methods

New Business Incubator Framework Threefold Incubation Approach

New Framework Case Study “P.I.C.” Achievements Future Plans

Cooperation with Awqaf Association

Conclusions & Recommendations

Small & Medium – sized Enterprises:

SME’s financing capabilities face many obstacles:

Lack of experience of business founders affecting

Trustworthy

Lack of information between small businesses and investors

Relatively higher risk associated with small activities

Higher transactions costs in handling SME financing at the

small sizes.

... and many others

Business Incubation:

Business Incubation is a business support process

that accelerates development of start-up and

fledgling SMEs by providing an array of targeted

resources and services, developed & orchestrated by

incubator management to produce successful free-

standing firms having the potential to strengthen

local and national economies.

Traditional Business Incubators – simply - are

utilized working areas for rent structured with

(Water, Electricity, Computers, Internet, Mailing

address, Local calls and Fax), with connections to

experts being facilitated.

Business Incubators are benchmarked by methods

mostly depending on solid basics like available area

or capacity, with less concern of intellectual criteria.

The Introduced framework adds to Traditional The Introduced framework adds to Traditional Business Incubation, using a Business Incubation, using a Threefold Threefold approach approach for integrated development of youthfor integrated development of youth

From "Idea" Pre-Incubation to “Post-Graduation Services” From "Idea" Pre-Incubation to “Post-Graduation Services”

Offering Fundamental, Academic & Practical support.Offering Fundamental, Academic & Practical support.

Financing through a “Partnership-based” model from first Financing through a “Partnership-based” model from first day of establishment (Initial Student Offering “I.S.O.” day of establishment (Initial Student Offering “I.S.O.” program)program)

Final Outcome: An outstanding Medium-Sized Final Outcome: An outstanding Medium-Sized professionally managed, registered “Publically Traded" professionally managed, registered “Publically Traded" enterprise serving the whole society and profiting its enterprise serving the whole society and profiting its funding shareholders.funding shareholders.

We offer the Arab world a Development / Investment / Employment and Educational Profit Model that reflects in

cooperation and solidarity.

Conquering Obstacles Facing SMEs Financing:

Mentioned SME’s financing capabilities obstacles were:

Lack of experience of business founders affecting Trustworthy

Lack of information between small businesses and investors

Relatively higher risk associated with small activities

Higher transactions costs in handling SME financing at the

small sizes.

AASTMT AASTMT “Non-Profit Organization” “Non-Profit Organization” developed “P.I.C” developed “P.I.C” on September 2008. on September 2008.

PIC's Mission is to provide society with highest PIC's Mission is to provide society with highest standards of Ex-Incubatees using the Threefold standards of Ex-Incubatees using the Threefold approach of the new framework.approach of the new framework.

PIC combines outstanding academic AASTMT PIC combines outstanding academic AASTMT credentials with extensive practical experience to credentials with extensive practical experience to professionalize the learning outputs of learning and professionalize the learning outputs of learning and fashion their applications into real life.fashion their applications into real life.

Achievements & Future PlansAchievements & Future Plans Operating Incubatees:Operating Incubatees: Festival Foods EgyptFestival Foods Egypt El Arabeya Company for Integrated Project ManagementEl Arabeya Company for Integrated Project Management Business Vision magazineBusiness Vision magazine Incubatees at establishment phase:Incubatees at establishment phase: Call Center and Outsourcing ServicesCall Center and Outsourcing Services Recruiting AgencyRecruiting Agency Projects accepted and being researched (Pre - Projects accepted and being researched (Pre -

Incubation): Incubation): Ship Life-JacketShip Life-Jacket Radio StationRadio Station Smart BoardSmart Board Projects considered (Priority vs. Recourses Projects considered (Priority vs. Recourses

assessment):assessment): Many othersMany others

Cooperation takes the form of:Cooperation takes the form of:

Investment / Funding Partnership Protocol.Investment / Funding Partnership Protocol.

The Incubator offers The Incubator offers Awqaf Awqaf investmentinvestment

opportunitiesopportunities in diversified fields in diversified fields

AwqafAwqaf helps young business starters and helps young business starters and

incubation applicants by being a Sponsor incubation applicants by being a Sponsor

Investor Funding their projects.Investor Funding their projects.

Hosting Pre-Incubation activities

Investment & best use of recourses.

(Two benefits in One process)

Partnership, Cooperation and Solidarity

helps ALL winning

Business Leaders Social Responsibility

towards the world economic development

Networking business incubators

Business Incubation isBusiness Incubation is

A Multitasked, Multifaceted A Multitasked, Multifaceted

Activity that Everyone Should Activity that Everyone Should

Join…Join…

It is an All-Win Competition, whichIt is an All-Win Competition, which

Anyone can Benefit from…Anyone can Benefit from…

Walking his Own Preferred Road.Walking his Own Preferred Road.