A BUSINESS INCUBATION MODEL

Amelia Stubley, Bronte Phillips, Ryan Aziz, Joseph Leotta, Nathan Smith

Brand Builder’s

VISION & MISSION

We have provided an business incubator model relevant to the current Bathurst market and

economy. The overall mission for the model is to invest in the development of new businesses in

order to expand the Central West’s competitive environment and innovative efforts.

The vision of the model is to improve the lives of the Central West community by assisting and

encouraging the community to be enterprising, with the overarching aim of increasing economic

activity. Stemming from this vision, core values have been developed in order to effectively

relate to the current needs of consumers.

Brand Builder’s

ISSUES

The lack of a competitive environment in Bathurst could pose an issue

as execution of the incubator model could become slack

Lack of interest due to a lack of knowledge of this opportunity

Money

Geography

Brand Builder’s

PRE-INCUBATION

ü Induction: Introduce 15 start-ups

ü 4 day induction and idea development to construct basic business

plans

ü  Trial idea in competitive environment

ü  Screening for best candidates

Brand Builder’s

INCUBATION ü Product based research and development

ü  Allocation of resources

ü  Assistance in building personalised brands- including logos and business cards

ü Monthly CEO meetings to share progress/overcome common problems

ü  Weekly seminars on valuable business knowledge- e.g. human resource planning, various

legislation, how to use social media effectively

ü  Professional support services in feasibility studies, proposal/business plan preparation

ü  Facilitate the commercialisation of technology- R&D inventions and knowledge

ü Create competitive objectives/strategy Brand Builder’s Brand Builder’s

POST INCUBATION

ü Collaboration with other entrepreneurs

ü Continue mentoring

ü Gradual transition of the new business into the market

ü Networking opportunities

ü Annual Conference to ensure sustained growth and competitiveness

ü Ongoing support for at least one month for new start-ups post incubation

ü Encourage innovation & continuous improvement Brand Builder’s

•  Incubation model is applicable and valuable to a number of industries and business types at various levels of development

Key markets (not restricted to the Bathurst region):

1.  Individual entrepreneurs

2.  Existing small-medium businesses with goals of expansion/diversity

3.  Entrepreneurs from declining industries

4.  Entrepreneurial corporations looking for low

cost market

•  Malcolm Turnbull’s recent win in the Liberal

Leadership ballot will positively impact start-ups

and boost market confidence (Carmody, 2015)

•  Likely that a rise is all markets listed above will occur Brand Builder’s

MARKET ANALYSIS

The 6 core target markets of the business incubator are:

1.  Regional young post-graduates striving to get ahead

2.  Regional 25-54 year old entrepreneurs seeking to expand

3.  Regional knowledgeable retirees with time on their hands

4.  Urban young post-graduates striving to get ahead

5.  Urban 25-54 year old entrepreneurs seeking to expand

6.  Urban knowledgeable retirees with time on their hands

•  The primary target markets are both regional and urban 25-54 year old entrepreneurs seeking to expand due to their need to stability and compatibility to the Bathurst community

•  Evocities campaign partnership targets familiesà education sector/low house prices

Brand Builder’s

TARGET MARKET

PESTLE ANALYSIS

•  Summary of Political, Economic, Sociocultural, Technological, Legal and Environmental factors.

Political

•  Local Government: Support from the council.

•  State Government: State government funding for upgrades to

•  Great Western Highway in the Blue Mountains and Kelso.

•  Federal Government: Entrepreneur’s Programme & new Prime Minister.

Brand Builder’s

PESTLE CONTINUED Economic •  Cash rate at 2% to encourage spending. •  Bathurst GRP was approximately $1.97 billion in 2014 (Bathurst Regional Council Area

Gross Product, 2014).

Sociocultural •  High costs of living in Sydney may influence people to seek urban •  à rural migration to Bathurst.

•  Downturn in mining - May be able to capture entrepreneurs and re-home them in a service based job in the incubator.

Brand Builder’s

PESTLE CONTINUED

Technological •  Supporting Infrastructure the key here (i.e. buildings, internet, office layout, provision

of space, communications technologies etc) Legal •  Data security & intellectual property laws – Who owns the idea? Environmental •  Demand Management Plan in place. •  Solar Panels may be used to reduce energy costs & convey modern image.

•  Renovation of old buildings vs building from scratch.

Brand Builder’s

WHO ARE OUR COMPETITORS?

•  Brand Builders is Bathurst based, and because it’s the first of its kind- our competitors are fully established and experienced business incubators from the Sydney region

•  The three main incubators that have attracted increased traffic of clients since establishment:

Brand Builder’s

OPERATIONS: HOW DO THEY DIFFER FROM US?

• 25Fifteen- Run by young people, for young people. Working with very

skilled and experienced industry veterans to guide the inexperienced through the use of high quality resources and a large network of

• StartupAUS- Not for profit and government funded. Really active on social

media which attracts the younger generation of entrepreneurs. They promote creativity and drive in order to transform the Australian community; so they’ll keep up with the rest of the world

• Startmate- is an incubator that seeks to break the stigma of being a nerd

by turning them into successful CEO’s. Focusing on online start ups, investors are actually old clients that used the same program Brand Builder’s

SWOT ANALYSIS

Strengths

•  Only known business incubator in Bathurst (and even the Central West) •  Supported by the Council and local

businesses •  Use of heavy promotion •  New, exciting idea for consumers and

entrepreneurs •  Open to anyone •  Specific target markets

Weaknesses •  Competing with larger Sydney market •  Skepticism about the idea •  Can only take on a limited number of

businesses •  Possible lack of interest •  Lack of support from already established

businesses (competition) •  Lack of understanding surrounding

intellectual property

Brand Builder’s

SWOT ANALYSIS Opportunities

•  Expansion of the incubator model •  Expand into other areas/councils •  Multiple innovation spaces •  Online space and interactivity •  Support from the university •  Events within the incubation model New

prime minister •  Australia becoming a more innovative

country

Threats

•  Possible lack of funding •  Establishment of new incubator programs

(competition) •  Changes in the market/business

environment •  Lack of interest •  Dependent on community interest and

support

Brand Builder’s

RECOMMENDATIONS

Our team’s vision for the incubator is to provide flexible services led by incubator success stories to bring a cache of past experiences and recommendations,

stimulating entrepreneurial spirit and innovative ideas.

Brand Builder’s

RECOMMENDATIONS

We recommend targeting both regional and urban 25-54 year old entrepreneurs seeking to expand, through various marketing channels, as they are the most compatible

to the incubation model and would maximize its chances of success.

Brand Builder’s

RECOMMENDATIONS

We aim to change the locations of the weekly ideation and education sessions. For example one week may be outside on the top of the mount and another

week may be in a more traditional space such as the Bathurst library.

Brand Builder’s

RECOMMENDATIONS

We want to create an online space on social media with learning and educational tools, including:

ο Facebook: a community where people can share ideas, give feedback and critique ideas

ο YouTube: more of a virtual educational space where experts can virtually upload tutorials

➔ This online presence will increase awareness and generate interest about what an incubator

program in Bathurst offers, and enables the program to be viewed worldwide.

Brand Builder’s

RECOMMENDATIONS

We recommend a fortnightly leaflet in cafes and around town showcasing activities the incubator program has done and an idea of the week for example.

Brand Builder’s

RECOMMENDATIONS

We also recommend a partnership with Evocities and Charles Sturt Universities to extend the geographical and resource boundaries.

Brand Builder’s

RECOMMENDATIONS

We recommend utilising social media start-up businesses initial main form of communication because it is cost effective and has extensive reach capabilities.

Brand Builder’s

RECOMMENDATIONS

A thorough screening process to select best candidates is recommended to minimize wasted resources.

Brand Builder’s

RECOMMENDATIONS

We recommend a virtual mini incubation program for possible start-ups who may live further a-field.

Brand Builder’s

RECOMMENDATIONS

Annual networking conference essential for networking opportunities.

Brand Builder’s

RECOMMENDATIONS

Potentially partner with a Japanese business incubator organisation because of their leading innovative efforts and focus on educating Western entrepreneurs

wanting to expand to the Japanese market.

Brand Builder’s

Thank You

Any questions?

Brand Builder’s