Transcript Business Incubators in Cyprus ERMIS Research & Incubator Center 7th

7th
Business Incubators
in Cyprus
International
Venture
Capital
Forum
Athens
28-29/6/2006
Dr Alexandros Michaelides
General Director
ERMIS Research & Incubator Center
ERMIS
Research
&
Incubator
Center
Agenda
7th
International
Venture
Capital
Forum
Athens
28-29/6/2006
ERMIS
Research
&
Incubator
Center
• Cyprus New Industrial Policy – Business
Incubator Programme
• Business Incubators
• Funding
• Shareholding
• Services
• Procedure
• Incubatees obligations
• Results (2003-2006)
• Problems
• The future
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Dr A. Michaelides - ERMIS
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Cyprus New Industrial Policy
• 2002
• 12 Chapters
• Strategic goals
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International
Venture
Capital
Forum
Athens
28-29/6/2006
ERMIS
Research
&
Incubator
Center
– To attract and support the development of new high
tech companies
– To restructure and support of the existing manufacturing
companies
– To attract foreign investments (mainly on capital intensive
activities)
• Business Incubators Programme (Ch. 1 - NIP)
• International Call for Proposals (Nov. 2002)
– 10 applications
– 4 consortia evaluated successfully
– Feb. 2003 Contracts signed
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4 Approved Business Incubators
• ERMIS Research &
Incubator Center
– www.ermis.org
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International
Venture
Capital
Forum
Athens
28-29/6/2006
• Promitheas Business &
Innovation Center
– www.promitheas.com.cy
• HELIX Business Incubator
– www.helixincubator.com
ERMIS
Research
&
Incubator
Center
• Diogenes Business Incubator
– www.diogenes.com.cy
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Funding
• Business Incubators
– £19,000 annually (~€33,000) de minimis
– Buildings and Equipment
• 7,5% Medium Enterprises
• 15% Small Enterprises
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International
Venture
Capital
Forum
Athens
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ERMIS
• Incubatees
– £120,000 ~ €207,600 National Funds
– £10,000 ~ €17,300 Own Funds
• Maximum number of incubatees per
incubator 15
Research
&
Incubator
Center
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Shareholding
• Entrepreneur(s) >50%
– ONLY individuals
• Other partners
– Individuals and or Legal Entities
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International
Venture
Capital
Forum
Athens
28-29/6/2006
• No limitation for non Cypriots participation
• Corporate tax in Cyprus 10% (lowest in EU)
• The business incubator negotiates its
participation
– usually ~20%
ERMIS
Research
&
Incubator
Center
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Services
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International
Venture
Capital
Forum
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28-29/6/2006
ERMIS
Research
&
Incubator
Center
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Management support
Fund raising support
Support for the participation in EU funded projects
Support for the implementation of the research plan (access to research
facilities)
Secretarial, accounting and legal support
Organisation of seminars on common business practice and according to
special incubatees’ needs
Networking, Partnering
Company registration
Reception - Call center
Office furniture.
Telephone, telefax, internet connection
Printing, scanning and photocopying facilities
Meeting and presentation rooms
Library
Audio-visual equipment
Security services
Central heating and air conditioning
Messengers' services
Parking
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Procedure
• Presentation of the business idea
• Submission of Business Plan / Application
• Presentation of the business plan in front of the
Incubator’s Evaluation committee
• Business plan modifications according to
evaluators’ comments
• Submission of the final version of the business plan
7th
International
to the Ministry of Commerce, Industry & Tourism
Venture
Capital
• External evaluator
Forum
• Presentation of the business plan in front of the
Athens
28-29/6/2006
technical committee of the Incubators Scheme
• Approval (with or without comments) / Rejection
• Modifications/Improvements of the Business Plan
ERMIS
according to the evaluators comments
Research
&
Incubator
Center
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Procedure (cont.)
• Preparation of 3-party contract (MinistryIncubatee-Incubator)
• Establishment of a Cypriot limited company
– ~ £300-400
7th
International
Venture
Capital
Forum
Athens
28-29/6/2006
ERMIS
Research
&
Incubator
Center
• Signing of the contract by the company legal
representative
• 1st Installment (according to the budget)
• Signing of the incubator’s protocol
• Start of company operations
• 4-9 months
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Incubatee’s Obligations
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International
Venture
Capital
Forum
Athens
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ERMIS
Research
&
Incubator
Center
• Duration of the contract up to 24
months
• Successful implementation of he
business plan
• 12month progress and financial report
• 18month progress and financial report
• Final progress and financial report
• No “penalties” if the project is not
successful
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Results (2003-2006)
• Applications 32
– Approvals 21 (66%)
– Rejections 7
– Pending 4
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International
• Graduations 2
Venture
Capital
Forum
Athens
28-29/6/2006
ERMIS
Research
&
Incubator
Center
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Problems
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International
Venture
Capital
Forum
Athens
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ERMIS
Research
&
Incubator
Center
• The government approaches the business
ideas as a “research project” rather than
new company
• The external evaluator is always a member
of the academic community
• Delays
• Duplication of evaluation process
– Incubator’s evaluation – Ministry’s evaluation
• Incubatees are not allowed to participate in
national funded research projects
• Limited research infrastructure in Cypus
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The future
• New Business Incubator programme
(2006)
• Business Incubator Accreditation (;)
• Utilization of Structural Funds
7th
International
Venture
Capital
Forum
Athens
28-29/6/2006
ERMIS
Research
&
Incubator
Center
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ERMIS
• RTD Talos
– www.talos-rtd.com
• Cyprus College
– www.cycollege.ac.cy
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International
Venture
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Forum
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• Science & Technology park of
Crete
– www.stepc.gr
• Spidernet Services Public
ERMIS
Research
&
Incubator
Center
– www.spidernet.net
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Business Incubator
26 Offices 32 m2, Management Offices, Reception, Library, Meeting and
Presentation Rooms, Bank, Canteen, Gym
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International
Venture
Capital
Forum
Athens
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ERMIS
Research
&
Incubator
Center
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Incubatees
• D.T. Diabetes Research Technologies
Novel nutraceutical compounds that alleviate and prevent
diabetic complications
• Pythagoras Engineering
New type of vertical multistage pump for difficult
applications of low discharge and high manometric head
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International
Venture
Capital
Forum
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• Atlantis Information Systems
Technologies
Integral building control and energy management,
telematic services routed via the Power Line Network
• MEDSONIC
28-29/6/2006
High intensity focused ultrasound (HIFU) system, which is
guided with magnetic resonance imaging (MRI) in order
to treat brain tumors
ERMIS • AGENCOR Information Systems
Research
&
Incubator
Center
Generic alert system
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Incubatees (cont.)
•
F.P. Fire Protect Car
High Tech total solution Car fire protection
•
Toy Robot Systems
Structural educational toys
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International
Venture
Capital
Forum
Athens
28-29/6/2006
ERMIS
Research
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Incubator
Center
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EMBIO Diagnostics
Biosencors for medical diagnostic systems
•
DACTOLIVE
Opto-electronical Identification Systems using
novel dactyloscopy technology
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Thank You !
7th
International
Venture
Capital
Forum
Athens
28-29/6/2006
ERMIS
Research
&
Incubator
Center
Dr Alexandros Michaelides
General Director
ERMIS Research & Incubator Center
www.ermis.org
 22559559  [email protected]