business incubators are not a new concept. Today,
incubators are being used world wide as an economic development
tool to increase competitiveness in emerging markets. The business incubation model traces
its beginnings to the late 1950s.
The statistical data provided below has
been reported by the National Business Incubation Association (NBIA)
and the Small Business Association (SBA).
Business incubators reduce the risk of
small business failures. Historically, NBIA member
incubators have reported that 87 percent of all firms that
have graduated from their incubators are still in business.
NBIA estimates that North American
incubator client and graduate companies have created about
half a million jobs since 1980. That is enough jobs to
employ every person living in Denver, CO.
Every 50 jobs created by an incubator
client generate approximately 25 more jobs in the same
NBIA estimates that in 2005 alone,
North American incubators assisted more than 27,000 start-up
companies that provided full-time employment for more than
100,000 workers and generated annual revenue of more than
NBIA also reports incubator companies
grow an average of 400% during
Business incubators can reduce start-up costs by 40-50%.
facts and information about business incubators is located on
the NBIA site.