Comments on: Does Australia Need a Startup Incubator and What Does It Look Like?

By: Mark Bradley

Mark Bradley — Tue, 27 Oct 2009 08:24:06 +0000

I think ATP Innovations is doing a pretty good job at addressing the issues you raise. There is particular emphasis on the close relationship between entrepreneur and mentor. When I was running the show a few years back we emphasised that physical infrastructure whilst important and sometime critical was secondary to the business development and mentoring function. ATP innovations has developed its own Australian Model and has never tried to mimic other centres overseas. I understand current management continue to support these philosophies and the constant >90% of success rate for graduates and annual investment in companies averaging close to $40M per year indicates the model is doing something right for both early stage and growth companies.

By: Rand Leeb-du Toit

Rand Leeb-du Toit — Tue, 27 Oct 2009 07:53:37 +0000

You and me both, Rachel - perhaps if we pool our $10 we could launch our own incubator.

Seriously though, I’d really like to see a few incubators at play in Australia as I don’t believe there is a one size fits all model to assisting startups make it onto and, eventually, off the runway.

My key messages to those who are looking at tilting at the incubator windmill are:

1. Find a core value proposition for your incubator.
What is the rocket fuel that you and your team can bring to the startups who you work with that they cannot get elsewhere. And this is not office space or commoditised services like accounting or sysadmin.

2. Start early.
Don’t wait until you’ve perfected your perceived model before getting things going — you are a startup too, which means you have room to test what works. However, bear in mind that this should never be at the expense of the companies you work with.

3. Think karma.
You are playing in a small market. One that has its fair share of sharks trying to screw cash out of startups. Rise above the snake oil salesman. Work to add value rather than working to extract value - you’ll be surprised at what a difference this can make. Downtrack you’ll have a bunch of successful entrepreneurs not only singing your praises but investing in and acquiring your subsequent portfolio companies.

By: Arjen Lentz

Arjen Lentz — Fri, 23 Oct 2009 06:36:20 +0000

The other flaw I see is the aim of aping silicon valley, that makes no sense to me.
If you mimic something, you will also inherit all the faults and downsides. What’s the sense of that. The advantage of starting later is that you’re not hindered by the weight that incumbents carry with them, while being able to use their lessons.

I also think that some of what Silicon Valley companies regard as fundamental have actually been proven false, but they won’t have put those items on their list of lessons.
Their definition of success pretty much equates it with growth and/or revenue. I think that’s a total fail. That’s actually a pretty big problem/discussion space, but I hope the brief mention here at least makes the point.