Aalto University. Small Business Center. Arabus Business Incubator.
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2 Aalto University Merging the three leading universities in Finland ACE Aalto Centre for Entrepreneurship Small Business Center Under the Aalto University School of Economics SME business education programmes SME research, focused in entrepreneurship Incubation services > Aalto Start-Up Center Arabus Business Incubator
3 Start-up development process in Aalto Pre-incubator Incubator Post-incubator Aalto University based business ideas (incl. AES, Venture Cup etc.) Young Business Academy and Small Business Center entrepreneurship training Advisory-clients from Tekes, Ely Center and others Company spinoffs Creation of new companies and jobs Business coaching Development of tools and methods Increased internationality Facility solutions Virtual incubator Post-incubator companies as case studies for training Collaboration, networking, shared clients with present incubator tenants Tailored business programs Internal quality studies of SBC and its network Success stories e.g. Footbalance Oy, Futurice Oy / one of Europe s fastest growers (2800 %), GWEB (Microsoft award / Global Start Up of the Month), Sopima Oy (Microsoft award / European most promising technology start-up); VC investments in 50 companies Growth company cluster in Ruoholahti (Acceleration Center co-operation with Technopolis)
4 Co-operation and deal flow Aalto University Centre of Economic development Entreprise Helsinki Innovation Centre (Keksintösäätiö) Uusimaa region incubator network Diges r,y (National association for developing the creative industries in Finland) Employment and economic development office Tekes the Finnish Funding Agency for Technology and Innovation Serial entrepreneurs Other actors in CI 7
5 Business incubation in Finland Started during the years mainly tentatively 3 waves of business incubation wave of experiments and establishment wave of expanding wave of specializing, networking, internationalisation, privatisation and the wave of polytechnics and universities
6 CREATIVE ENTREPRENEURSHIP - CASES Strategic planning is conducted in cooperation with the Ministry of Education & Culture, as well as with the Ministry of Employment & the Economy and with the essential interest groups. Public and private organizations engage with education and research projects Regional development work strengthens regional competitiveness and attractiveness. CIF is a coordinator for the national development programme for business growth and internationalization in the creative industries It also coordinates and supports the realization of development projects funded from the national development project. TAIVEX -training program for art exports. Kestävät Palikat -executive education for the architects. Managerial Programme for the Events in CI (in co-op. with Academy of Sibelius) The network is the key success factor for the creative industry. Business services and education: Arabus - Design, Media and Art Business Start-Up Center offers business development, training, facility and equipment services to SMEs and entrepreneurs in the creative sector. Luovien alojen yrittäjyys Etelä- Savon vahvuudeksi - Entrepreneurship coaching in CI South Savo Regioni. International research and development strengthens the knowledge: CreaEnt project is linking of knowledge and innovation to sustainable development and competition of Central Baltic Region (CBR) and development a best practice model of entrepreneurial education and networking for creative industry in Finnish, Estonian, Latvian and Swedish universities. CIF improves the framework conditions of the creative industries in the Nordic countries and in the Baltic region through the KreaNord -project.
7 Arabus business incubator Established in 1996 Part of the University of Art and Design Helsinki until Now part of Aalto Uni. Part of the Uusimaa region incubator network Portfolio: Almost 30 creative sector start-up companies with strong growth potential. ASUC total: Almost 80 start-up companies, approx. 170 employees. The mission of the Arabus incubator is to promote entrepreneurship in the field of creative sector and industries, which have a growing importance in national economic growth The Business incubator for companies which are seeking for rapid growth and success!
8 ARABUS Profile Design - Concept and product design - Usability Media - Internet, digital, AV and conventional media Content production - Culture production - Content production for internet, mobile and conventional media Performing arts - Acting, choreography, dance Defination by Ministry of Employment and the Economy, Creative industries in Finland: Animation production, architectural services, film and TV Production, Art and art galleries, crafts, sports and adventure services, advertising and marketing, design services, music and program, game industry, radio and audio production, art and antiques trade, dance and theatre, media
9 Management Aalto-university School of Economics Small Business Center 1. Management team (strategy work) 2. Steering group ( financers, Aalto Uni specialists, group of external experts) 3. Advisory board members: D.Sc. Jukka Ala-Mutka, CEO, Cone Advisor Oy, D.Sc. Erkko Autio, professor, Imperial College, London, MA Helena Hyvönen, Executive Dean, Aalto University School of Art and Design, D.Sc. Petri Parvinen, professor, Aalto University School of Economics, D.Sc. Markku Virtanen, professor, Aalto University School of Economics 4. Aalto Start-Up Center team (total 6 members, selection process, development of service portfolio, marketing issues etc operative work)
10 FOCUS AREAS Creative Industry & Information and Communication Technology
11 INNOVATION & GROWTH Existing company under 3 years Innovative, scalable business idea with a growth potential Existing business plan incl. finance plan for the first year
12 DREAM TEAM
13 APPLICATION PROCESS Application through Aalto Start-Up Center s web pages Face to face meeting with Business Advisor Team meeting once a week, decisions made within 1-2 weeks
14 Aalto Start-Up Center and Arabus services Information and training - Training and information events form various areas of business Business advisor services Facilities - Furnished premises, Office Suite, conference rooms, private Intranet and broadband Sales program Networking and development - Events with other entrepreneurs and stakeholders - Development- and coaching programs Mentoring services - A broad and experienced network of business professionals Growth program Business advisor services Enter incubator Development program Business advisor services To apply for the incubator: - Business idea with growth potential - Existing company and business plan - Application through Aalto Start-Up Center s web pages - Decision within 1-2 weeks after all necessary material has been sent O yrs. Business modeling -Modeling of company s business -Strategic alternatives, policies and focus points - Definition of customer value, competition field and supply - Ensuring funding Sales action plan - Cornerstones of sales - Defining purchasing criteria - Tailored sales action plan - Practical sales training 3 yrs. Ensuring continuation of growth - Managing growth stage - Defining genuine competitive advantage - Securing necessary resources - Planning of growth-driven financing
15 Softlanding services Technopol and ESA (Estonia) Northtown technology center (Lithuenia) Kristal business incubator (Russia) Northtown Technology Center (Latvia) Several partnership agreements in process (Sweden, England ).
16 Funding in 2010
17 Costs
18 COMPANIES Aalto Start-Up Center has 80 companies. Companies are from creative industry (30), or developing: mobile- (10), internet- (20) or software services (20). ~25% of all applicants are selected ( ~ 200 appl. year 2010) The entrepreneurs are 36 years old by averige and 80% of them has a academic education(2/3 has Aalto background) The top funders for our companies are: ELY, Centres for economic development, transport and the environment, Finnvera, Tekes the Finnish Funding Agency for Technology and Innovation, Ministry of Education and Culture and business angels According to Aalto Start-Up Center survey
19 Figures and results Results in Arabus company and job figures ( ) - 56 selected companies ~20% of all applicants are selected - 35 new established companies, of which 15 have been set up by women> new companies employees, of whom 36 are women - Team size ~ 2 entrepreneurs - The entrepreneurs was 36 years old by averige. 112 persons belonged to the age group: years old - Since 1996 about 200 companies have been selected to Arabus Aalto-university and Arabus do regular study on its customer base 86 % survival rate after ten years 32% of postincubator companies are considered fast-growing
20 Incubated companies Fields: Communication services Faschion designers Usability Designers Industrial Designers Digital and social media Arcitecture services Game industry Arts trade, art management Sports and experience services Video and animation services Living lab Examples:
21 Challenges A) Companies and entrepreneurs Difficulties in the business consept modeling Lack of business skills (management, marketing etc.) Problems with the Entrepreneurial team building Lack of understanding the importance of self-leadership Funding issues B) Incubator activities: How to educate creative people in entrepreneurship? How to find new and interesting entrepreneurial teams? Consulting Process Development How to find suitable mentors? Interaction with markets (partnerships, cooperation) Interaction within the incubator Customer base is fragmented (due to broad definition of the creative industry) Funding issues
22 Contact information Aalto Start-Up Center Hiilikatu Helsinki Finland Further information about Aalto Start-Up Center: Ms.Marika Paakkala Project Director Mobile: marika.paakkala@aalto.fi More information about creative sector: Mr. Bengt Forsström Project manager bengt.forsstrom@aalto.fi Activities in St. Petersburg Ms. Elena Mochnikova elena.mochnikova@aalto.fi Information about Baltic sea co-operation and partnerships: Ms. Natalia Narits natalia.nartis@aalto.fi Softlanding services (Estonia) Eeva Riistama eeva.riistama@aalto.fi More info and application form:
23 Thank you for your attention and Welcome to Aalto Start-Up Center!
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