Inside Business Incubators and Corporate Ventures [Hardcover]

Sally Richards (Author)

Book Description

Publication Date: November 9, 2001

Business incubators and the technology start-ups they funded enjoyed phenomenal success in the 1990s, only to see many of their bubbles burst at the turn of the millennium. Yet according to Silicon Valley insider Sally Richards, "Technology never rests and companies are undervalued right now. Fortunes are born out of this kind of market chaos." A confidante to the technology industry's premier powerbrokers, Richards brings you a first-person view of both sides of the negotiating table in Inside Business Incubators and Corporate Ventures.
Richards's exhaustive interviews of all the industry's pioneers, coupled with fascinating case studies of successful incubators, will introduce you to the prime sources of start-up capital as the technology industry contracts and expands. You will also learn where many of the strictly for-profit incubators went wrong and why many of the successful incubators today are those aligned with city or state governments, universities, or established corporations on a nonprofit basis.
Whether you are an executive looking to reposition or launch a new incubator, an entrepreneur trying to determine the best source of funding, or an individual investor who wants to know where to place your money now, Inside Business Incubators and Corporate Ventures will prove a gold mine of information on the past, present, and future of business incubation.
Foreword by James Robbins, Executive Director, Panasonic Concepts Center; CEO, Business Cluster Development; and Executive Director, Software Business Clusters

Editorial Reviews

From the Inside Flap

"I sit on the advisory boards of several start-ups in the early stage of development; brilliance they have, but business people they are not. Building a bridge that connects genius to commerce is the area where a savvy investor will make money."Sally Richards, from Inside Business Incubators and Corporate Ventures

Sally Richards experienced the "glitz" of the technology market in the mid-1990s and observed firsthand the corporate fallout of the past two years. Not only did many of the once-coveted dot-com start-ups fail, the hastily conceived business incubators that funded their ventures crashed along with them. Yet the incubator model continues to be an important financial approach to supporting new companies and business initiatives. In Inside Business Incubators and Corporate Ventures, Richards reveals why certain incubators, venture arms, and accelerators fell short and which models continue to build the bridge between genius and commerce in the twenty-first century.

Richards offers critical information concerning the best type of financing for your initiative. You will see why strictly for-profit incubators that seek a 30-50% equity in their start-ups have proven ineffective, and how those that accept a smaller equity in exchange for other benefits, such as more decision-making power, have positioned themselves for long-term success. Richards advocates the invitation of special interests-city and state governments, private investors, and other corporations-to join an incubator in funding a start-up. These types of investors provide the fledgling business a network of invaluable contacts and mentoring resources while diversifying the incubator's financial liability-essential advice for the entrepreneur considering a means of funding.

You will profit from the author's extensive interviews with the incubator pioneers of the past twenty years. Her thorough case studies include companies such as the Panasonic Digital Concepts Center, which not only incubates start-ups but manages a venture capital fund and maintains a Technology Partnerships Unit that crafts strategic alliances between start-ups and established companies. Richards also examines the Women's Technology Cluster, the San Jose Software Business Center, The Enterprise Network, and the venture arms of Phillips, E*Trade, and Autodesk, showcasing how each has developed a mutually beneficial niche in business incubation. Her exhaustive survey becomes a prescription for future investment approaches and provides an immediate plan of action.

"Money happens," Richards writes. "If we've learned one thing in all of our cycles, we've learned to take our cue from history and take with us the lesson that technology never sleeps, and if those who invest do, they will lose."

From the Back Cover

Business incubators and the technology start-ups they funded enjoyed phenomenal success in the 1990s, only to see many of their bubbles burst at the turn of the millennium. Yet according to Silicon Valley insider Sally Richards, "Technology never rests and companies are undervalued right now. Fortunes are born out of this kind of market chaos." A confidante to the technology industry's premier powerbrokers, Richards brings you a first-person view of both sides of the negotiating table in Inside Business Incubators and Corporate Ventures.

Richards's exhaustive interviews of all the industry's pioneers, coupled with fascinating case studies of successful incubators, will introduce you to the prime sources of start-up capital as the technology industry contracts and expands. You will also learn where many of the strictly for-profit incubators went wrong and why many of the successful incubators today are those aligned with city or state governments, universities, or established corporations on a nonprofit basis.

Whether you are an executive looking to reposition or launch a new incubator, an entrepreneur trying to determine the best source of funding, or an individual investor who wants to know where to place your money now, Inside Business Incubators and Corporate Ventures will prove a gold mine of information on the past, present, and future of business incubation.

Foreword by James Robbins, Executive Director, Panasonic Concepts Center; CEO, Business Cluster Development; and Executive Director, Software Business Clusters

See all Editorial Reviews

Product Details

• Hardcover: 240 pages
• Publisher: Wiley; 1 edition (November 9, 2001)
• Language: English
• ISBN-10: 0471418641
• ISBN-13: 978-0471418641
• Product Dimensions: 9.1 x 4.9 x 1 inches
• Shipping Weight: 1.1 pounds
• Average Customer Review: 4.5 out of 5 stars  See all reviews (2 customer reviews)
• Amazon Best Sellers Rank: #2,673,361 in Books (See Top 100 in Books)

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Customer Reviews

Most Helpful Customer Reviews

1 of 1 people found the following review helpful:

5.0 out of 5 stars A balanced and expert-informed approach to incubation, December 17, 2001

By A Customer

This review is from: Inside Business Incubators and Corporate Ventures (Hardcover)

Sally Richards has tapped into a wide range of Silicon Valley experts-experts through their experience in either success or struggle-to provide a timely and balanced exploration of the opportunities available in incubation. I currently live in "the Valley," and it is refreshing to see an honest treatment of not only the challenges but also the opportunities that exist in developing start-up enterprises in a range of incubator and other venturing environments, rather than the over-reaction (both positive and negative) so common in many treatments of the business climate. I felt the contributions of Jim Robbins-one of the most experienced incubator founders in Silicon Valley-were especially valuable, both in his thoughtful introduction and as quoted in the main text. I found this text very helpful in understanding the "key learnings" from diverse experience in business incubation of various forms, and it should be helpful to others both inside and outside of Silicon Valley.

0 of 1 people found the following review helpful:

4.0 out of 5 stars A great reference for our troubled economic times, November 29, 2001

By A Customer

This review is from: Inside Business Incubators and Corporate Ventures (Hardcover)

These days it's hard to find a source for sound financial advice. Richard's new book goes to the source - providing insider information and case studies - and offers a refreshingly honest look at the hits and misses in coporate ventures and business incubators.