Business Incubator Certification
Establishing a certified business incubator is a strategy for fostering new business and new jobs in your community. An incubator is a business support facility with processes that accelerate the successful development of start-up and fledgling companies by providing entrepreneurs with an array of targeted resources and services.
According to statistics from the International Business Innovation Association (INBIA):
- Every 50 jobs created by an incubator client generate approximately 25 more jobs in the same community.
- In an INBIA survey, incubators have reported that 87 percent of all firms that have graduated from their incubators are still in business.
- Incubators create jobs at a cost of about $1,100 each, whereas other publicly supported job creation mechanisms cost more than $10,000 per job created.
New Mexico Business Incubator Program
Like the businesses they assist, research and planning are necessary to assure the development of a successful incubator. In 2005 the New Mexico Legislature created the program to assist communities in getting new incubators started and to ensure that all certified business incubators are following the INBIA’s best practices. The Economic Development Department is responsible for the program and certification of each business incubator.
The first step for a community considering a business incubator is research. Business incubator feasibility studies identify potential clients for a new incubator, or lack thereof; assess the availability of resources for the clients; identify obstacles to the incubator’s success; and provide an implementation plan for the incubator development.
Once the research is completed a community must address the obstacles to building a sustainable incubator and organize its resources to build or renovate a facility and provide the necessary services to incubate its clients.
The final step is certification by the department: Business Incubator Certification Application
New Mexico’s Certified Business Incubators:
- South Valley Economic Development Center
- WESST Enterprise Center
- Santa Fe Business Incubator
- Enterprise Center at San Juan College
- Arrowhead Technology Center
- Navajo Tech Innovation Center
- Taos County Economic Development Center
If you have questions or need assistance please contact Elizabeth Davis at 505.827.0333 or elizabeth.davis@state.nm.us.