Today there are more than 900 business incubators in North America, up from 12 in 1980.

Business incubation catalyzes the process of starting and growing companies. A proven model, it provides entrepreneurs with the expertise, networks and tools they need to make their ventures successful. Incubation programs diversify economies, commercialize technologies, create jobs and build wealth.

Business incubators reduce the risk of small business failures. NBIA member incubators report that 87 percent of all firms that graduated from their incubators are still in business. Startup firms served by NBIA member incubators annually increased sales by $240,000 each and added an average of 3.7 full and part-time jobs per firm.

The business incubation industry is experiencing unprecedented growth. Today there are more than 900 business incubators in North America, up from 12 in 1980. For-profit incubators recently began opening at the rate of nearly four per week. Many serve as vehicles for owners' investments in a portfolio of companies.

Business Incubation is an economic development best value. For every $1 of estimated annual public operating subsidy provided the incubator, clients and graduates of NBIA member incubators generate approximately $45 in local tax revenue alone. NBIA members report that 84 percent of incubator graduates stay in their communities and continue to provide a return to their investors. Publicly supported incubators create jobs at a cost of about $1,100 each, whereas other publicly supported job creation mechanisms commonly cost more than $10,000 per job created.

NBIA estimates that North American incubator clients and graduates have created approximately half a million jobs since 1980. That is enough jobs to employ every person living in Denver, Colo. Every 50 jobs created by an incubator client generate another 25 jobs in the community.

Business incubators serve a variety of communities and markets.

• 40 percent of incubators are technology focused; 30 percent are mixed use, accepting a wide variety of clients; and the remainder focus on service, light industrial and niche markets or on assisting targeted populations.

• NBIA estimates that 75 percent of incubators are nonprofit and 25 percent are for-profit. 45 percent are urban, 36 percent are rural and 19 percent are suburban.