What is a Small Business Incubator and what does it do?

How much does it cost to discuss my business questions with a LBIA counselor?

I need money to start a business. Can the LBIA help me in securing financing?

Are there grants available for small business owners?

One of the more popular techniques to help entrepreneurs and start-up business firms survive their early years and grow and prosper in the community is the small business incubator. The small business incubator is a physical facility, which provides various sizes of offices or office suite, warehousing and manufacturing space, common loading docks, shared board/meeting space, kitchen facilities and a common reception area. The incubator provides a receptionist to greet visitors and to assist tenants in using a shared copier, fax, and audio-visual equipment and often times computers. The incubator manager assists tenants in preparing business plans, securing financing, business counseling and management advising. Tenants are expected to graduate from the incubator within a reasonable time frame to allow others to use the service. The incubator recoups costs by charging reasonable lease rates and fees and charges for the use of specialized services and equipment. Use our convenient locator map to find an incubator near you.
Back To Top

Nothing! The information, management counseling, and technical assistance services of LBIA's professional staff are provided at no charge.
Back To Top

The LBIA staffs and administrators keep up-to-date on what financing programs are available. These programs serve a variety of borrowing needs and can assist both new and existing businesses with access to financing. The staff of LBIA can answer questions about specific programs and program eligibility requirements, and can offer suggestions about other state or federal loan programs that may be applicable. Because most programs require the participation of a commercial bank, new business owners are encourage to speak with their commercial bank, many of which already participate with LBIA programs, to review their business plan and to discuss their request for financing.
Back To Top

Almost never. While certain publications have perpetuated the myth of "free money", the reality is that 95% of new businesses are financed with personal funds (savings, family, and friends) and loans. So, if you are serious about starting and growing a viable business, you must be resourceful enough to capitalize it without "fantasy" money.
Back To Top

The kind of financing most entrepreneurs seek through commercial lenders is debt financing. Most banks provide debt financing for existing and start-up businesses. Banks vary substantially in their lending practices. While one bank may decline your loan application, another may be willing to take a higher risk or be interested in lending to small businesses. It is advisable to understand a bank's lending guidelines before applying for a loan. The general guidelines that would enable a lending officer to at least make an informed decision regarding your loan proposal are as follows: consideration of the business idea, usually explained in a business plan, collateral down payment (or equity in an ongoing business), credit history and personal financial net worth, management ability, ability to repay the debt, and conditions of the economy and/or market area.
Back To Top

Flexible space. Production units contain well-lit, heated/cooled workspaces. The building is designed to afford low-cost space that can be tailored to your business or production needs.
Professional support. The business incubator is structured to offer on-site management assistance as well as management resource network of professionals in the areas of research, marketing, manufacturing, finance, distribution, and more.
Business Success. The options available through incubator programs can greatly improve a small business's chance of survival. Over 90% of small businesses fail within the first few years of operation, while incubator graduation businesses have a 70% success rate.
Back To Top

Yes, the purpose of the Business Plan is to ascertain the company’s capabilities (or potential) for establishing and managing a profitable business. Included in the plan should be the aspects of marketing, financial, management, technical etc. Incubator staff can provide assistance in developing this plan. For more information regarding business plans and to see a business plan sample, visit our "Downloads" area.
Back To Top

If you do not have a business plan but do have a viable idea or product, we will work with you. Our counselors and staff will work with you to develop a business plan and your presentation so as to submit your application to the incubator.
Back To Top

Eligible candidates wishing to enter the Incubator program may initiate the process by submitting a formal application. Included in the application process will be the submittal and review of a Business Plan. To get started, please use our convenient locator map or Member list to locate and contact an incubator in your area.
Back To Top