Discover the inner workings of a startup incubator, from ideation to funding and growth. Uncover the secrets to startup success in this insightful blog.

1. The Anatomy of a Startup
Incubator
What is the startup incubator of today? It is a safe space for uncertainty. An
incubator is no longer concerned only with doling out advice on Porter’s five
forces or providing connects to Softbank’s Vision Fund or offering AWS credits.
It does all of the above because that is the minimum expectation. But it does
(or is supposed to do) something more. It needs to cater to those with ideas
and to those with the money to bankroll ideas while actively testing the
known unknowns and unknown unknowns of business growth.
Entrepreneurs should not require incubation. Having an innate desire to
convert an idea into a sustainable business that a large number of people
admire and actually making it happen is a great feat. And so many people do
it. But not everyone gets to the zenith – most remain small. So, what gives? It
is a mix of mindset, skill, timing, network, money, market need, luck, and many
more factors. In other words, there is extreme uncertainty. So much so that
willingly choosing the life of an entrepreneur is akin to masochism. Unless
they (the entrepreneur) are one of those people who tries out everything under
the sun by themselves, they choose external help. They seek refuge in a place
that understands, appreciates, and helps overcome uncertainty while making it
look cool.
Investors need entrepreneurs and not the other way around. Because having
money can be due to inheritance, but pursuing that one game-changing idea
to its fruition requires a unique creative madness. Venture capitalists have
narrowly defined theses – this is to help them find such creative genius
diamonds amidst many ordinary rocks. Meanwhile, corporate investors need a
lab to experiment with inter- and cross-disciplinary ideas that are too wacky
to be carried out in their own innovation departments. And philanthropic
donors appreciate an outlet at arm’s length, which lets them systematically
roll out interventions that alleviate poverty or increase the standard of living.
Most funders can do by themselves many things that an incubator does for
them. Yet, they turn to this semi-permeable membrane because they get an
osmosis of quality solutions.

2. We live in a world grappling with multiple crises: a pandemic that is still
around, a reckless war, a likely global recession, and the runaway train called
climate change. Sustainability no longer remains a buzzword and diversity &
inclusion are not just feel-good elements. They are at the core of the startup
incubator of today. When it addresses the challenges of its immediate
surroundings or contributes to the nation’s infrastructure or helps overcome a
global emergency, today’s incubator becomes greater than the sum of its
individual parts. It also creates entrepreneurs who can solve for the future.
What will the startup incubator of tomorrow look like? It will carry a digital
avatar that allows hyper-experimentation of all unknowns to every human
being in any corner of the globe, without the pre-requisite of institutional
credentials, prior experience, or socioeconomic status. The only requirement?
An obsession.
– Sanchit Waray, AVP Insights and Analysis, NSRCEL
Content Source: NSRCEL, best startup incubators in india