Kreo tn2 Karlsruhe, Rhône Alpes, Emilia-Romagna and Oxfordshire Thematic Network for the Support of Innovative Companies

6.1Structures from Karlsruhe

In the Karlsruhe area, the selected initiative mainly focuses on the support to potential entrepreneurs in particular in the business idea definition phase. In addition, KEIM has developed an integrated support path – on the basis of which several types of targeted schemes have been implemented in addition to the starting offer defined in KEIM’s project phase – starting from raising awareness on entrepreneurship up to supporting start-ups in their development process.

6.1.1KEIM⁴

KEIM, Karlsruhe Start-up Impulse, is an initiative for the development of entrepreneurship culture within higher-education institutions. KEIM aims at increasing knowledge spill over into the economic system. It aims at exploiting the business potential of ideas and the entrepreneurial potential of human resources within higher-education and research institutions, in order to increase the number of innovative start-ups and create new jobs.

The initiative is based on the synergic collaboration of local Universities and higher education institutes, local authorities and entrepreneurial associations. In fact, the consortium KEIM e.V. gathers the University of Karlsruhe, the Higher Education Institutions of Karlsruhe and Pforzheim, the Karlsruhe Research Centre, the Karlsruhe Technology Association, the Municipality of Karlsruhe, and the Karlsruhe Chamber of Commerce and Industry. Such synergy aims at reducing brain drain of the highly qualified graduates into bigger cities, offering to potential entrepreneurs consultancy and a friendly environment to develop their business ideas locally.

KEIM process includes several phases starting from awareness creation to setting up of a business incubator dedicated to university start-up of Karlsruhe region.

Over the period 1997-2004, 205 start-ups have been successfully supported in the framework of KEIM. Only 3 of these have become insolvent and 16 foundations were given up. Another 3 companies were sold. 44 of the founders involved in these 205 start-ups originate from the Karlsruhe University of Applied Sciences.

6.1.1.1Main origin of funds

KEIM is exclusively funded with public resources from several sources. KEIM was created in 1997 with funds provided by the Federal Ministry of Education and Research (BMBF), being the winner of one of the 5 grants allocated by the programme "EXIST – University-based start-ups". EXIST will provide funds until the end of 2005. Along the years, however, KEIM carried on specific projects on funding provided by other European and national programmes, e.g. PAXIS, EXIST SEEDS for financing start-up projects, etc.

6.1.1.2Target enterprises

KEIM has no sectoral focus; it targets individuals and business ideas. In particular, target individuals are: students, research personnel (employees, professors) as well as higher-education graduates employed in trade and industry due to their high-quality education, aiming at supporting potential entrepreneur individuals, early stage university spin-offs.

6.1.1.3Links with the research base

Links with research are high: KEIM is part of federal programme "EXIST – University-based start-ups" and the KEIM initiative was proposed and is implemented by the University of Karlsruhe. Students and researchers are also the main target beneficiaries.

6.1.1.4Project development

KEIM main activity is to raise awareness on entrepreneurship among their target beneficiaries as well as support project holders in the idea definition and first starting-up phases. In particular, KEIM has developed several integrated projects in support to start-ups, e.g. ideas talent and technology scouting, support services and competitive awards for project planning, fund raising and financing, mentoring, ICT based infrastructures, etc.

6.2Structures in Rhone-Alpes

Three different structures have been studied in Rhone-Alpes: two “incubateurs” dedicated to “ante-creation” projects and one structure for advanced business projects or enterprises at an early stage.

6.2.1CREALYS – Incubateur Rhône-Alpes Ouest⁵

Set in 1999 in the frame of the Allègre Law for innovation, CREALYS is one of the 30 “incubateurs d’entreprises innovantes liés à la recherche publique” (business incubators for innovating enterprises linked to public research), set up with the contribution of the French Ministry for National Education, Higher Education and Research.

Located near Lyon, CREALYS support business project holders originating from the western part of the Rhône-Alpes region.

Since 1999, CREALYS has detected more than 300 creators of company, 118 projects have been selected and 58 have been set employing more than 300 people in total.

6.2.1.1Main origin of funds

CREALYS is 100% financed with public resources from national (the Ministry of National Education, Higher Education and Research), regional and local sources (Rhône-Alpes Region, Grand Lyon which is the Agglomeration community set for the Lyon area and others).

6.2.1.2Target enterprises

CREALYS has no specific sector focus even if business projects should on a one hand have a high technology content and, on the other hand, be linked to public research laboratories present in the CREALYS’s action area.

6.2.1.3Links with the research base

CREALYS detects, evaluates and supports business starting-up projects (linked to public laboratories) hold by students, researchers and teachers in higher education establishments or research organisations.

Members of CREALYS include universities ( Claude Bernard University, Lumière University, Jean Moulin University all located in Lyon and Jean Monnet University in Saint-Etienne), “grandes écoles” (Ecole Normale Supérieure de Lyon, INSA - National Institute of applied sciences, Polytechnic Institute of Lyon, Management School of Lyon, INRETS - National institute of research on Transports and their safety, ENTPE Lyon - National school of public building of the state, ENI Saint-Etienne - National school of engineering) and public research organisations (CNRS - National centre for scientific research, INSERM - National institute of healthcare and medical research, INRA - National institute of agronomic research, Cemagref - Institute of research for agribusiness and environment).

6.2.1.4Project development

CREALYS provides support in the definition of the business idea, the drawing-up of a business plan and the first stages of the established start-up. In particular, CREALYS help beneficiaries in the elaboration of their company project, especially as for organisational, legal, industrial and commercial aspects, as well as for the recruitment of the business management.

6.2.2GRAIN - Grenoble Alpes Incubation⁶

Set up in April 1999, GRAIN is one of the 29 “incubateurs d’entreprises innovantes liés à la recherche publique” (business incubators for innovative enterprises linked to public research) set up in the framework of the “Allègre Law” on innovation, with the contribution of the Ministry for National Education, Higher Education and Research.

GRenoble Alpes INcubation (GRAIN) is a public incubator whose purpose is to encourage the creation of innovative high technology start up companies. It accompanies projects either linked to, or coming from, public research institutes.

Based in Grenoble, GRAIN’s area of influence extends along all the Eastern Rhône-Alpes area.

At the end of 2004, GRAIN had 73 projects incubated, 39 of which have been converted into start-ups employing 180 people, 14 projects were stopped during the incubation period, the rest being still on incubation at Grain.

6.2.2.1Main origin of funds

GRAIN is exclusively funded with public resources coming from national sources (the Ministry of National Education, Higher Education and Research), regional sources (Rhône-Alpes Region) and local sources (County of Isère, City of Grenoble and Grenoble Alpes Métropole which is the Agglomeration community set for the Grenoble area).

6.2.2.2Target enterprises

GRAIN has no specific sector focus even if it gives support to business projects with a high technology content - mainly developed in a research institution - selection criteria being as follows: the project should (1) integrate a proven technology coming from public research laboratories, (2) propose innovative products or services, (3) prove to be economically viable and (4) have a high growth potential.

6.2.2.3Links with the research base

GRAIN is a structure that detects innovative business projects and support individuals wishing to create a start up company.

These projects must be linked to public research as follows: either the technology must come directly from the public research or it must be closely linked to it.

This means that the people with the innovative project integrate technology coming from public research into their project. GRAIN's role is to facilitate the link between both parties.

GRAIN founding partners are top level research institutions present in the Grenoble: the Atomic Energy Commission (CEA), the French National Scientific Research Organisation (CNRS), the National Polytechnical Institute of Grenoble (INPG), the scientific University Joseph Fourier (UJF) and the social sciences University Pierre Mendès France University (UPMF).

In addition, other higher education and research institutions have become associated partners of GRAIN: Savoie University, Language and Literature University Stendhal Grenoble, French National Institute for Research in Computer Science and Control (INRIA), research centre on agricultural and environmental engineering Cemagref.

6.2.2.4Project development

GRAIN is dedicated to projects at a very starting phase. GRAIN detects business ideas with a good potential from the research base and supports projects holders with the definition of their project to create a start up company.

6.2.3NOVACITE

Set in 1988 by the Chamber of Commerce and Industry in Lyon, Novacité has become in 1991 CEEI Novacité (Centres Européens d'Entreprise et d'Innovation) i.e. one of the 160 Business Innovation Centres set with the contribution of the European Commission (DG XVI – Regional Development) for supporting new entrepreneurs with innovative projects.

CEEI Novacité is a traditional business incubator that supports those projects that are entitled to receive the «Novacité label» with a series of services mainly supplied by the personnel of the Industry Department of the Chamber of Commerce and Industry in Lyon.

Services are delivered for the setting-up of enterprises as well as to recently established companies over their first three years of activity. Services include access to training and specialised consultancy, logistic support, networking with key partners, personalised coaching etc.

In particular, Novacité has defined an interesting 4-step pathway beneficiaries can go through: (1) Reception of potential beneficiaries; (2) Project Validation – through a follow-up service, including project pre-diagnosis service, possible market segmentation, access to possible financial sources, access to regional expertise; (3) Project Label – those projects selected by the “Labelling Committee”, gathering together experts from different key regional organisations, are entitles to use the Novacité label which may help in the enterprise starting-up activities; (4) Assistance – those projects with the Novacité label have access to different types of support including access to office/lab space in partner structures, personalised follow-up, specific training, access to public or private financing sources, access to diagnosis and enterprise follow-up tools.

Since 1988, Novacité has supported more than 200 enterprises which have directly created over 1000 new jobs mostly in the Rhône-Alpes region (95% of enterprises have been established in Rhône-Alpes).

6.2.3.1Main origin of funds

CEEI is mainly financed by Grand Lyon and the Rhône-Alpes region and it has access to EC financing on a project basis.

6.2.3.2Target enterprises

CEEI Novacité defines itself as a “traditional incubator” which supports business projects based on the supply of “products or services responding to effective market needs, exploiting emerging technologies but not necessary based on a high-tech innovation”⁷.

Enterprises entitled to use the Novacité label are selected according to the following criteria:

• 
  initial market position ensuring good potential development to the company
  
• 
  technical quality of a three years business plan
  
• 
  commercial and managerial competencies of management team
  

6.2.3.3Links with research

No link with research institutions are officially established. Indirect links exist in several ways: (1) researchers and higher education structures are involved in the “labelling committee”, (2) Novacité has very tight links with CREALYS, the incubator that support business ideas emerge from public research institutions and labs located in the western part of Rhone-Alpes.

6.2.3.4Project development

On the basis of a 3 years business plan, CEEI NOVACITE selects both business projects before the setting-up of the enterprises (up to 6 month before the establishment) and enterprises set in the last two years. Support is provided in the enterprise starting-up phase over a one to three years period.