Practitioner’s Handbook
Entrepreneurship & Incubation
The complete handbook to start-up support programmes offered by the Namibia Business Innovation Centre.
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Creative Commons This handbook is protected under a creative commons licence. It may be reproduced for educational and non-commercial purposes provided the source is acknowledged.
Welcome A home for entrepreneurs Back in 2009 support structures for startups were virtually non-existent in Namibia. This prompted the Polytechnic of Namibia and some international partners to initiate the country’s first centre for the promotion of innovation and entrepreneurship, which came to be known as Namibia Business Innovation Centre, short NBIC. Ever since, a dedicated team has managed to build a successful organisation that means home for many entrepreneurs from Windhoek and around Namibia. NBIC prides itself in outside-the-box thinking that challenges the status quo and blazes a trail for entrepreneurs to succeed. Ours is a nondiscriminative environment where people from all walks of life mingle, interact and support each other for the benefit off all.
While of course much needs to be done and by definition an innovation centre will never be at a stage of perfection, this unique environment and the services we offer at NBIC have made a difference in the lives of many entrepreneurs. As we branch out into other parts of the country to live up to our role as a national centre, this is a fitting point in time to reflect on our successes and failures and to share them with other practitioners in Namibia and further afield. May the information provided inspire you to build your own entrepreneurship support structures and make better mistakes tomorrow.
Bernhard and the E&I team. Online resources and further info _ This handbook is also available to the public online at the NBIC publication repository issuu.com/nbicnamibia/docs/ entrepreneurship The author can be reached via b.rohkemper@gmail.com NBIC is available for your comments at nbic@polytechnic.edu.na or www.nbic.org.na _
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Contents
1 NBIC in a Nutshell
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History Departments and expertise Key partners Innovation Village
04 05 06 08
2 Entrepreneurship
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The E&I approach Staffing and finance Business support services CSR for entrepreneurs Product development services Outreach
10 11 12 20 21 22
3 Incubation
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Physical incubation Virtual incubation Coworking Global Business Labs
24 25 26 27
4 Experience
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5 Success factors 5 Challenges Outlook
28 29 30
5 Our Entrepreneurs
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1
NBIC in a Nutshell
History 2009/10: Early days NBIC started its operations in a small office at the Polytechnic of Namibia in 2009. Not surprisingly, most attendees at NBIC events - at that time mostly in the areas of idea creation and creativity - were Polytech students that responded to NBIC ads around campus. With its signature colours, bright orange and blue, and unique offerings, NBIC quickly managed to attract young people. With much support, especially from the German and Finnish governments, NBIC was able to expand its offerings into the area of entrepreneurship support, making use of existing service providers. As well in 2010, a local General Manager was hired to oversee operations, NBIC moved to its own building off-campus, and an influx of international staff and volunteers aided the formation of the Innovation Marketplace (I’M) and Entrepreneurship & Incubation as separate departments within NBIC.
2011/12: Fast forward With rising demand and a firm commitment of the Polytech to sustain its support for NBIC, the centre quickly outgrew its physical space and moved to two other houses, which formed the nucleus for Innovation Village, complete with training room, coworking space, a small incubator office and much outdoor space. In 2011 NBIC’s third department, Research & Development 4
focusing on product development, social media and mobile applications - was formed. At the same time, entrepreneurship services were expanded and, thanks to more staff, could be internalised to a large extend, resulting in a closer interaction with entrepreneurs from all around Namibia. Additional support was hired in form of marketing, events and administration professionals. Plus, a number of local und international interns and volunteers have been keeping NBIC abuzz ever since 2011, contributing fresh ideas and manpower.
2013 and beyond: Consolidation Now, with its core departments being in place, growth of NBIC has naturally slowed down, although new services are still being added were necessary. However, rather than starting completely new strands of work, the coming months and years will be more about increasing quality and nationwide reach, bringing NBIC to the people. Growth of the NBIC team 2009 to 2012 _ counted at year end > 2009 > 3 > 2010 > 7 > 2011 > 12 > 2012 > 18 > 2013 > 16 _
Entrepreneurship & Incubation at NBIC
More about I’M and R&D Learn more about other exciting NBIC services outside of Entrepreneurship & Incubation. The NBIC website gives you all the info you need, including an up-to-date calendar.
Departments and expertise Overview NBIC mainly works within three areas, which are closely linked but have their specific focus, needs and organisational structures. These three pillars have grown organically, starting with Innovation Marketplace to attract innovators and entrepreneurs, moving to Entrepreneurship & Incubation to give business support for start-ups, and being complemented by the R&D department to offer assistance in product development. NBIC pillars at a glance _
I’M
Ideas
E&I
Business
R&D
Products
Innovation Marketplace To help people to depart from business as usual and try innovative and sustainable ways of doing business with a wider positive impact on the country, I’M facilitates workshops that teach creativity techniques and broadcasts interesting new business models from near and far. At the same time, I’M
encourages people to act more entrepreneurial in whatever they do.
Entrepreneurship & Incubation Once clients have chosen a start-up career as their path for the future, E&I is there to impart the necessary skills around market research, business planning, starting and growing a business. The approach is discussed in depth in this handbook.
Research & Development Most of the time, business skills alone don’t make a successful business. Product development, production and quality management skills are just as important. The R&D department assists entrepreneurs and SMEs to up the game in this regards. Whether it’s a mobile app or a new label for your locally produced oil, R&D is ready to help. Completing the picture: Art at NBIC _ Around the world, artists give expression to the flaws in the status-quo of their surroundings and challenge common beliefs. They are important ambassadors for creative thinking and innovation. NBIC supports Namibian artists by showing their works in changing exhibitions at Innovation Village, encouraging the fruitful interaction between society, business and art. _
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Southern Africa Innovation Support Programme (SAIS) The Finnish government has initiated a programme to build national and regional innovation systems where entrepreneurs can flourish. SAIS is headquartered at NBIC Innovation Village.
Key partners NBIC in perspective Even in the Namibian context with slightly more than 2 million inhabitants and especially given its broad mandate to function as a national innovation centre, NBIC does only have a small team to fulfil its tasks. Hence, strong partnerships with different stakeholder groups are crucial to NBIC’s success. Although still a young organisation, NBIC has over the past three years managed to build an extensive network in Namibia, in the region and overseas, especially Europe.
Academia As part of the Polytechnic of Namibia, NBIC does rely heavily on core funding from its parent organisation to cover personnel and infrastructure costs. Beyond this, the regional network of Polytech centres as well as UNAM (University of Namibia) branches around the country offer a perfect launch pad for bringing NBIC services to other cities and towns. Furthermore, students from all academic institutions form an important pool to recruit entrepreneurs and interns.
policy. It this sense, the government is a key partner to implement the necessary policy frameworks to create a more positive and supportive landscape for innovation and entrepreneurship in Namibia.
Business As the Namibia BUSINESS Innovation Centre, NBIC regards the local and international business community, from small entrepreneurs to big corporates as its main stakeholders. While many other partners are crucial to create an innovation and businessfriendly environment, it is businesses that are the ones that make innovation happen. A number of successful Namibian companies are key sponsors of NBIC activities, esNBIC in the Namibian innovation system _
Acad
Indiv
Gov
Biz
NBIC
Government The government of Namibia has, via its National Development Plans (NDPs) mandated NBIC to act as custodian of innovation in Namibia and monitor the progress of implementation regarding Namibia’s innovation
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Civil
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Intl
International Association of Science Parks (IASP) Finding the right international partners to collaborate with is not difficult. Just join the right networks, such as the global IASP network, providing plenty of inspiration and know-how.
pecially when it comes to entrepreneurship support. In return for their monetary and inkind contributions, those companies are exposed to exciting new entrepreneurs and the wider innovation realm. NBIC and its start-up entrepreneurs give important input on business and product innovation to large companies, resulting in a win-win for all.
International community Many NBIC services that are now being financed locally or even generate an income for NBIC were at one point in need of kickoff funding, be it through money or staff. Much of this initial funding has been provided to NBIC by international development agencies such as GIZ, SIDA, the EU and UNDP. These long-term partnerships were crucial during NBIC’s start-up and growth phase and are a most successful example for international development done right.
The NBIC Advisory Board _ To seek strategic guidance on its operations and service portfolio, NBIC has established an Advisory Board early on. The board, mostly made up of executives, meets once every quarter to discuss latest developments and challenges. In this regard, it is advisable to limit the number of member to about ten potent ones from the onset for efficient decision making. _
NBIC’s current main sponsors _
Civil society Civil society partners and their networks, such as NGOs and cooperatives, enable NBIC to reach especially people in rural areas. They are important multipliers to disseminate and collect information for NBIC.
Individuals Last but not least, NBIC does rely on many committed private individuals that volunteer their time and expertise, be it as mentors for NBIC clients or as promoters of NBIC and its mandate in Namibia and abroad.
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Namibia’s creative capital Space matters. Find more inspiring places around Windhoek with our city guide: issuu.com/nbicnamibia/docs/windhoek
Innovation Village Plan of NBIC Innovation Village _ corner of Gluck and Brahms St in Windhoek West
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Entrepreneurship & Incubation at NBIC
More ideas to create community: iwishthiswas.cc beforeidie.cc
How to create community
Food for thought
At NBIC, we don’t believe in putting up a huge building and simply renting out space to entrepreneurs. With us, training and skills development always come first. That being said, the right built environment that encourages interaction and makes people feel comfortable is a very important contributing factor to our and our clients’ success. NBIC moved to its Innovation Village in 2011, which back then was merely a few adjoining residential properties in Windhoek West. Ever since, a transformation has taken place that saw the single plots consolidated into one mini-campus. Here, offices, incubation space, training facilities, our volunteer-in-residence flat and outdoor areas for lunch breaks and functions create an inspiring mix of functions. It really is an integrated approach to living and working, as opposed to bland single-use areas.
At the heart of Innovation Village lies the Innovation Café, a place for staff, entrepreneurs, partners, visitors and the public to mingle. It is an extension of our incubator and run by one of NBIC’s entrepreneurs with an emphasis on local products and produce to showcase innovative takes on traditional Namibian cuisine. It also functions as an in-house caterer and venue for events.
A village for all By now, most of NBIC activities are hosted at Innovation Village, cutting cost for trainings and events. When not in use, facilities are rented out to third parties and generate extra income. This way, NBIC maximises use of its assets and allows other organisations to benefit from its beautiful premises and inspiring environment. NBIC has also invited some of its partner organisations top set up shop at Innovation Village, creating additional value for clients and simplifying communication.
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Entrepreneurship
The E&I approach It’s your business, so DIY The most important cornerstone of NBIC’s start-up support is our approach to enable entrepreneurs to do the work themselves rather than doing it for them. We don’t want to create as many businesses as possible that then collapse in the near future, because of a lack of drive, skills or perseverance. How is a young entrepreneur supposed to implement a business plan written by others, based on research done by others? All our entrepreneurs know that they have a strong partner in NBIC, but that they are the ones running the show.
Training, mentoring and networking We at NBIC know that we ask a lot of our entrepreneurs. This is exactly why we want to give them the best support possible. We provide a mix of structured trainings and mandatory as well as ad-hoc mentoring, all backed up by plenty of platforms to network and showcase one’s new business. If our entrepreneurs are keen and pro-active, they can harness our wide range of tools to their advantage. For example, preparing a business plan in the BootCamp does not only leave entrepreneurs with a foundation for business but at the same time allows them to enter our Business Plan Competition with a good chance to win start-up capital. And with the media craving good stories about
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energetic entrepreneurs, winners will gain considerable attention and free marketing, plus a good amount of invitations to speak at high-profile events.
A long-term partnership As we don’t provide quick-fix solutions to start-up teething problems and refrain from paternalising our entrepreneurs, we offer them a long-term partnership by walking with them all the way from idea to incubation and beyond. That way, start-ups can work at their own pace and to their best abilities, putting quality above quantity.
Innovative approaches We don’t only encourage our clients to be innovative but also challenge ourselves to do things differently all the time. As one of the first and still very few organisations worldwide, NBIC especially promotes CSR and inclusive business models as an innovation tool for entrepreneurs and SMEs. E&I support at a glance _ Mentoring Idea
Research
Plan
Networking
Entrepreneurship & Incubation at NBIC
Setup
Incubation
Brainstorming and decision making tools that make life easier for you and your team Schedule and event, do a poll, organise a bring-and-braai: doodle.com Collect ideas, discuss, and find everyone’s favourite: tricider.com
Staffing and finance Do more with less At any given time, the Entrepreneurship & Incubation team had, has and will most likely always have no more than five team members, only three of which are full-time employees. Still, thanks to properly defined responsibilities and decision-making powers, the E&I output is considerable, with 35 events and 600+ participants in 2012 alone. A flat hierarchy and regular meetings are key factors to make the department work. While the E&I Manager develops new products and partnerships and oversees the pillar’s budget, the two officers implement projects within the core areas, entrepreneurship and incubation. Thanks to its young team, interesting projects and cutting -edge approaches, NBIC also finds it easy to attract volunteers and interns from Namibia and abroad, who provide important manpower and new ideas to the core team. This E&I organisational structure _ Manager E&I Officer E
Officer I
Volunteer
Intern
Outreach
is an invaluable support. In return, interns gain experience with working at an innovation centre. They normally also receive a pocket money of N$20 per hour.
Towards a finance mix Over the past years and months, E&I has managed to diversify its finance base away from relying exclusively on the Polytech budget. Especially E&I activities, such as the Business Plan Competition, the Entrepreneurs Circle and our outreach, are now to a large extend covered through either sponsorships from industry, cooperation with international organisations, or incomegenerating activities. Those three contributed 63 percent to the total E&I activity budget of N$370,000 in 2012. While external funding for new buildings could also be acquired, E&I and indeed the whole of NBIC still rely almost exclusively on the Polytechnic of Namibia to finance its staff base.
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Business Model Canvas Not everyone needs a full business plan. Yet, planning is indispensable. That’s why NBIC also makes use of the business model canvas to assist start-ups with their business concepts.
Business support services BootCamp The BootCamp is one of the E&I and indeed NBIC flagship programmes. It combines training, mentoring, exposure and networking and assists entrepreneurs all the way from their idea to starting their company. While the entire BootCamp is organised by NBIC and the central business planning unit is facilitated by NBIC staff, for most sessions partners and mentors come on board, both on a contractual and pro-bono basis. This mix allows NBIC to offer the BootCamp at a minimal cost, while maintaining quality. The cost per BootCamp participant (excluding HR cost by NBIC) is roughly N$8,000. At the moment, NBIC charges N$500 per participant, but this rate will increase to be in line with inflation and improved demand. However, NBIC will most likely expand other income-generating activities to crosssubsidise the BootCamp, rather than increasing the participant fee to market rate. After all, NBIC was founded to provide support to those individuals who cannot afford existing services for established SMEs. The BootCamp is offered twice a year for about ten start-ups (or 15 people) each. Sessions are spread over two to three months with plenty of time for mentoring and for the entrepreneurs to work on their tasks. A small playbook with suggestions, tools and space for notes guides facilitators
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and entrepreneurs through the following sessions of the BootCamp. > Idea generation and assessment In cooperation with the Institute for Management and Leadership Training (IMLT), NBIC offers a number of two-day workshops on idea creation and idea assessment. The workshops are open to the public and are organised by the I’M department. During the first day of the workshop, participants learn how to apply creativity techniques to develop new product and service ideas that give them a competitive edge vis-à-vis existing companies. On the second day of the workshop, usually a week later, participants reconvene to assess their ideas regarding market opportunity, innovativeness, viability, skills and sustainability, and to identify the most promising of their many ideas. From our experience, this narrowing down of many to one idea is a very important, yet extremely difficult tasks for participants. UnCommon Business _ NBIC encourages entrepreneurs to constantly forge ahead of their competitors. Our colourful UnCommon Business booklet provides plenty of ideas how to give your business a new twist. _
Entrepreneurship & Incubation at NBIC
Social media marketing Check out the NBIC Facebook page: facebook.com/NBIC.Namibia
> Entry pitches To enter the main part of the BootCamp, interested participants in the idea generation and assessment as well as other entrepreneurs are invited to pitch their rough ideas to a panel of judges. Team members of NBIC and stakeholders from industry and academia have the opportunity to ask questions and will then rank the presented ideas and teams according to the criteria discussed in the idea assessment workshop. The ten most promising teams are then admitted to the next stage. The participation fee of N$500 only has to be paid at this point of entry into the BootCamp proper. > Market research Probably the most crucial preparation for any business venture is thorough market research to gain a full understanding of the business environment, capture and honour customer needs and have an overview of rival products and competitors in the market. Sadly, many entrepreneurs are so convinced of their business idea and their own abilities, that they forget to investigate any demand-side factors, squarely assuming that because their product or service is so amazing, everybody will naturally be a customer. At the same time, many entrepreneurs plan to venture into areas of business that they have no experience in and that they don’t understand, which leaves them bound for failure. Here is where the market research compo-
Marketing E&I services _ As the NBIC client base and stakeholder network have grown considerably, marketing of NBIC services has changed from costly advertising via posters and newspaper ads to more viral and affordable channels. Today, we rely heavily on third-party reporting, partner networks, peer recommendations and client testimonials. This way, communication about NBIC has gained more credibility and weight, compared to us shouting about our own successes. Social media: NBIC uses its Facebook page to inform people about upcoming events, to report on activities, as well as to get feedback from clients, fans and the public. Client testimonials: Whenever possible, we let our entrepreneurs talk. Through our network, we scout opportunities for them to present their business and share their journey with NBIC with other people. Networks: NBIC engages multipliers around the country to get word out about its services. Especially organisations with regional branches and representatives are vital for NBIC to extend its reach beyond Windhoek. Media coverage: Why pay for advertising space when coverage of upcoming or past events in local newspapers, radio and TV comes free of charge? Good media relations are a key asset of NBIC. _
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Mindtools for creativity Sometimes you need some good tools to help you think outside the box: mindtools.com
nent of the NBIC BootCamp comes in. During a one-day workshop, participants learn about research techniques, they identify relevant information and plan how and where to obtain this information, which will be the basis of their business plan. This day is jointly organised by IMLT and NBIC, combining the IMLT market research module and an additional input on the Sinus速 milieus to assist participants to develop a better understanding of different market segments in Namibia. After the training, BootCampers have two weeks to obtain all data and information. A mentoring session one week after the training allows NBIC to check on the research progress and gives entrepreneurs the opportunity to get additional help and input. Sinus速 milieu matrix for Namibia _ developed by participants
_
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> Business planning With the input from their market research, BootCampers come together for a full week of business planning. To minimise distractions and allow entrepreneurs to focus on their business concepts, this module takes place at a lodge 40km outside Windhoek. Understandably, this is the most costly module of the BootCamp, although fully facilitated and conducted by NBIC. However, earlier experience from a business planning module held in Windhoek on six consecutive Fridays did result in poor participation and lower business plan quality, prompting the change in setup. The week-long module is also much more convenient for participants from outside Windhoek, as it cuts travel expenses, which participants have to cover themselves, a lot. To give participants a head-start with their business plans, NBIC provides generic MS Word templates that contain the most common and important sections to be covered in a business plan. This template (as well the aforementioned playbook) is aligned with the input presentations and interactive sessions delivered during the week. Each topic (see box on page 15) is first introduced by the E&I team and then substantiated during group work sessions. Immediately after this, and before the next topic is introduced, participants have time to structure their notes and compile a rough write-up on the related part in their business plan. In doing so, participants are only
Entrepreneurship & Incubation at NBIC
Learn how to present from the best On top of it, TED talks also provide insights into a variety of exciting topics: ted.com
confronted with one topic at a time and don’t lose their ideas and concepts for any given section of their business planning. Energizers, evening activities and plenty of breaks ensure participants don’t lose steam and spirits are kept at a high all the time. Using this pattern, BootCampers elaborate on two topics/sections in their business plans per day. At the end of the week, the E&I team collects all business plans regardless of their stage of completion. Participants do then have two weeks to fill existing gaps, do additional research and elaborate on important parts of their business concept. A mentoring session after one week gives NBIC the opportunity to point at shortcomings of their current plans, while entrepreneurs can ask specific questions regarding their plans. Additional mentoring can be booked by entrepreneurs on demand and work on the business plan does normally continue throughout the remainder of the BootCamp. > Presentation skills To prepare BootCampers for their pitch to the wider NBIC audience, especially mentors and partners from industry, E&I invites a presentation and marketing specialist to share his/her expertise with participants on one evening during the planning week. Furthermore, all participants have to make multiple presentations at different stages during the planning week in front of the plenary to get used to public appearances.
Topics covered during business planning _ Products/Services What do you want to sell? Market Opportunity Where do you want to sell it? Competition Who else is in the market? Marketing Strategy How do you want to sell? Operational Plan What does your supply chain look like? Business Structure How is your business organised? HR & Management Who will do what? Financial Plan How does it all add up? Action Plan _ The NBIC business plan and financial plan templates are available free of charge from the NBIC website. Click here! Other useful templates can be found on the website of American organisation SCORE. _
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How to register a business in Namibia? Assist entrepreneurs by pointing them to this and other small booklet: NBIC Publications
> Business registration It’s disturbing to see that business registration in Namibia is still an unnecessarily tedious process that constantly lands Namibia embarrassingly low spots in international competitiveness rankings. While we hope that the Ministry of Trade and Industry (MTI) will go electronic soon and at best establishes one-stop-shops in cooperation with the Ministry of Finance (MoF), we at least try to provide our entrepreneurs with all relevant information on business registration options and procedures. This oneday workshop is being conducted in collaboration with representatives from MTI, bringing first-hand information to start-ups. > Business finance and pitches One of the most thorny and indeed feared issues when it comes to starting a business is start-up finance. While financial service providers claim that business plans submitted are of too low quality to justify loans or investments, entrepreneurs complain that hurdles are simply too high for young people with little collateral to be eligible. NBIC doesn’t provide finance itself but tries to bridge this gap between finance providers and finance seekers with its BootCamp finance day. During this day, external presenters from the finance sector give their expert lowdown on both loans and investments. In addition, NBIC provides ideas for alternative start-up finance options outside
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traditional channels to encourage a discussion and proper analysis of real versus perceived finance needs by BootCampers. In addition, financial service providers are invited to showcase their products for startups and SMEs during a finance marketplace on the same day. Presentations and marketplace are open to the public. The afternoon of the finance day is then dedicated to pitches by the current intake of BootCampers to the NBIC team, as well as invited experts from industry and finance representatives. The audience is encouraged, expected even, to give honest feedback and suggestions to entrepreneurs on their business concepts. At a closing reception at the end of the day, all stakeholders come together in a leisurely setting to mingle and network. For entrepreneurs, this is an additional opportunity to secure a meeting with one of the finance people or indeed any other industry expert present. Innovative ways to finance your start-up _alternatives to a loan > Cut out all the frills! > Buy second-hand instead of new > Grow organically > Use your own money, however little > Ask customers to pay upfront > Source money from the crowd _
Entrepreneurship & Incubation at NBIC
Source money from the crowd for your project or business kickstarter.com peerbackers.com
> Business simulation The BootCamp closes with a three-day business simulation facilitated by IMLT. Here, entrepreneurs take some time out from their own business ventures and apply their business skills to a fictitious surf board business. In teams of two or three participants, BootCampers compete with each other to build the most successful company. In this playful, yet demanding way, entrepreneurs get risk-free first-hand experience regarding the impacts of their business decisions on the bottom line. This experiential knowledge can then be transferred to and applied in their real-world companies.
Mentoring Throughout the BootCamp, regular meetings with NBIC mentors are key to keeping participants motivated and identifying issues early on so they can be sorted. In addition to these mandatory sessions , participants also have to opportunity to tap into Purpose of the NBIC mentor network _ for start-ups
for NBIC
know-how
networking
networking
clients
cooperation
sponsorships
NBIC’s external mentor network, which covers a range of specialised expertise from accounting to agriculture, which NBIC can’t provide itself. The NBIC mentor network currently consists of about ten people, mostly from industry, who volunteer their time to assist entrepreneurs on an ad-hoc basis. This relatively small network will be expanded and professionalised in future, although it will be difficult to do, as volunteering one’s time free of charge is not entrenched in Namibian culture and needs to be promoted or incentivised properly. Unfortunately, many entrepreneurs are reluctant to get in touch with members of the mentor network, even if contact details are provided. This calls for intervention and in some cases direct match-making by NBIC. It is also important that mentors and mentees get together at informal gatherings at an early stage. NBIC, for example, invites all mentors to attend various sessions during the first few BootCamp days. The mentorship approach in the end creates a win-win scenario. Start-ups obviously benefit from pro-bono expertise they would otherwise have to pay; mentors have the opportunity to be exposed to new business models and young people with fresh ideas; and the added advantage for NBIC is to have frequent interaction with mentors, who are often decision-makers in their respective companies, thus strengthening NBIC’s corporate partner networks.
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Entrepreneurs Circle database We’ve collected all presentations ever delivered at the EC: nbic.polytechnic.edu.na/entrepreneurs/ec/past-sessions
Business Plan Competition One of the highlights in the NBIC calendar is the annual Business Plan Competition. This format was launched in 2010 to encourage participants in the BootCamp and any other entrepreneur to create and finalise plans for their business ideas. Once submitted, business plans undergo internal and external judging with awards being handed over at a festive ceremony. Especially for the three winner, participation does pay off in the form of start-up capital of N$15,000, N$8,000 and N$5,000 respectively, all sponsored by Namibian corporates. It also results in valuable media coverage for their businesses. Most importantly so, winning the competition gives entrepreneurs renews energy and a sense of achievement, which helps them on their
start-up journey. Interestingly, two out of the three winners do start their company each year, compared to a general success rate of about 30 percent for all E&I clients. For NBIC, the competition is an important indicator regarding business trends and the quality of business plans.
Entrepreneurs Circle Probably the oldest and most proven format of the NBIC entrepreneurship support programmes, the Entrepreneurs Circle (EC) has been around since early 2010 and due to its accessibility has attracted nearly 1000 participants. The EC is an informal knowledge sharing and networking platform for startups and anyone interested in entrepreneurship. Sessions take place every second Wednesday at the NBIC Innovation Village from 1230 to 1400. No reservation is needed but the topic and speaker are norEntrepreneurs Circle stats 2010-12 _ > Total number of sessions: 40 > Total number of participants: 915 > Average number of participants: 23 > Number of unique visitors: 445 > Number of return visitors: 167 _
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Entrepreneurship & Incubation at NBIC
Go global with GEW Make your event part of Global Entrepreneurship Week in November unleashingideas.org
Some topics, including presenters and organisations, covered during EC sessions _ Company Registration Anna Husselmann, MTI Start-Up Finance Sam Ikela, FNB Namibia Social Media Marketing Tom Brouns, US Embassy
mally announced a week in advance via email to previous visitors and via the NBIC website and Facebook page for the public. Sessions normally begin with announcements by NBIC on news and upcoming events. Afterwards, the guest speaker gives an input presentation of approximately 30 minutes. This would be either an entrepreneur telling his/her business story or an expert sharing his knowledge. All guest speakers present on a pro-bono basis. This is followed by discussions and/or Q&A for another 30 minutes. The EC then closes with networking over drinks (and snacks if the budget permits, which would normally be less than N$500 per session). For NBIC, the Entrepreneurs Circle is a most useful, easy-to-organise, and inexpensive way to interact with entrepreneurs, impart knowledge, introduce new topics and facilitate networking and co-creation.
Leadership & Management Dagmar Honsbein, NBIC The Business Story of Xwama Twapewa Kadhikwa, Xwama CSR for Entrepreneurs Silke Feldmann, GCNN The DBN Innovation Fund Michael Humavindu, DBN The Business Story of Katutours Anna Mafwila, Katutours Branding Sanjay Korteweg, CORE Intellectual Property Rights Christian Toelg, NBIC _
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Happy Planet Index The New Economics Foundation ranks countries according to their experienced well-being, life expectancy and ecological footprint. Namibia ranks 96 out of 151 in the HPI.
CSR for Entrepreneurs A tool for business innovation NBIC encourages all its entrepreneurs do give their business that little something, which sets them apart from the competition and attracts customers. One tool that has proven particularly successful and useful to create more innovative business concepts is Corporate Social Responsibility (CSR). In conjunction with its BootCamp, E&I offers a special session on CSR during which entrepreneurs take a look at their business from different angles in a world cafÊ setup to see how they can do more for the environment, their employees and the communities they operate in. This way, entrepreneurs often identify new products, exciting add-on services, new ideas for cooperation or revenue streams that they hadn’t seen before. While large companies in Namibia still approaching CSR mostly from a charity perspective, this is not an option for start-ups notoriously short of cash. Entrepreneurs and small companies hence have to do CSR much more strategically and integrate it into their core business. As a reward, they can easily be ahead of the game and reap the benefits of their activities, while large competitors still issue cheques. Particularly local sourcing, involvement of community members in production and specialty retail with a focus on artisan and recycled products seems to be on the up in
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Namibia. All these are opportunities that can be identified by using CSR as a tool for innovation. In the end, this can have positive effects not only on start-ups (and small businesses) themselves, but also contributes to Namibia becoming a better place for all.
CSR for Entrepreneurs handbook _ To make life easier for both start-ups and practitioners, the Global Compact Network Namibia together with GIZ has developed a small handbook with a hands-on approach to CSR for entrepreneurs. Plenty of tools help you to implement your CSR activities along 5 easy steps. Also great as a basis for CSR workshops. _
Entrepreneurship & Incubation at NBIC
FabLab central Wanna know more about the global FabLab movement? Check here: wiki.fablab.is
Product development services
ucts. The proper alignment of business and product development support is under way.
Adding another dimension With the formation of the Research & Development Department at NBIC arrived the idea of complementing business development support for entrepreneurs with an additional set of tool in the area of product development. Apart from trainings and mentoring in the areas of social media and mobile applications, the flagship project in this regard is Namibia’s first FabLab. This fabrication laboratory assists private individuals, entrepreneurs, SMEs and established companies to develop, test and improve tangible products. To get the FabLab off the ground, NBIC was lucky to secure FabLab experts Kirstin and Bjoern Wiedow (see picture) as lab managers at the beginning of 2012. The dedicated team has been running product development, labelling and branding workshops throughout the year and will now introduce support in the form of actual prototyping machinery, such as laser cutters, 3D printers and embroidery machines. This second phase of the physical manifestation of the NBIC FabLab was made possible by generous support for building of a container structure by the German government via its implementing organisation GIZ. At the same time, the substantial building will also provide additional space for coworking and incubation, especially of start -ups developing and offering tangible prod-
Where it all started _ The global FabLab phenomenon has its roots at the Massachusetts Institute of Technology (MIT) in the United States. The first FabLab came about as a collaboration between the Grassroots Invention Group and the Center for Bits and Atoms (CBA) to explore ways of empowering communities with technological solutions. Today, more than 250 FabLabs around the world work together in a loose network that assists people to "Make (Almost) Anything". fab.cba.mit.edu _
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Centres for Open & Lifelong Learning As NBIC doesn’t have branches or facilities around Namibia, we tap into our network of partner organisations, such as Agra, NCCI and the Polytechnic’s COLL Centres.
Outreach Bringing support to the people After being mainly confined to the capital for the first two years of its existence, save for the odd appearance at trade fairs and youth expos, NBIC decided to venture into other towns and regions at the beginning of 2012. The conceptualised outreach programme for now looks at four main formats, namely the Entrepreneurs Circle (EC), trainings for EC members, online tools and templates, as well as a remote mentoring network. After an exploration tour to Namibia’s northern regions and a trial run of the Entrepreneurs Circle in cooperation with UNDP, the NBIC outreach entered a more substantial and structured phase with the arrival of a GIZ Junior Advisor in September 2012. As a cross-cutting function, the advisor works closely with all NBIC departments. > Entrepreneurs Circle Just as the Entrepreneurs Circle marked the beginning of NBIC’s entrepreneurship support in Windhoek, so does the EC represent our first touch point in terms of outreach into the regions. The format is currently being trialled in seven towns (Luderitz, Keetmanshoop, Swakopmund, Otjiwarongo, Opuwo, Ongwediva and Nkurenkuru) and it is hoped that at least four of them will institutionalise the EC as an ongoing format. Not only does the Entrepreneurs Circle bring
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together likeminded entrepreneurs to share ideas and motivate each other, but it is also a convenient platform for NBIC to disseminate information about national events, such as competitions. Furthermore, trainings and other support offerings can be tailored to local needs much better by getting input from EC participants. During an inaugural tour to launch the EC champions were identified in each town to spearhead, organise and run the EC on behalf of NBIC. In return, NBIC assists with marketing material, approaching speakers and logistics, especially providing free venues at partner organisations. The EC is held once a month in each town with NBIC staff visiting in person every three months to check on progress and challenges, deliver workshops (see below) and show commitment. Additional incentives to motivate and appreciate EC champions will be developed during the first half of 2013.
Entrepreneurship & Incubation at NBIC
Namibia’s premier start-up read When travelling into the regions, make sure to take along a stack of the SME Gazette. Check out current and back issues of this informative publication here!
> EC trainings In a second step after the Entrepreneurs Circle outreach, NBIC does not only want to motivate people to start their own business but will also offer hands-on support to do so. Hence, a number of trainings are planned in all seven towns to guide EC participants from idea to start-up. While sessions on idea creations and assessment have already been rolled out, a second round on business concept development is planned for Q2 2013, possibly followed by a workshop on either start-up formalities or product development in Q3. At the same time, participants in the idea creation workshops are encouraged to submit their ideas for the annual NBIC Business Plan Competition, which is open to all Namibians. > Online tools and templates As NBIC staff cannot offer constant support in the regions (though options of opening branches are being explored), an online and mobile repository of information for entrepreneurs will be build during 2013. This will include online tools and tutorials along the lines of NBIC’s presence workshops in Windhoek, such as Market Research and Business Planning. All interested entrepreneurs around the country can register for and use these templates in their own time and pace. Plus, a list of publications and templates will be available to make life easier for start-ups, especially when it comes to business plans, contracts and official forms.
> Remote mentoring Even with the Entrepreneurs Circle for meeting and exchanging ideas with other entrepreneurs and the online tutorials and templates for support, start-ups in the regions will be in need of regular one-on-one business mentoring as well as on-demand specialised mentoring. The option to call (or email) NBIC or one of its external mentors will be integrated into the online support platform. However, to cope with the additional traffic from the regions, new mentors need to be recruited. To ease the burden on NBIC’s Windhoek mentor network, the option of finding local mentors is also being explored at present. Broaden your reach with TEDx _ Created in the spirit of TED’s mission, "ideas worth spreading," the TEDx program is designed to give communities, organisations and individuals the opportunity to stimulate dialogue through TED-like experiences at the local level. TEDx events are fully planned and coordinated independently, on a community-by-community basis. ted.com/tedx _
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Incubation
Physical incubation Space matters The entrepreneurship and incubation support at NBIC has, for a good reason, so far mostly been about the entrepreneurship side of the equation. It was felt that emphasis should first be on supporting entrepreneurs in the pre-start-up phase. Due to space constraints, fully-fledged physical incubation is only happening in 2013. However, trials were embarked upon to find a suitable incubation system and identify needs of incubatees. Most crucially so, the incubation space at NBIC does feature comparably fast wireless Internet and fixed-line telephone connectivity that allows incubatees to professionally interact with their customers. In addition, the environment at the NBIC Innovation Village, including meeting/training space and the NBIC cafĂŠ, means that incubatees can have business meetings without renting additional space on a permanent basis. To become an NBIC incubatee, entrepreneurs have to apply and prove that their business is in operation. Entrepreneurs that went through the NBIC BootCamp or other NBIC formats are given preference over outside entrepreneurs. For the first six months, incubatees pay 1/3 of the market rate, 2/3 for the six months thereafter, and the full rate for a third (and last) period. This includes compulsory mentoring sessions with NBIC every two weeks.
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Services included in NBIC incubation _ > Office space with desk and chair > Storage space in office > Wireless Internet > Fixed-line telephone > Access to printer, scanner, fax > Mentoring (compulsory) > Preferred access to NBIC facilities _
Entrepreneurship & Incubation at NBIC
African Incubator Network Get in touch with and learn from other incubators around the continent. Find more information in the African Incubator Network here!
Virtual incubation Off-site support At the same time as NBIC is building its physical incubation support in Windhoek, we also explore additional options to reach many more start-ups around Namibia. One such option is of course to initiate a cooperation with existing and/or planned incubators, which so far mostly resemble real estate agents rather than incubators in the stricter sense, lacking structured training and mentoring support services. A second option, which will benefit both entrepreneurs located at NBIC and those all around the country, are virtual incubation services, which are location-independent. At the heart of this virtual incubator will be an online/mobile platform that a) provides tutorials and templates for trainings currently delivered by NBIC at face-to-face events, b) a database with publications and links to free/useful web-services, c) a peerto-peer networking platform for users to support and motivate each other (much like a virtual Entrepreneurs Circle), and d) access to a virtual mentor network via email, phone and/or Skype. As far as possible, this online version of NBIC will be closely intertwined with NBIC activities on the ground, e.g., by feeding videos of event onto the platform or inviting virtual incubatees to onsite trainings or mentoring at NBIC. In this regard, the local Entrepreneurs Circle chap-
ters will be a crucial asset, as they will not only allow NBIC to promote its virtual incubation offerings but also provide an opportunity for real-world meetings to users of virtual NBIC services. These services will mostly be free of charge but all users will have to register. This will allow NBIC to track up-take and obtain statistics on entrepreneurs and entrepreneurship from all over Namibia for advocacy purposes. NBIC can also suggest additional services to incubatees according to user patterns.
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Good reads for your coworking space Few things are more inspiring than up-beat stories about exciting new businesses. Think about providing Monocle, Fast Company or Entrepreneur Mag to your entrepreneurs.
Coworking More than incubation light Due to space constraints for incubation in which one, maximum two companies would occupy an office, NBIC decided to push the idea of coworking first. Apart from creating opportunities out of a dire situation of space limits at the NBIC Innovation Village, the concept of coworking goes together well with what NBIC stands for. We have been encouraging entrepreneurs and creatives to collaborate on their projects and ventures from day one and continue to do so with our networking formats and events because we think knowledge, network and idea sharing is key to business success. In this sense, adding coworking to the NBIC portfolio is a natural evolution and additional service to clients and outsiders. At our two small coworking spaces a total of eight people can be accommodated with a desk, chair and wireless Internet. To keep the coworking space as flexible as possible, tickets can be bought for wither a day (N$40) or week (N$160), but maximum a month (N$500) in advance. That being said, there is no limit on ticket renewals. In addition to the services formally included in a coworking ticket, clients of course also benefit from more direct exposure to NBIC events and activities. They also gain more easy access to stakeholders from industry and government who visit the Innovation Village.
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The Betahaus family of coworking spaces _ German coworking pioneers Betahaus started their first 2500sqm outfit in Berlin’s Kreuzberg district in 2009. Their winning mix of space, community and events is now also available at locations in Cologne and Hamburg, Germany, as well as Sofia, Bulgaria, and Barcelona, Spain. Although a loosely organised network held together by ideas and branding, validity of user tickets in all locations means you have a desk to work from when in any of these locations. Maybe your coworking space is the next addition to the family? betahaus.de hamburg.betahaus.de / koeln.betahaus.de _
Entrepreneurship & Incubation at NBIC
It all started in Sweden Global Business Labs has its origin at the Stockholm School of Economics (SSE) Business Lab: hhs.se/ssebusinesslab
Global Business Labs A strong partner for export Never one to dwell on the status quo for too long, NBIC constantly brings on board new partners that complement NBIC services and add another dimension to life at the Innovation Village. The latest addition to the NBIC family is Global Business Labs (GBL), a start-up accelerator that supports entrepreneurs who want to venture and tap into foreign markets. NBIC and Namibia are proud to host one of the first two labs in the Global Business Labs family, the other being Botswana. The two labs are being implemented simultaneously with multi-cultural teams in both countries. This will allow all stakeholders involved to learn from each others experience at the two locations, replicate best-practice and gather intelligence for the planning of a possible expansion of GBL into other countries. At the same time, the presence in two neighbouring countries simplifies the process of supporting exportdriven start-ups to venture into Botswana (from Namibia) or into Namibia (from Botswana), respectively. Another promising market for GBL clients in both Namibia and Botswana is Sweden (and the wider Scandinavian market), as the idea and management of Global Business Labs originates from this region. As these markets are generally considered to set international trends
and being open to unusual products, this might be a particularly interesting playground for Namibian companies in the arts and crafts as well as food industries. With its manifestation at Innovation Village Global Business Labs helps NBIC tap into a new target group of export-driven start-ups, and with its proven expertise in incubator management GBL also helps NBIC to fasttrack its own, local incubation space. On the other hand, GBL benefits form the existing NBIC network, support formats and brand as well as attachment to Namibia’s tertiary education sector. Beyond entrepreneurship _where GBL fits in
globalbusinesslabs.com _
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Experience
5 success factors Team NBIC early on started to invest in a diverse team that brings together a wide set of skills, cultural backgrounds and ideas to the benefit of the organisation. Currently, people from seven different countries work at the NBIC Innovation Village, who all contribute different points of view and value sets. This results in a committed team where people see their occupation as more than just a job but a possibility to change Namibia. Flexible working hours, a non-discriminative environment and flat hierarchies add to the mix.
Partners With a diverse and multicultural team comes the ability to successfully approach different partners, sponsors and supporters from all over Namibia and the world. This strong network is reflected in a wide range of corporate and international development funding sources, as well as involvement of many pro-bono speakers in NBIC events. Plus, NBIC has developed into a prime destination for volunteers from Namibia and beyond.
Space Having the perfect location and special setup is certainly not a cure-all to solve organisational
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and development problems. However, if done right, it can be an important contributing factor to interaction and well-being of employees and clients alike. For NBIC, it’s central location close to the Polytechnic of Namibia in the up-and-coming Windhoek West district is a major asset to attract walkin customers. In addition, NBIC opted for a low-rise village environment rather than a tall building. Plenty of outdoor space and the Innovation Café provide the opportunity for chance encounters and networking.
Innovation NBIC prides itself in always being a step ahead of the game in many respects. We are not afraid to be the first to test new concepts or foreign ideas in Namibian soil. We use them to provide locally adapted solutions. In doing so, we attract a creative clientele of likeminded individuals that want to test innovative business ideas - and it comes with a considerable amount of media attention that can be a door-opener to new partners.
Planning Quirky and creative as we are, we know that one can’t run an innovation centre on ideas alone. That’s why we make sure to plan projects properly, regularly follow up on progress and employ a can-do attitude. This way we get things done faster than others.
Entrepreneurship & Incubation at NBIC
Secretly Namibian Creating awareness of and buzz around new businesses is a major challenge for start-ups. Try to tap into your local blogosphere for marketing support. A Namibian example here!
5 challenges Capacity As good and fast-growing NBIC might be, serious capacity challenges still persist, especially given the fact that it is supposed to be a national business innovation centre. To this end, funding will have to be sourced to hire additional staff, especially for outreach purposes. Furthermore, as for every employer in the country, the quality of the education system in Namibia and the resulting skills base are a concern. This affects both the recruitment of new people as well as it demands further training of the current team.
Communication With 16+ people and all their myriad projects and ideas comes a huge communication challenge. Although the team meets every Monday for a full meeting and the three departments all have their own jour fixes, the different formats, workshops and events are still not intertwined and aligned as they should be. NBIC will have to find a way of better communicating within in order to better communicate to the outside.
Legal Structure NBIC’s status as a centre at the Polytechnic of Namibia, despite all the advantages that come
with it, has an adverse effect on efficiency within NBIC. As we are bound to utilise the Polytech IT, HR and finance systems, processes take longer than they would with having those services in-house. This also holds true for legally binding documents, which have to be signed by Polytech.
Finance Apart from having its own financial challenges, NBIC can’t make funding available to start-ups at this stage, which is a major missing building block to properly assist entrepreneurs. Especially a living stipend to keep start-ups going during the first few months would be a welcome addition to the NBIC portfolio.
Motivation However good a success rate of 30 percent might be, still too many NBIC clients are not motivated enough to go all the way to start-up. NBIC needs to encourage more Namibians to move from consumers to creators. The beauty of pictographs _ All icons on this spread are courtesy of The Noun Project, an online platform that promotes visual communication. thenounproject.com _
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When the going gets tough... ‌ motivate yourself and your entrepreneurs with an inspirational quote: startupquote.com
Outlook More for entrepreneurs While this small handbook is in writing, chances are that it will be outdated again in the not-to-far future. Many developments are under way to improve what we are doing and add where we are lagging behind. Negotiations are under way to find one main corporate partner for the E&I department, a partner that doesn’t only fund our activities, but one that helps us support start-ups through its products, people and networks. What’s more, we will develop a second, much leaner business concept development workshop, a mini-version of the BootCamp, based on the Business Model Canvas. This will allow us to offer support to many more entrepreneurs and emphasise our focus on planning rather than plans. Together with financial service providers, NBIC will also look into innovative funding options for start-ups beyond traditional loans and investments. We will most likely also tap more into the crowd, sourcing ideas, concepts, funding and mentorship from individuals rather than organisations to the benefit of start-ups both within the NBIC network and outside. To motivate more Namibians to opt for the rewarding path of self-employment, we have to improve on the marketing front. Our success stories deserve attention and can in turn become start-up ambassadors.
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More space for start-ups Still during the first quarter of 2013, we hope for the festive inauguration of our brand-new FabLab. The new building will add both incubation and office space, as well as plenty of room for developers and designers to prototype new products with the machines available. At the same time, NBIC has earmarked additional coworking and incubation space in one of the existing buildings. This will hopefully be complemented by even more buildings for this purpose, which are included in a third phase of renovations at Innovation Village. In addition, talks are under way with Polytech to incorporate another adjacent property into Innovation Village.
More for the regions Of course, the Entrepreneurs Circle outreach is only a start to delivering to the regions. The aim is to bring the same dynamic with which things are progressing at NBIC in Windhoek to the people around Namibia.
Entrepreneurship & Incubation at NBIC
DO NOTHING! During yet another hectic day at your innovation centre, make sure you don’t forget breaks to recharge batteries and creativity. Go for a walk or for a swim or simply do nothing.
New training formats for roll-out in the regions are currently being developed and will hopefully be tested with NBIC’s next tour to all existing ECs during Q2 or Q3. In addition to existing partnerships, the Entrepreneurship & Incubation department has also initiated consultations with Agra to bring its support to a new target group, namely farmer, first in Kunene but with room for expansion into other rural areas, which might be a boon for NBIC’s stagnant rural innovation efforts.
More at NBIC Not only start-ups can except more over the coming months and years. The arts section at NBIC is gaining momentum with some exciting exhibitions by local artists lined up. This link between creativity and business will be explored more thoroughly, integrating NBIC’s endowment for the arts into other programmes. For another targets audience, the social media and mobile app crowd, quality management activities have been initialised to up the training game.
holder, the increasing demand for NBIC services and its widening reach mean that only in a consortium of several strong shareholders can such a national centre work and prosper. In the end, it will be all about finding the right partners that help NBIC live up to its mission and achieve its vision. NBIC Vision _ To be an independent change agent for innovation and business development that supports Namibia to build a globally competitive economy and inclusive society. _
NBIC Mission _
connect
More independence A huge task for a new General Manager at NBIC will be the development of a completely revised business plan, as the original version has been largely departed from over the past years. Income generation will be one cornerstone, funding another. And while the Polytechnic of Namibia will most likely (and hopefully) remain a major share-
accelerate enable
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Our Entrepreneurs: Sample Profiles
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Our Entrepreneurs: Sample Profiles
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Our Entrepreneurs: Sample Profiles
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Our Entrepreneurs: Sample Profiles
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to be continued...
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RESPECT YOUR YOUNGSTERS*
*because their ideas will change Namibia
Namibia Business Innovation Centre 1-3 Gluck St, Windhoek West, Windhoek, Namibia +264.(0)61.207.2885 | nbic.org.na | f | t | linkedin