Incubators Must Aggregate
and Share SMEs Information
Alex
Tajirian
June 1, 2011
Incubators in developing
economies should consider including start-ups and small
and medium-size enterprises (SMEs) in their portfolios.
Doing so makes it easier to diversify, to learn from
collective experiences, and to take advantage of economies
of scale. Incubators should collect and share the information
with the SMEs and sponsored third-party financial institutions.
The
portfolios should facilitate collection, integration,
and analyses of three types of information: accounting
data submitted by the entrepreneurs being incubated,
interactions of the incubators with sponsored third-party
financial institutions, and macroeconomic data such
as sectoral and country growth rates.
The
information gathered from the medium-size enterprises
can be used to better direct the start-ups and small
companies. The enterprise-size mix will also provide
diversification and economies of scale to the incubator
and the financial institutions.
Collecting
and sharing information is crucial to the success of
all stakeholders because there is no market pricing
to provide performance feedback or discipline and rewards.
Moreover, the information: