Many economists argue that recovery from the recent recession requires a stimulation of the economy through government programs aimed at creating jobs. Sometimes the problem is that start-up businesses are not able to find the funding they need to begin operations and, as a result, create more jobs. The Michigan Strategic Fund recently aimed to fix this problem when it awarded $1 million to create a new business incubator collaborative.
The project's design calls for two years of development in order to help entrepreneurs overcome challenges in starting a new business. The aim of the project is to increase collaboration between businesses while also fulfilling funding needs for entrepreneurs. The incubator funds will allow the partners in the incubator to provide start-up businesses with access to necessary services they need to create new jobs.
The incubator will be implemented by three organizations working in partnership: Ann Arbor SPARK, MC3 Business Accelerator and Michigan Research Institute (MRI). Along with the funds from the state, MC3 and MRI have also contributed $722,500 of their own funds towards the incubator project. The initiative was funded by a program implemented by the Michigan Economic Development Corp. known as the 21st Century Jobs Fund.
Along with possible government assistance, such as the Michigan Strategic Fund, a new business will often need a good business plan to succeed. This can help the business owner see the long-term picture of the business as well as maintain compliance with legal standards and regulations. These key components of business planning and formation can significantly increase the chances of success.
Source: AnnArbor.com, " Ann Arbor SPARK receives $1 million in state funding for new business incubator collaboration efforts ," Ben Freed, Jan. 24, 2013