iTen Wired Newsletter

Economic Development Council incubating new businesses

FORT WALTON BEACH - The first three years of a new business are crucial. Nearly 70 percent of all small businesses close their doors within two years, according to statistics from the Small Business Administration. The Economic Development Council of Okaloosa County is working to make those first three years for new businesses much easier to survive.

Earlier this year, the EDC started the Innovation Center, a business incubator located at the University of West Florida's W.E. Combs Campus on Lovejoy Road.

"The idea behind the incubator is to grow the business locally and let it hatch," said EDC President Larry Sassano. "As a start-up business, businesses have a huge failure rate. The idea is to give them as much support and nurturing so they will be a success. They become more stable than any other type of business."

The Innovation Center is the EDC's first incubator program and is designed to target technology-based businesses. The incubator provides planning assistance from other EDC members, financial counseling and lower operational costs through reduced leases.

Government Support Jobs is the first company to be accepted in the EDC's incubator program. The company was started last year by local businessman Jerry Pfeiffer as a spin-off of his Xator Corp. Government Support Jobs is a Web-based search program for employers and prospective job seekers similar to monster.com, but Pfeiffer's company focuses only on government jobs. "It was a great opportunity for us as a small, emerging business," Pfeiffer said.

Pfeiffer said the biggest benefit of the incubator program is having access to the area's various business leaders associated with the EDC. Pfeiffer's company moved into the Combs building about a month ago. The EDC received a couple of state grants to pay to renovate former classrooms into office space. One building is already completed and partially occupied, and a second building is expected to be completed later this month. Sassano said there were additional buildings available if the program takes off. It is hoped that after three years in the incubator program, if not less, the companies will be established enough to stand on their own without the lower operating costs provided by the EDC, Sassano said. However, even after the reduced cost ends, the business' access to leaders will remain.

In addition to the incubator, the Innovation Center will have space available for "virtual offices" for defense and technology-based companies that need to set up a temporary office in the area. "In this market, you're going to get a lot of companies that come in and that need that temporary space," Sassano said.

From NWF Daily News

Article written by Dusty Ricketts (2009-10-29)

Gulf Coast Center for Innovation and Entrepreneurship (CIE)
Launches Virtual Tenant Program

PENSACOLA - The Pensacola Bay Area Chamber of Commerce and Pensacola Junior College launched another program this week to assist start-up tech companies in the area.

The virtual tenant program allows companies to enjoy the benefits of the CIE without having to lease office space at the Garden Street facility. Virtual tenants have access to conference rooms, a business center and services including legal, accounting, marketing and other support.

One local information technology company, Broadstone IT Services, has already served as a test case for the virtual tenant program.

"We decided to work with the CIE to manage our cash flow and not jump into leasing office space," said Tony Basel, one of Broadstone's founders. "Access to the CIE's meeting rooms has allowed us to meet with potential clients in a professional setting, without the expense of our own office."

"We see the virtual tenant program as a way to build and support our pipeline," added Dr. Ed Meadows, president of Pensacola Junior College. "This program will serve as a bridge between the CIE and the garage or home office."

The cost to enter the program is $75 or $150 per month depending upon the level of services a company needs.

"Since opening in March, companies in Tallahassee, Huntsville and Mobile as well as local technology startups have expressed interest in the virtual program and our downtown incubator," said Bridgette Price, assistant vice president for entrepreneurship at the Pensacola Bay Area Chamber of Commerce, who manages the CIE. "It's rewarding to see our tenants grow their ideas and launch their companies with the help of the Chamber and PJC."

The CIE is a partnership between the Pensacola Bay Area Chamber of Commerce and Pensacola Junior College. The CIE business incubator focuses on the accelerated growth of tech-based businesses by providing shared office space, shared services and consulting.

Technology entrepreneurs interested in the CIE can call Bridgette Price at (850) 438-4081 or visit the CIE's Web site at www.gulfcoastinnovation.com.