B. Virtually Incubated
C. Potential Incubatee
Eligibility for Incubation:
- Any person desirous of availing incubation facilities has to incorporate a private/public private limited company (as defined in the Companies Act, 2013). This condition may be relaxed for recent graduates for initial term; provided they incorporate within 1 year of starting at SDFA. The Incubatee has to sign a declaration(s).
- The companies promoted by full-time students of an educational institute shall be offered incubation by SADF if the student is holding an Executive position; how ever, companies promoted by students are eligible to apply for incubation submission of 'No Objection Certificate' from the Academic Institute.
- A company if promoted by an employee of Govt. / Organization shall be granted incubation only upon submission of 'No Objection Certificate' from the competent authority or employer.
- All applicants are welcome to apply for the program. However, applicants who are alumni of Srusti Academy of Management or have strong participation by faculty of Srusti Academy of Management may be given preference.
Potential Incubatee
Stage 1: Submit Executive Summary/ Plan As a first step in the admission process,
the prospective company should submit an Incubation Application containing all the details of start-up
venture, team members, stage with a Business plan and other document. The submission will be assessed
by an Internal Review Committee (IRC) for comments on technical and business feasibility of the idea.
Evaluation of the proposal will be based on, among other factors, the following criteria:
- Strength of the product idea in terms of its novelty, technology content, innovation, timeliness and market potential.
- Profile of the core team/ promoters
- Intellectual Property generated and the potential of the idea for IP creation.
- Stage of the Product/Start-up and Time to market.
- Commercial potential, demand and requirement and Break-even period.
- Scalability
- Financial/ Commercial Viability and 5 year projections of Profit &Loss, Balance Sheet and Cash Flows.
- Funds requirement and viability of raising finance.
Stage 2: Presentation:
After the initial submissions, the evaluation committee will have a meeting with the company founders,
during which the company will be expected to present a presentation describing critical aspects of the
business plan to the Internal Review Committee(IRC). The presentation will be followed by Q&A session.
After the presentation, a final decision will be made regarding the company's entry into the incubator(SADF).
The company will be informed of the final decision after the presentation. The presentation through skype or
video conferencing is also permitted.
Stage 3: Results:
The applicant shall be informed of the final decision within 2 weeks. If the
incubation is sanctioned, the applicant shall enter into the following agreements with the Institute:
- Incubation Agreement: It contain rules and other incubation norms, consideration, equity holding, etc.
(Applicable to all.)
- Seed-Fund Agreement: Contain rules of disbursement and repayment. (Applicable to incubatee availing seed-fund.)
- Technology Commercialization Agreement: Applicable to incubatee using technology orIP developed by SADF.
- Infrastructure Usage Agreement: Applicable to all incubatee utilizing the office space and other facilities
within the campus.
Exit Policy
An Incubatee company will leave the incubator under the following Circumstances:
- Completion of two years‟ stay (if no extension granted)
- Under performance or non-viability of business proposition as decided by SADF on case to case basis
- Violation of any SADF‟s policy
- When the company enters in an acquisition, merger or amalgamation deal or reorganization deal resulting
in a substantial change in the profile of the company, its promoters, directors, shareholders, products or business plan.
- Change in promoters'/ founders' team without concurrence of SADF.
- Any change of more than 50% of equity ownership would require a prior approval of SADF.
- Any other reason for which SADF may find it necessary for an incubate company to leave.
- Not with standing anything written elsewhere, SADF's decision in connection with the exit of an incubate
company shall be final and shall not be disputed by any incubate company.
Periodic assessment: The incubate company has to submit an yearly audited statement of profit
and loss account and unaudited quarterly statement about the activities. However, incubate may be asked to provide
more frequent updates to SADF.( by 30th May of each succeeding year)
