Incubators often play a role in stimulating entrepreneurship in their catchment region, in addition to helping incubated enterprises. This article sets out step-by-step tips for running a business plan contest to deliver two outcomes: stimulate entrepreneurial thinking; and help groom potential incubated enterprises for the selection process.
Objectives
A business plan contest can be launched by a community as a way of raising awareness about entrepreneurship. This also helps to encourage the establishment of new companies and increase incubator demand. Entrepreneurship must be developed in the region where the incubator is located, promoting community interest in starting new enterprises. Different tools are offered for this purpose, appropriate to the development of good quality proposals (See Attachment Business Plan Contest Examples).
Key Issues
A suggested contest plan follows:
- Identification of Sponsors: the success of the contest depends on sponsors and appropriate prizes. The organizing committee’s main task is to find well-known, reliable sponsors from the community.
- Drafting the Regulations: all pre-requisites and procedures related to the conditions for participation in the contest must be clearly expressed. The regulations must contain, as a minimum. the following information:
- Participation requirements
- Minimum format and content to be presented
- Assessment criteria
- Applicable terms
- Dissemination: a definition of strategies that will be used to publicize the contest. It also includes the preparation and distribution of materials that will be used for this purpose. Holding talks/discussions with the target market creates publicity about the contest. The organizing committee’s involvement in regional talk shows is another excellent mechanism.
- Capacity building and guidance of interested parties: there must be a system by which explanations can be made and questions answered about the contest. Additionally, courses or lectures on how to prepare a Business Plan can be offered.
- Prize Awarding Event: the award ceremony is important, not only to the winners but also to disseminate news about the incubator within the community. Authorities (dean, major, governor, congressmen, senators, etc) should be present as they add prestige to the event and, consequently to the incubator’s image.
- Final Report: at the end it is important for the organizing committee to prepare a report containing all-important information concerning the contest. This information is useful for organization of future contests.
Responsible Parties
Professionals trained in business plan development and assessment.
Indicators
- Total number of registered projects
- Number of appearances in the media
- Number of participants in prize-awarding event
Results
Greater number of business plans presented.
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