UTU Incubation Hub (I-Hub)

Choose the right category

• Students, faculty and staff of the university or an affiliated institution: pre-incubation under Category I.
• Anyone from Uttarakhand or outside the state with a novel technology idea: pre-incubation under Category II.
• A first-generation founder with a technology startup that wants R&D partnership with the university: Category III.
• An R&D unit of an existing enterprise or industry association: Category IV, by individual contract.

Before you apply

• Register the company with the Registrar of Companies before admission, or within six months of it.
• Prepare an executive summary for the first review. A full business plan is required for Categories III and IV.
• Show revenue expectations over five to seven years in the business plan, with five-year profit and loss, balance sheet and cash flow projections.
• Gather the documents listed in the regulations: an intellectual property declaration worksheet, details of available funds, an infrastructure statement, a statement of purpose, a proposed move-in date and length of stay, and the memorandum and articles of association. The articles can follow within 60 days if the company is not yet formed.

How applications are reviewed

• The first review looks at the executive summary or business plan. A positive review leads to a presentation.
• Prepare a PowerPoint for the evaluation committee and be ready for questions. The hub says the decision comes within a week of the presentation.
• The committee weighs the strength of the product idea, the founding team, intellectual property, financial viability, funding needs, time to market and break-even period.

Ask before you commit

• The regulations are dated 2022 and say they are subject to review, so confirm the current charges and terms with the hub.
• The regulations give two different interest rates for the seed loan. Ask which one applies before you plan around seed funding.
• Admission does not guarantee seed funding, so do not budget on it without a written decision.

UTU I-HUB is the incubation hub of Veer Madho Singh Bhandari Uttarakhand Technical University in Dehradun. The hub is run under the university's own Advisory Committee and admits technology-based businesses, from pre-incubation ideas to companies that are ready to build a business. Its regulations were approved by the university's Executive Council in September 2022.

Who can apply

The hub is open to faculty, staff, alumni and students of the university, along with outside promoters. Its regulations set out four categories. Students, faculty and staff of the university and its affiliated institutions can enter pre-incubation to try out a novel technology idea. Any person from Uttarakhand or from outside the state can also enter pre-incubation with a novel technology idea. A first-generation entrepreneur with a technology startup that wants an R&D partnership with the university can apply for incubation. The R&D unit of an existing small or medium enterprise, an industry association or an R&D company can work with the university, under an individual contract.

A company must be registered with the Registrar of Companies before it is incubated. A proprietorship or partnership has six months from admission, or until seed fund disbursal if that comes first, to register. The business must be built on an innovative, technology-based product, idea or service, and the product should be developed less than 12 months before launch. The business plan must show significant revenues within five to seven years.

How admission works

Admission has two stages. First, the applicant submits an executive summary or a business plan to an internal review committee. Category I applicants do not need a full business plan at this stage. Second, if the first review is positive, the founders present a PowerPoint to an evaluation committee notified by the university, followed by questions. The hub says the decision comes within a week of the presentation. The whole approval process can take eight to ten weeks, and the move-in date after approval depends on space and paperwork.

How incubation works

Incubation normally lasts one year. Up to four extensions of six months each can be granted at the discretion of the Advisory Committee. The hub reviews each company every three months against the milestones in its business plan. The regulations list the reasons a company can be asked to leave, including raising substantial investment, crossing set revenue or headcount limits, and a change of founders without the hub's agreement.

The regulations also describe a seed loan for incubatees. It is treated as a soft loan, and half of it can be converted into equity. Admission does not automatically include seed funding, and the hub decides who receives it.

Facilities and services

Admitted companies can rent an office cubicle with up to five PCs, internet and furniture. The common pool includes wi-fi, a photocopier, a meeting space and a library where available. The hub can also give access to university infrastructure, subject to university norms. Part-time professionals are associated with the hub for accounting, intellectual property, legal and advisory work. The hub runs short business courses, communication training and networking events and showcases. Each company can be offered a CEO mentor, and a faculty advisor can be attached for technology questions. The hub's incharge meets company CEOs at least once a month for strategy reviews.

The hub is not free to use. It charges companies for infrastructure and services, and the regulations set out the rates. The university also takes a 3% equity stake in paid-up capital from each incubatee in return for its infrastructure services. Services a company buys directly from outside professionals are paid for by that company.

Who runs it

The hub is governed by an Advisory Committee made up of an eminent academician as chairman, a successful entrepreneur, a professor familiar with entrepreneurship, a principal or director of an affiliated institution, the hub's manager, the university's finance officer and the registrar as member secretary. The Vice Chancellor nominates the first five members for two-year terms, and the Vice Chancellor's decision is binding on hub matters. Routine work is carried out by a manager nominated by the Registrar.

Location

The hub sits on the university campus at Chandanwadi, Prem Nagar, Sudhowala, Dehradun. The hub's own street address is not published on the pages we read, so the university's postal address is given here.