The Center for Business Acceleration and Incubation Studies at the U-M’s Institute for Research on Labor, Employment and the Economy encourages economic development and diversification through the establishment and promotion of business incubators around the state.
Business incubators are an effective job creation tool; not only generating new places of work but also retaining the community where they were created. They increase the survival rate of new businesses from an average of 20 percent to 80 percent. In addition, 84 percent of businesses that “graduate” from incubators remain in the same region 10 years later.
In one recent example, the University partnered with Owosso’s Baker College in April to interview entrepreneurs, small business owners and students interested in engaging with regional incubators. It’s just one of the many ways in which the University helps assess the feasibility of incubators and determines programmatic and facility resources an incubator should offer.