By Peter Conmy
Ziad Tassabehji aims to provide New Economy startups with the whole gamut of incubation services.
Finding incubation services and venture capital may now be a little bit easier for budding New Economy entrepreneurs in the region.
Interactive Technologies has joined forces with UK-based Armada Partners to form a regional business incubator called Interactive.
Interactive is setting up a number of funds with a total of around $15 million to invest in brand new startups, and those that have reached their first or second rounds of funding and need more money to expand.
Interactive says it will provide funding and additional services that a startup needs to get its ideas off the ground.
"Our typical incubee needs help in many areas," says Ziad Tassabehji, president of Interactive Technologies.
"As well as technology, they may need help in marketing and they will need help in legal. We help with relationships as we've been around for many years."
Interactive helps incubees according to two scenarios. Where it's funding a raw startup, the company will be looking for a majority stake and will provide the whole gamut of incubation services.
Where a company is more established and requires fewer incubation services, Interactive will take a smaller stake and be more hands off.
Tassabehji says Interactive has already received around a hundred business proposals.
Pure B2C plays are not high on Interactive's agenda because of what it sees as a lack of critical mass. Vertical business to business plays are being looked at more favourably.
Startups should have the potential to be profitable in year two and the management teams should have expertise in their selected industry.
A team of four people will decide on who actually receives funding and incubation services. One of the team will be seconded from Armada Partners, with the other three coming from Interactive Technologies.