Recently in Nigeria, the country has experienced a boom in the rise of startups, majorly these startups have been able to secure seed funding which has made some of them scalable, nevertheless, many potential startups do not tend to reach scalability because they appear not to grow through the incubator stage, let alone getting accelerated.
Many of these potential startups seem to require an atmosphere where they can thrive to get them running, and usually what enhances this factor is the space provided for them in innovation hubs.
Hubs have the capacity to assist potential startups to reach their goal, thereby contributing to job creation in a country, when a hub is equipped with all the know hows it will churn out startups that attract investors which will eventually enhance their securing of fund, but the success of startups depends on how empowered the hubs are.
This necessity drove the need that saw the creation of “Hub Owners Village (HOV)”, which held its inaugural meet up on Tuesday, February 5, 2019, at Impact Hub, Ikoyi. Speaking at the event “tagged Hubs Nigeria Network”, Mr. Tomi Davies, laid out a framework for Hub owners to guide potential startups.
He pointed out that in the startup ecosystem, one must belong in the bracket of a Techpreneur, Innovation hub or an Angel investor. The techpreneur starts as an incubator and is looking to accelerate so that it eventually becomes a startup that can scale, the innovation hub provides the enabling environment, while the Angel investment comes into play when the startup through the innovation hub has demonstrated its strength in scalability.
“Until you have a customer, you are still an incubator, not a startup”
The role of Hubs in the emergence of startups can’t be overemphasized sufficiently; therefore a framework for this success is required. Mr. Tomi illustrated the framework by stating four factors that Hubs should bear in mind while incubating potential startups.
Proposition: What is the unique value proposition your startup has got to offer? bearing this in mind is a major step for startups to realize their dream of scalability.
Organization: With the unique value proposition has the driving force, a potential startup must set in motion structure that would enhance its delivery to its customers.
Economics: Providing value is not enough, but can that value created be measured? What is your financial record showing?
Milestone: Overtime there should be a measure of progress.
Overall the objective of the Hub Owners Village is to stimulate socio-economic growth in Nigeria, leverage science, technology and innovation through the support of member hubs and their communities with capacity, knowledge, finance and enabling policies.