Alba Innovation Centre – A Haven From the Economic Storm

New figures show that young companies based at the Alba Innovation Centre in Livingston are weathering the storm of the global economic crisis.

Despite the severe economic conditions tenant companies:

• created more jobs
• increased turnover
• secured significant new investment

A review of the Centre's operations for last year when the financial crisis began to bite also reveals that the survival rate of tenant companies was 93%.

Since the Centre opened in 2005 to provide incubation support for fledgling enterprises it has achieved an average survival rate of 83% compared to a four year Scottish average of 54%.

The Alba Centre, managed by Innovation Centres Scotland (ICS), is currently home to 20 small technology companies who employ a total of 92 people.

Fourteen of the tenant companies are actively account managed by ICS business support advisers who provide a wide range of specialist assistance.

In the past year these companies achieved an aggregate 66% increase in turnover to £2.8 million and grew their operations to create an additional 29 jobs.

Significantly in a period of severe monetary restraint they also secured a total of £1.6 million in equity finance from investors.

Tom Ogilvie Chief Executive of ICS, said:" These are excellent results for everyone involved, achieved in very difficult economic circumstances.  The early stages of creating a successful enterprise are critical to its survival. The last thing would-be entrepreneurs need as they work to establish a successful business is the worst economic climate in fifty years."  

"The specialist advisory support we can bring to the process of creating a commercially viable enterprise is even more valuable in the current economic climate. "

He added: "West Lothian has experienced fluctuating economic fortunes, initially with the loss of the coalmining industry in the 80s and more recently with the demise of the electronics manufacturing sector. On each occasion it has worked hard to recover and diversify its business base. The Alba Innovation Centre is a vital element of that ongoing process of creating new businesses and new jobs."   

ICS manage the Alba Innovation Centre on behalf of Scottish Enterprise and David Caughey, director of industries, innovation & commercialisation at Scottish Enterprise said "We welcome today's news about the great results achieved by the Alba Innovation Centre, particularly during these difficult economic times." 

The ICS advisory team has more than ten years experience of delivering business support to help young innovative companies achieve their potential.

They have developed their own unique brand of ‘innovation services' and provide access to an extensive network of high-level business contacts whose experience can be brought to bear to inform decision making and  early stage planning.

The accelerator programme, only available to client companies, includes:

• access to a panel of experts in a ‘Dragon's Den' format where feedback on the business is given
•  teaming up with a leading legal firm to examine and manage Intellectual Property issues
• provision of legal document templates covering employment contracts, non-disclosure agreements,  licence agreements, contractor and supplier agreements
• an individually structured funding package covering equity, debt and grants 

The unique E³ programme recently developed by ICS has also been added to the portfolio of support available to client companies.

E³ matches leading entrepreneurs, executives and experts with start-up or young companies to help them achieve their growth potential.

ICS also manages two national business support and development initiatives, Wireless Innovation and Wellness Innovation and Technology.

Alba Innovation Centre tenant companies who have benefited from the business support services include telecoms company CIQUAL, who recently secured £1.25million funding to accelerate product development and sales of its Session Insight System. The product delivers insight on the real-time performance and customer experience of mobile broadband service for each customer. Mobile operators can use this insight to improve the quality of service offered to their customers and deliver a high quality broadband service at home and on-the-move.

CIQUAL received specialist assistance from the Wireless Innovation team.  David Bonner, CIQUAL's Vice President, Marketing, said "The support that we have had from the Wireless Innovation has been invaluable. They put us in touch with leading providers and vendors, including Nokia and Motorola. They introduced us to two leading international industry analysts who provided critical market research into the mobile broadband market.  Their network of global contacts gave us a quick foot hold in the market that we wouldn't have been able to achieve without the Wireless Innovation team."