Corridor NEWS RELEASES

UCF Incubator Pumps Millions into Region FHTCC Study Shows More than 5:1 Return on Investment

Heathrow, Fla. (November 5, 2009) – Client and graduate companies of the University of Central Florida’s 10-year-old Business Incubation Program generated nearly $200 million in total economic impact in 2009, according to a study commissioned by the Florida High Tech Corridor Council.

“Dollar-for-dollar, no other form of public investment has the same economic impact as incubation,” reported William H. Owen, CRE, president and CEO of the research firm that conducted the study, Real Estate Research Consultants Inc.

The analysis of UCF’s Incubator also showed that the program “is responsible for facilitating the creation of more than 1,600 jobs in the region,” and that “every $1 invested by local governments (and FHTCC) participating in the UCF incubator program is returning at least $5.25 in local government revenues in the form of property taxes and sales taxes.”

“Year after year, we’ve seen incredible innovations and promising businesses come out of the incubator program, and now we can quantify the impact they’ve made in the region,” said Randy Berridge, president of the Florida High Tech Corridor Council.  “This study is further validation of what we’ve known all along:  incubation works.”

In the past 10 years, UCF’s incubation program has grown in national prominence and coverage areas.  In 2004, the National Business Incubation Association named it the Technology Incubator of the Year, and today, UCF’s incubator system maintains seven facilities in Orange, Seminole, Osceola and Lake Counties with locations in Orlando, Sanford, Winter Springs, St. Cloud and Leesburg.
 
“By helping emerging, high-growth companies in their early years, we are making a significant impact on the Central Florida economy and creating high-wage jobs that benefit our region," said Tom O'Neal, UCF's associate vice president for Research & Commercialization and executive director of the Incubation Program.  “We look forward to helping more companies become more successful over the next 10 years in cooperation with our community partners to enhance the region’s economic vitality.” 

Since its inception, the UCF incubation program has serviced and housed approximately 125 emerging companies, including approximately 70 current clients.  To date, more than 30 companies have graduated from the incubation program.  Twenty-seven of the graduate companies have remained and are still in business in Central Florida, typically earning between $1 million and $3 million in annual revenue.

According to surveys of graduate companies, at least 55 grants totaling more than $33 million in SBIR/STTR (Small Business Innovation Research/Small Business Technology Transfer program) funding have been awarded to client and graduate companies of the UCF incubators.  An additional $50 million or more has come from other federal and state grants that support ongoing technology development.

To view the entire study, visit http://www.floridahightech.com/resources/ucfincubator.html.

About the Florida High Tech Corridor Council

The Florida High Tech Corridor Council (FHTCC) is an economic development initiative of the University of Central Florida (UCF), the University of South Florida (USF) and the University of Florida (UF).  The mission of FHTCC is to grow high tech industry and innovation through research, workforce and marketing partnerships.  

A partnership involving more than 20 local and regional economic development organizations (EDOs) and 14 community colleges, the Council is co-chaired by the presidents of UCF, USF and UF.  The Council includes the presidents of two of the community colleges, the president of Florida Institute of Technology and representatives of high tech industry. 

The unique partnership has resulted in a strategic approach to high tech economic development that involves matching funds research, workforce development and a marketing program leveraging governmental, EDO and corporate budgets on a regional rather than local basis.

The Florida High Tech Corridor Council was the International Economic Development Council’s 2009 award winner in the Partnerships with Educational Institutions category.

For more information, visit www.floridahightech.com.