IIT Mumbai’s SINE will collaborate with the civic body to build the hub.
Mumbai: The Brihanmumbai Municipal Corporation (BMC) will form a Special Purpose Vehicle, called SMILE (Society for Mumbai Incubation Lab to Entrepreneurship), to launch its ambitious project of Business Incubation Centre, which will be formed to train aspiring young entrepreneurs in the city.
For the formation of the hub, the civic body has roped in Indian Institute of Technology (IIT) Mumbai. SMILE will work in coordination with Society for Innovation and Entrepreneurship (SINE) of IIT-Mumbai to set up the incubation centre. While the civic body will provide space and infrastructure, IIT experts will train the aspirants.
The SPV is a subsidiary of the BMC. Even if the latter goes bankrupt, the money remain protected because it would remain in SPV’s bank acocunt.
“For promoting the Business Incubation Centre, the BMC will provide a seed fund of `15 crore for the project. The money will be deposited directly into a separate bank account of SMILE. This will enable the Centre to act independently. For this, the civic body will form a new head called ‘Innovation Implementation Fund’ in the budget provision. The funds will be used for the redevelopment and restoration of the proposed land, provision of basic infrastructure,” said a senior civic official.
SMILE will have a selection panel comprising of members from the management committee and experts in sectors like public sector, administration, finance, digital administration, renewable energy, water and waste management.
A panel will select incubatees on the basis of various criteria like uniformity and relevance to BMC’s objectives, uniqueness and oddity, impact of the proposed business ofthe city and its competence, the official added.
For the Incubation Centre, the BMC has already identified a plot in Chakala, Andheri, which currently has a reservation for a welfare centre.