Backed by Empire State Development, NYSTAR’s Certified Business Incubator and Innovation Hot Spot Program provides financial support for certified incubators in New York to expand their services and reach a greater number of early-stage companies.
Situated in each region across the state, these 20 incubators and 10 hot spots provide support such as physical space, shared administrative staff, funding, coaching, mentoring, networking, prototype development and other technical services.
The return on New York’s investment has been significant: nearly 1,000 new jobs, more than 1,000 retained jobs and $552 million in economic gains, according to NYSTAR’s most recent impact report covering January 2022 through June 2023.
But the impact of the state’s incubators and hot spots go well beyond the numbers. Behind the statistics are people: entrepreneurs chasing their dreams, job-seekers landing a new opportunity, and neighbors benefiting from a stronger local economy.
- At its 2023 pitch competition, the Hudson Valley Venture Hub brought together Busie, a Kingston-based software as a service company for the ground transportation industry, with Diadem Capital, a downstate startup specializing in facilitating capital growth for emerging companies. “After meeting, the two founders spoke about Busie’s raise and ideal investor,” said Eliza Edge, director of the hot spot that operates out of SUNY New Paltz. “Fast forward six months and a portion of Busie’s fundraising efforts has already been secured through Diadem Capital. This illustrates how the Hudson Valley ecosystem is interconnected, with local startups supporting each other’s growth.” Edge also noted two other startups: Laronix and Kingston Standard Brewing Co., both of which recently secured six-digit funding with the help of Hudson Valley Venture Hub.
- The Southern Tier’s IncubatorWorks helped the startup SoupaPOTamus cook up a new way of sourcing food using “sustainable, mostly-locally sourced ingredients.” The growing company now sells its soups online and at regional events, crediting its success to networking and business skills provided by the incubator.
- JelikaLite, a client of the CNY Biotech Accelerator at Upstate Medical University and graduate of its Medical Device Innovation Challenge (MDIC) program, has been awarded a two-year, $959,000 grant from the National Science Foundation. JelikaLite has also raised $1 million from private investors — and is currently hiring — as it develops an innovative solution to permanently reduce a child’s autism symptoms.
- JelikaLite also took part in Mount Sinai Innovation Partners’ virtual incubator program, known as Elementa Labs, in winter 2023. “As a result of JelikaLite’s involvement in the program, the company gained recognition from key opinion leaders, attained further venture and non-dilutive investment, and launched their pivotal clinical trial at Mount Sinai and SUNY Upstate Medical University with the aim of U.S. FDA submission,” said Cynthia Cleto, managing director for outreach at the New York City–based incubator.
- Communitas America, Inc., is building an entrepreneurial ecosystem, primarily made up of BIPOC and women changemakers, who are creating inclusive and equitable local economies in historically under-resourced communities in the U.S. The hot spot’s impacts include its work with entrepreneur Monique T. Marshall, a member of Communitas America’s Cohort 9. Marshall turned a small budget and years of podcasting experience into Black to Business, a popular podcast, business toolkit, masterclass, and start-up course for Black entrepreneurs nationwide.
- The Hub Business Incubator helped establish the Rural Equity Group to foster collaboration and initiatives between 14 non-profit programs to increase public awareness of available resources to businesses in Madison County. The Hub is partnering with the group to host a series of roadshow events across the county this fall to showcase the success stories of local businesses and provide expertise in marketing, workforce development, transitioning trades into businesses, and other areas. As a result of its work uplifting rural small businesses, The Hub received the Central New York Business Journal’s Non-Profit Award this past year.
- The Koffman Southern Tier Incubator and Shipley Center for Innovation at Clarkson University have both been instrumental in the trajectory of KLAW Industries. The company has grown quickly thanks to its innovative product, Pantheon™, a clean concrete made from recycled glass. KLAW has established a 6,000-square-foot production facility in Binghamton and has earned national recognition. It is now amid an equity funding round, on the heels of a major initiative by the New York State Department of Transportation to use 74 tons of KLAW’s material in the $21.2 million Route 11 bridge project in Whitney Point, New York.
To read the latest NYSTAR incubator and hot spot impact report, visit ESD’s website, where you’ll also find more information about the New York State Certified Incubator and Innovation Hot Spot Program.