St. Albert's Northern Alberta Business Incubator celebrated its 20th anniversary Thursday.
The business development organization has graduated close to 90 businesses and won several awards for excellence since its inception in 1989.
"We look forward, as we enter adulthood, to continue to grow and contribute significantly to economic development," said board chair Malcolm Parker at the incubator's birthday party.
NABI helps entrepreneurs get their small businesses off the ground by providing small rental spaces, business coaching and shared administrative services. About 60 of its graduates are still operating in the St. Albert area.
NABI hasn't always had an easy time, said former city councillor and current chamber of commerce CEO Lynda Moffatt. It came along when awareness of business incubators was growing, then hit a period when their appeal dropped right off.
"There were business incubators everywhere that were closing their doors," she said. "Yet NABI found a way to make it work."
In recent months NABI has joined with four other Edmonton-area incubators in a program that will see them share information and attempt to avoid duplicating services. NAIT is planning a high-tech incubator for its St. Albert campus. These developments have NABI managing director Dar Schwanbeck feeling positive about the future.
"I'm really looking forward to growing our programs," he said.
One of the key benefits that NABI offers is the chance to be surrounded by other entrepreneurs, said Jeff Richards of JDR Insurance, a NABI tenant from 2001 to 2004.
"I always had lots of fire in my belly, but it was also interesting to work among other people who had fire in their bellies who were building their businesses," he said.
"It certainly afforded me a number of networking opportunities."
Improvements needed
NABI has been a great success, said Mayor Nolan Crouse, but it's time for the organization to graduate and stop relying on city funding.
The city has given NABI $1.55 million of taxpayers' money over the last decade or so, including $1.3 million last year toward the purchase of a new building. Last fall Crouse opposed a council vote that gave NABI $25,000 for this year. He thinks the time is drawing near when council may decide to turn off the taps.
"It's been outstanding over the 20 years, but now that we've provided them the large building it's one of those times when it's time to graduate," Crouse said.
In its history, NABI has turned out between two and nine graduates each year. Crouse feels the organization could do a better job of moving businesses through its programs rather than letting them linger as tenants.
"There has been some concern with people staying too long and taking advantage of low rent. Instead of becoming a taxpayer they become a renter. We want taxpayers," Crouse said.
NABI has to be willing to force companies out, Crouse said, and the organization itself has to be willing to stop depending on government funds.
"Just like they have to [graduate] companies out of NABI, they have to graduate themselves," he said.
Parker, the board chair, said the non-profit depends on the city funding it gets, which represents a small portion of its roughly $700,000 annual budget. He doesn't expect NABI to stop seeking city money, which varies from $25,000 to $50,000 a year.
"We feel we're really providing some value back to the community and that the taxpayers and everybody are well-served," he said.
