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	<title>HipMojo.com</title>
	<link>http://watchmojo.com/web/blog</link>
	<description>Covering Online Video, Web, Search, Investing, Technology, Strategy, Investing, M&#038;A, Financing, VCs</description>
	<pubDate>Sat, 21 Nov 2009 21:40:57 +0000</pubDate>
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		<title>An Incubator That Gives Back 30-50% of the Investment?  Believe It.</title>
		<link>http://watchmojo.com/web/blog/index.php/2008/05/09/an-incubator-that-gives-back-30-50-of-the-investment-believe-it/</link>
		<comments>http://watchmojo.com/web/blog/index.php/2008/05/09/an-incubator-that-gives-back-30-50-of-the-investment-believe-it/#comments</comments>
		<pubDate>Fri, 09 May 2008 19:24:15 +0000</pubDate>
		<dc:creator>Ashkan Karbasfrooshan</dc:creator>
		
		<category><![CDATA[Internet &#038; Web]]></category>

		<category><![CDATA[Technologists]]></category>

		<category><![CDATA[Financing]]></category>

		<category><![CDATA[Investing]]></category>

		<category><![CDATA[Entrepreneurship]]></category>
<category>Entrepreneurship</category><category>Financing</category><category>Internet &amp;#038; Web</category><category>Investing</category><category>Technologists</category><category>Uncategorized</category>
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		<description><![CDATA[Interesting to see people still taking a crack at the incubator model.  I&#8217;m not sure incubators work, mainly because people are complex creatures and egos of entrepreneurs are usually too big to fit under one roof&#8230;
But, I think I can make it work, not because I am special or anything&#8230; but because in Montreal, we [...]]]></description>
			<content:encoded><![CDATA[<p>Interesting to see <a href="http://www.alleyinsider.com/2008/5/borthwick_s_betaworks_seeking_that_perfect_and_elusive_balance" target="_blank">people</a> still taking a crack at the incubator model.  I&#8217;m not sure incubators work, mainly because people are complex creatures and egos of entrepreneurs are usually too big to fit under one roof&#8230;</p>
<p>But, I think I can make it work, not because I am special or anything&#8230; but because in Montreal, we can benefit from investment tax credits that give back 30-50% for IT work.</p>
<p>In fact, this is why venerable investment bank Morgan Stanley is <a href="http://montrealtechwatch.com/2008/05/02/morgan-stanley-opens-offshore-development-shop-in-montreal/" target="_blank">investing</a> up to $200 million and creating 500 jobs in 5 years in Montreal.</p>
<p>That&#8217;s right: we have some of the world&#8217;s <a href="http://montrealtechwatch.com/2008/03/14/new-fiscal-measures-to-boost-local-high-tech-companies/" target="_blank">best</a> tax credits, which is great, because it makes up for the otherwise so-so investing community and general conservative mindset.  What exasperates matters is that most successful entrepreneurs seem to get very risk averse after becoming successful.</p>
<p>After my old company got acquired, I could have retired&#8230; not because I had a big payoff (I was a minority shareholder), but because Montreal has such a low cost of living environment.</p>
<p>I joked that I <em>was</em> rich [by Montreal&#8217;s standards] but then I started WatchMojo.com and I no longer am.  In all seriousness, however&#8230; Those tax credits are nationwide, but Montreal offers a lot more:</p>
<p>- a low cost of living environment,<br />
- a talented pool of employees,<br />
- multi-lingual employees that can chase global opportunities from the get-go</p>
<p>Tack on the fact that R&amp;D and IT tax credits give back 30-50% back to investors right off the bat, I think an incubator could work here.</p>
<p>This is something I have talked to one group about&#8230; but I am not sure if people realize how much of an opportunity this is.</p>
<p>Anyway, how about this: I&#8217;ll also offer our audience and reach as sandboxes to promote these products, services and applications.  <a href="http://www.prweb.com/releases/2008/04/prweb828274.htm" target="_blank">We reach 99% of the online video universe right now in the US</a>.  No one can match that, as far as I can tell.</p>
<p>And, if that&#8217;s not enough, I will even handle finding a business model for them.<br />
Any takers to send me a check to get such an incubator off the ground?</p>
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