One million dollars for incubating 30 Romanian web projects

Nearly 30 Romanian web projects will be possible to incubate this year by Internet Genesis Company, some of the first names on the list being www.Miere.ro, www.Vacante.ro, www.eCatering.ro or www.Celular.ro.

“Our 2001 business plan includes incubating at least 27 projects, with about 30 projects annually scheduled for the next five years,” Nicolae Ivan, Internet Genesis Romania general manager, told Ziarul Financiar.

“To do this, we need a one million-dollar budget every year, $500,000 of which will come from us. We’ll try to raise funds from the Romanian market for the remaining amount of money,” Nicolae Ivan added. “I for one would rather work with Romanian investors and give them stock in Internet Genesis in exchange for their contribution, instead of going to London to talk with an investment fund.”

Internet Genesis Company was registered in mid 2000. Its stockholders are Internet Genesis US (75%) and Nicolae Ivan (25%). When the company was first established, the officials announced they would open the biggest business centre for Internet projects in Romania, which was supposed to allot the incubated firms 2,500 sqm in office space.

“We wanted a grand opening, but due to some differences with the owners of the space in question, that is ICE Felix (on Pipera platform, Bucharest) the project had to be delayed. We are hoping to solve these problems and open the centre by mid 2001, all the more reason since we’ve already refurbished nearly half of this space,” Nicolae Ivan added. Internet Genesis has refurbished 1,200 sqm and installed over 70 kilometres of wiring (for Internet access).

“We will have 2,500 sqm for offices, Internet connection, accounting and marketing services for every incubated company. We’ll also have a fitness room, library and everything that makes us enjoy living.

The whole idea is that an entrepreneur comes up with an Internet-based business concept or wants to take over the administration of a website we launched, I say OK and the lawyers take care of all the formalities in one week.

Then you get computer, office, Internet access, online website, access to accounting and marketing services, everything you need to get your business going in no more than ten days. The costs are lower for everybody involved,” Nicolae Ivan, who added that Internet Genesis does not really fund an Internet-based business, but covers all the costs entailed.

According to the Internet Genesis official, supporting a project amounts to some $20,000 for six months. In general, the projects are incubated for six to eight months, and, in the event a project incubated fails to produce results to justify its costs within 12 months, the project in question is closed.