Small Industrial Development Bank of India has partnered with Gurugram-based coworking startup Incuspaze for launching a coworking centre in Delhi to offer workspace facility to its micro and small enterprises (MSEs) and startup customers, Incuspaze founder and CEO Sanjay Choudhary told Financial Express Online.
Incuspaze was selected through a formal process inviting applications from coworking enterprises for setting up a centre at one of India’s largest commercial hubs — Connaught Place in Delhi. As per the agreement with SIDBI, Incuspaze will develop, maintain and operate the centre that would offer subsidized office space to MSEs and startups.
“This is a small pilot that we are doing and going forward this would expand to bigger places and more centres. It is an added initiative by SIDBI apart from various ways it supports MSMEs at early stages and that is what required,” said Choudhary.
Incuspaze charges Rs 5,000-14,000 based on the centre where the customer is for per seat and per month. However, MSEs and startups associated with SIDBI would get 20-25 per cent discount per seat.
Few things that perhaps worked in Incuspaze’s favour, said Choudhary, is the focus on Tier I and particularly Tier II cities even as SIDBI is not only concentrated in Tier I cities. “Also because I have invested in multiple startups and worked with them might have caught SIDBI’s attention.” Choudhary has invested in around six startups including Hirestreet, and Klassroom Edutech.
“We believe this collaboration would mark the next step in elevating and strengthening this ecosystem. Incuspaze has been receiving a good response in the country because of the quality of services and amenities that it offers to its members and thus we decided to work with them,” said Mohammad Mustafa, CMD, SIDBI in a statement, that led to the tie-up. The centre is expected to be opened in the coming two months.
Incuspaze currently has around 2,000 seats across eight centres in four cities — Gurugram, Mumbai, Lucknow, and Indore while five centres are in pipeline. The startup is planning to reach 12-15k seats in the current financial year.
SIDBI would also be looking at setting up an accelerator programme for MSEs at the centre.