Guide

Setting up an innovation start-up

Introduction

An innovation start-up is a new business dedicated to exploiting a new business idea. It is usually set up by an entrepreneur - an inventor with personal ownership of an idea and a business plan of how to exploit it.

Sometimes, an idea may originate from within an existing organisation - eg a business or university. In these cases, the new business is called a 'spin-out'.

Finding funding for an innovative concept or an idea is often challenging. Many different factors can impact the success of a business.

This guide shows you how to create a business plan for an innovation start-up and identify available finance options. It also highlights the importance of intangible assets to innovation businesses. Finally, it explains the different exit strategies for innovation start-ups, including refinancing, acquisitions and initial public offering.