ࡱ> q` 64bjbjqPqP .z::+ZBBBBBBBV&&&8V&$z&V<r''"''''<(,h(;;;;;;;$=hW@l;B(''((;BB'';,,,(B'B';,(;,,7hBB8'f' Rl &*89|;0<8@+@ 8@B8,((,(((((;;+X(((<((((VVVZ%VVVZ%VVVBBBBBB GUIDELINES FOR MSC STATUS (INCUBATOR) Introduction This document explains the guidelines and procedures for the preparation and submission of the application for MSC Status for Incubators. It aims to assist prospective applicants in the preparation of comprehensive submissions in order to expedite the assessment and decision-making process. Application Documents Formal application for MSC Status must be accompanied by the following documents: DocumentFormatRequirement1Application Form Hard copyThree (3) copies2Application FormSoftcopy (MS Word)One (1) copy3Three years Audited Report of Substantial StakeholdersHard copyOne (1) copy4Company Registration Documents. (Form 9, 24,29 & 44), if applicable5Non-refundable processing fee of RM 2,000 payable in the form of cheque or bank draft to Multimedia Development Corporation Sdn Bhd MSC Status Eligibility Criteria To qualify for MSC Status and its benefits, the incubator must satisfy the following criteria: Technology Focus The Incubator must house tenants that are involved in ICT/Multimedia (e.g software, e-commerce, telecom), biotechnology and/or bio-informatics. Tenancy The Incubator must house early stage growth companies (ie seed-level or start-up companies, see definition below) involved in the above defined technology focus areas. Definition of early stage growth companiesSeed-level companiesEntities that have been incorporated within the past one year, and have ideas or concepts that require funds for proof of concept and/or prototyping.Start-up companiesEntities that may be in the process of setting up or have been in business for no more than 2 years and require first round funding capital for commercialization. These companies may not be generating profits yet.Definition of companies not considered to be in early stage growthGrowth companiesEntities that are in the expansion stage, and have successfully commercialised products, but may or may not be generating profits.Pre-IPO companiesEntities that are preparing for a corporate exercise or Initial Public Offer within one or two years. Facilities The Incubator must offer at least the following basic facilities; Utilities including water and electricity Internet access at minimum bandwidth of 128kbps per employee employed by the incubatee. Share facilities (eg meeting rooms, reception, audio-visual systems) Business advisory support (in-house or outsourced) Minimum 2,000 sq ft floor space Funding and Fundraising Applicants must demonstrate, the ability to provide direct investment capital or establish channels for financing seed or growth capital. Mentoring, Coaching and Training Applicants must demonstrate availability of resources in providing mentoring, coaching and training through staffing of incubatee with expert in various relevant business acumens and linkage to experienced and well endowed industry players. Incubation Best Practices Based on research into the state of incubation around the world and from published research materials plus experiences in the industry, following are a set of qualifications or best practices identified to be critical to the success of incubation. In view of this, it is strongly recommended that applicants adopt and provide necessary resources to incorporate the following elements of best practices into the incubation model. Best PracticeDescription Selectivity Acceptance of incubatees that have viable business concepts and characteristics for success.  Accountability Measurement of incubatees against set goals and milestones.  Mentoring, Coaching and Training Provide incubatees with the value of wisdom and experience through individual mentors, advisory groups, training programmes or through staffing of incubatee with experts in various business functions. This is the highest value an incubator can provide to incubatees.  Access to Capital Provide direct investment capital or establish channels for financing seed or growth.  Access to growth related resources on a Just-In-Time basis Access to resources such as facilities, internet access, office equipment, legal, HR and accounting services on a needs basis.  Assistance in developing non-core business components of the company  Focus on building in-house competencies or through partnerships. Synergy Creation Adoption of business eco-system through peer level relationships Industry knowledge, business and management skills Possess in-house knowledge on entrepreneurs specific industry segments as well as associated management skills.  Previous successes Successful launch record and professionals in the management team with experience in technology and in the investment industry.  The Intangibles Includes highly networked individuals, synergy with other incubators, alliance with corporations and VCs, relationships with mentors etc.  Applicants are advised to understand the key eligibility criteria for MSC Status as listed above before preparing their applications. The applicant may also seek the assistance of an Account Manager in the MSC Central Incubator at the draft stage of the application. Kindly note that incubators that are awarded MSC Status automatically become members of the National Incubator Network. All newly formed incubators must register with the Registrar Of Companies within a month of obtaining MSC Status. Companies Not Eligible for Incubation The Incubator should not house tenants that are involved in the following activities; Pure manufacturing / assembly activities Trading activities Consultancy activities that are not tied to any new multimedia application Application Process The key steps in the application process are as follows: All applications will be acknowledged by the MDC within 24 hours from the date of receipt. The acknowledgement letter will also contain the name of an account manager from the MSC Central Incubator who will act as the point of contact for all further communication and assistance. Within 7 days from the date of the acknowledgement letter, if any additional information or clarification is needed from the applicant, this will be conveyed in writing by the MSC Central Incubator. If the original application is complete, or upon receipt of the information as required under paragraph 2 above, a letter of completeness will be sent by the MDC to confirm that the application is deemed complete; The decision on the application will be conveyed to the applicant within 30 days from the date of the letter of completeness referred to in paragraph 3 above; and Successful applicants will be informed about the benefits and other terms and conditions of the offer. Unsuccessful applicants will receive a written explanation stating why the application was not approved. Borderline applicants will be advised to refine and re-submit their applications. Review Process To ensure the MSC Status Incubators commitment to the Governments objectives for the MSC, the MSC Status Incubator agrees that MDC shall have the right to monitor the activities and operations of the MSC Status Incubator for the following purposes: (i) to ensure compliance with the terms and conditions contained in this letter or other terms and conditions as may be notified by MDC from time to time; (ii) for the purpose of evaluating and assessing the progress of the MSC Status Incubator against its projections and assurances as contained in the Application Documents and/or any subsequent update documents; and (iii) generally to receive feedback from the MSC Status Incubator and to consider how MDC can support the MSC Status Incubator in its activities. MDC shall from time to time establish and notify the MSC Status Incubator of the applicable monitoring processes and procedures. The MSC Status Incubator agrees to assist MDC in its monitoring activities and will comply with such monitoring processes and procedures as may be notified by MDC. Such assistance will include but not limited to: (i) completing in detail standard update forms which may be issued by MDC from time to time; (ii) providing such information and documentation which may be requested by MDC from time to time in relation to its activities and operations; (iii) meeting with MDCs personnel or MDCs professional advisers or agents to clarify issues, answer queries, evaluate proposals and agree on objectives, activities, timelines and financial figures which may be relevant to the monitoring process; and (iv) granting access to MDCs personnel or MDCs professional advisers or agents to enter the premises of the MSC Status Incubator for the purpose of evaluating the activities and operations of the MSC Status Incubator All information received by MDC from the MSC Status Incubator which may be considered proprietary or sensitive shall be held in confidence by MDC but may be used by MDC for the purpose of compilation of data or statistics and/or for evaluation by MDC and/or its professional advisers or agents. Consequences of non-compliance In the event the MSC Status Incubator : (i) fails to comply with the terms and conditions set out above; (ii) fails to comply with the monitoring processes and procedures as described in and/or willingly refuses to provide such assistance as may be required by MDC in its monitoring activities as set out in above; or fails to or is unable to achieve or fulfill its objectives, projections or assurances as contained in the Application Documents and/or any subsequent update documents, then MDC shall in the first instance notify the MSC Status Incubator of such failure and/or non-compliance and afford an opportunity to the MSC Status Incubator to explain its position to MDC and seek a waiver or otherwise come to a mutually acceptable compromise or resolution of the matters relating to such failure and/or non-compliance. In the event that MDC and the MSC Status Incubator are unable to arrive at a mutually acceptable compromise or resolution as aforesaid, MDC may at anytime thereafter notify the MSC Status Incubator in writing of its intention to recommend the revocation of the grant of MSC Status of the Incubator. Upon receipt of this notice, the MSC Status Incubator may, within thirty (30) days, appeal to MDC in writing stating any grounds or arguments supporting its appeal against the intended revocation as aforesaid. Revocation and Appeal Process In the event that the MSC Status Incubator does not appeal to MDC as stated above or having considered the appeal, MDC is of the view that the grant of MSC Status should be revoked, MDC may then in its discretion proceed to issue a written notice to the MSC Status Incubator stating that the grant of MSC Status of the Incubator will be revoked. Upon revocation of the grant of MSC Status as stated above, all benefits, incentives and privileges granted by MDC or the relevant government authorities shall be withdrawn. Essential Contacts Mr. A. Balasubramaniam Head, MSC Central Incubator/Accelerator, NIN MSC Central Incubator 63000 Cyberjaya Selangor Darul Ehsan Tel : +603-8313 8001 Fax : +603-8313 8017 Email :  HYPERLINK "mailto:bala@mdc.com.my" bala@mdc.com.my      PAGE  Page PAGE 9 of 9 Guidelines for MSC Status (Incubator) &'4Y # . 5 6 d f ; f g @AQRMNQ\^q:⧚{{{{hDK&6CJOJQJ]^JhDK&6CJOJQJ\]^JhDK&5CJOJQJ^JhDK&56CJOJQJ]^JhDK&6>*CJOJQJ]^Jh&6CJOJQJ^JhDK&5CJOJQJ\^JhDK&CJOJQJ^J hDK&CJhDK&CJ OJQJ^J-&'4Y Z p $$V&`#$/If^a$$V&`#$/If^$^a$$<&dP^a$$a$ $$dNa$ 354  cPP:P$$V&`#$/If^a$$V&`#$/If^kd$$Ifl\hh!< 6`V0!4 la   # - 7 D cPP::P$$V&`#$/If^a$$V&`#$/If^kd$$Ifl\hh!< 6`V0!4 laD E G ~ cPP:P$$V&`#$/If^a$$V&`#$/If^kd$$Ifl\hh!< 6`V0!4 la cPP$V&`#$/If^kds$$Ifl\hh!< 6`V0!4 la c qq$V&`#$/If^{kdD$$Ifl40hh! 6`V0!4 laf4c d e l__SFF $(^a$ $ & F(a$ $(^a$$<&dP^a$$a${kd$$Ifl4u0hh! 6`V0!4 laf4 : ; f g | n^kd$$Ifl4,"064 la f4 $$If^a$ $(^a$ $(^a$ $ & F(a$& $$If^a$nkd:$$Ifl0 ,"064 la @AR&^kd$$Ifl4,"064 la f4 $$If^a$nkd$$Ifl0 ,"064 la RNnkd"$$Ifl0 ,"064 la  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