BUSINESS MODEL Costs, Funding & Revenues
Because almost half of the existing hubs consist of non profit organisations or donor-funded organisations, the discussion around financing received and the allocation of funds has been crucial. 60% of all respondents claimed to receive external funding and, among the donors, corporate sponsors , philantropic organisations , and NGOs have proven to be the most active funders. The majority of hubs surveyed claimed to have received less than $100,000 in funding from various sources. Several hubs establish strategic affiliations with corporates, which o en include a degree of asset sharing such as cloud, servers, optic fiber, and the like. Sev- eral hubs also partner with their local government or international subsidiaries to get sup- port for their activities. According to the surveyed hubs, the majority of funding received is largely used to cover operational costs and programmes. Wages and facilities still pres- ent the highest costs on average, whilst energy and rent-related costs vary respectively depending on whether the hubs are located in areas with unreliable access to electricity or in costly neighbourhoods. KEY CORPORATE PARTNERS* KEY DONORS
*The surveyed hubs were asked to mention partners who supported them either directly or funded any of their programmes.
TOTAL FUNDING RECEIVED
DONORS
Corporate Sponsors DFI Government NGO Philanthropic Orgs Foundation /Grant
Prefer to not disclose Not applicable $0-$49,999 $50,000-$99,999 $100,000-$249,999 $250,000-$499,999 $500,000-$999,999 $1,000,000-$2,499,999 $2,500,000-$4,999,999
21%
5% 3%
12%
10%
16%
3%
Private Investor Venture Capital University
15%
15%
0
5
10
15
20
Hubs
COST BREAKDOWN
AVERAGE FUNDING ALLOCATION Operational Programmes Administration
Wages
Programmes
10 15 20 25 30
Rent
Facilities
46% 51% 15%
Energy
Investable Capital
Miscellaneous
Equipment
0 5
22,7% 35% 18,3%
BRITER BRIDGES
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