1. Welcome TNAU Food business Incubator Delegates

2. Capacity Building Program Financial management& Self Sustenance S Sethuraman, Head, Financial Services, ICRISAT 3. Components

Macro view

ABI in ICRISAT

ICRISAT in general

4. Financial Management

An evolving process

Stage in business cycle

Business Model

Market conditions

5. Stage in Business Cycle 6. Key areas of concern

Resource Mobilization

Pricing Methodology

Other considerations

7. Revenue Models

Upfront or As we go?

Different streams

• Rent

• Support services

• Sharing in clients success

• • Equity

• • Royalty

• Combination of methods

• Continuing Government funding

8. Dilemma of start up ventures

Pace of Funding vs Growth

Threat of Degeneration

Capital Own or Third party

• Loan

• Equity

9. Financial Management

What to Manage?

Income & Expenses

Planning, Overseeing & Controlling

Cash Flow

• Short & Medium Terms

• Frequent updating - Dynamic

Equipments

• Record Keeping

10. ABI in ICRISAT 11.

Commenced in 2002

NSTEDB of GOI assistance

• Mission

Facilitate creation of competitive Agri-business enterprise

Through

Technology development and Commercialization

12. Resources

Capital & Revenue grants

Earned income

Accumulated surplus

13. Revenue streams

Rent

• Office

• Lab

• Controlled Environment facilities

Office support services

Consultancy services

14. ICRISAT Vision Improved well-being of the poor of the semi-arid tropics Mission To reduce poverty, enhance food and nutritional security and protect the environment of the semi-arid tropics by helping empower the poor through science with a human face Operations Patancheru ,8 African Locations + golbal presence 15. Financial Challenges

Unpredictability of Unrestricted grants

• Size

• Timing

Exchange rate risks

Need for reserves Long term needs

16. 17. 18. Thank you