Business Incubators and Survival of Startups in Times of COVID-19

Abstract

This research seeks to understand the situation that entrepreneurs have experienced during COVID-19 and the impact that this has caused on the entrepreneurial ecosystem. The question is whether business incubators as facilitating institutions of entrepreneurship have been determinants for the survival of startups. The study was conducted using a statistical methodology of analysis based on the application of structural equations modeling (SEM) on a theoretical framework built and validated empirically in a representative sample of entrepreneurs from the Community of Madrid (Spain). The results obtained show that the different tools, actions, advice, and services offered by the business incubators, during confinement to the present, have been key to the survival of the entrepreneurial ecosystem, which in turn promotes the advancement of the productive industry of our country.