BADIR, a Technology Incubator Program

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Saudi Arabia's national technology incubation program established by KACST supporting technology-based entrepreneurship across multiple sectors through business incubation, acceleration services, investor networks, and ecosystem infrastruct
What are the main aims and objectives?

The primary aims of BADIR are to promote technology-based entrepreneurship and innovation throughout Saudi Arabia, to transform technology-based research and ideas into commercially viable businesses, and to create a supportive ecosystem enabling technology startups to develop, scale, and contribute to economic diversification and job creation. The program acknowledges that Saudi Arabia's economic future depends on developing knowledge-based industries beyond oil dependence and that systematic support infrastructure is necessary to enable technology entrepreneurship at scale. Specific objectives include fostering and promoting technological innovation and entrepreneurship across Saudi Arabia by supporting entrepreneurs in translating technology-based ideas into commercial ventures; creating an environment conducive to the emergence of technology-based institutions through provision of incubation and acceleration services; reducing entrepreneurial risks through structured business development support and mentorship; transforming technology projects and research into successful commercial opportunities; facilitating market entry and scaling of startups through connections to investors, research institutions, and corporates; creating missing links in the Saudi startup ecosystem by establishing formal incubator networks, angel investor organizations, and funding mechanisms that previously did not exist; promoting the concept of technological entrepreneurship and building entrepreneurial mindset across Saudi society; and establishing knowledge-based industries through support for high-tech, innovation-focused ventures. The program also aims to contribute to job creation, particularly for Saudi youth, economic diversification away from oil dependence, and establishment of Saudi Arabia as a regional technology innovation leader aligned with Vision 2030 strategic objectives.

How does the program work?

BADIR operates through a comprehensive support system combining multiple services and mechanisms to support technology entrepreneurs from idea stage through growth and scaling.​

Incubation Services:

The program provides business incubation services covering initial stages of company development, typically spanning 12-24 months depending on company progression. Services include office space and shared workspace facilities, with flexible lease arrangements enabling companies to scale space as growth progresses; access to prototyping labs, specialized equipment, and research facilities enabling development of technology-intensive products; business mentorship and coaching from experienced entrepreneurs and industry experts helping founders develop business strategies, validate market opportunities, and refine business models; and entrepreneur training covering business planning, financial management, technology development, intellectual property protection, and market strategy.​

Acceleration Programs:

For growth-stage companies, BADIR provides acceleration programs typically spanning 90 working days with intensive support focused on scaling, market expansion, and fundraising preparation. Acceleration includes strategic coaching, investor-readiness training, pitch preparation, and connections to venture capital firms and institutional investors.​

Investor Connections and Funding:

The program facilitates connections between entrepreneurs and investors through regular networking events, investor showcase events, and startup-investor matching processes. BADIR serves as a platform connecting startups with venture capital firms (the largest funding source), angel investors, private sector companies, and government institutions. As of 2018, BADIR Accelerator began offering direct seed financing of up to 500,000 Saudi riyals (approximately USD 133,000) in exchange for equity in acceleration-stage companies. The program also connects startups with institutional investors and corporate partners offering strategic investment and potential acquisition opportunities.​

Ecosystem Network Development:

BADIR established and coordinates the Saudi Business Incubator Network (SBIN) in 2009, creating unified regulations and standards for incubators and accelerators nationwide. The program also created the Saudi Business Angels Network (SIRB), bridging gaps between entrepreneurs and angel investors. BADIR operates multiple regional incubators across Saudi Arabia (Riyadh, Jeddah, Dammam) extending services beyond capital cities.​

Sector-Specific Support:

Different BADIR incubators provide specialized support in defined technology sectors: ICT/software, biotechnology, advanced manufacturing, nanotechnology, and energy technology, with tailored services and networks appropriate to each sector's unique needs.​

International Engagement:

The program facilitates international partnerships and networking, including memoranda of understanding with accelerators and incubators in other countries (such as Propeller in Jordan), enabling cross-border startup support, market access, and regional ecosystem integration.

What is the overall cost?

No available information.

How was it implemented?

BADIR was established by KACST in response to the Saudi government's commitment to diversify the economy away from oil dependence, develop technology industries, build a knowledge-based society, and align with the National Technology and Science Plan and National Industry Strategy objectives.​

KACST formally launched the BADIR program in 2007, establishing the foundational framework for national technology entrepreneurship support. The program was designed to address the absence of formal support infrastructure, angel investment networks, seed funding mechanisms, and regulatory frameworks that existed in Saudi Arabia at that time.​

In 2008, KACST established the first BADIR incubator—BADIR-ICT (Information and Communications Technologies), creating the operational foundation for technology company incubation and demonstrating the program model.​

Following the ICT incubator's initial success, KACST established two additional specialized incubators: BADIR-BIO (Biotechnologies) and BADIR-AMI (Advanced Manufacturing and Materials Technologies) in 2010, enabling sector-specific support and demonstrating model scalability.​

Recognizing that startups require ecosystem support beyond incubation, BADIR implemented complementary initiatives. In 2009, BADIR established the Saudi Business Incubator Network (SBIN), creating unified national standards and regulations for incubators and accelerators across the Kingdom, enabling consistent service quality and network coordination. Subsequently, BADIR established the Saudi Business Angels Network (SIRB), formalizing angel investment as an alternative funding source and bridging the gap between entrepreneurs and individual investors.​

KACST delegated day-to-day BADIR operations to the Business Incubators and Accelerators Company (BIAC), which developed operational systems, managed fund allocation, coordinated networking events, and handled investor relations while KACST maintained strategic oversight.​

In 2011, to ensure best practices and continuous improvement, KACST introduced an incubator monitoring and evaluation system for BADIR incubators, enabling performance tracking and evidence-based refinement of program operations.​

BADIR expanded operations beyond Riyadh, establishing additional regional incubators in Jeddah and Dammam, bringing specialized support to multiple regions and reducing concentration of entrepreneurship support in the capital.​

BADIR Accelerator initiated direct seed financing mechanisms beginning in 2018, providing up to 500,000 riyal investments to acceleration-stage companies in exchange for equity stakes, addressing documented difficulty of acceleration-stage companies accessing capital.

What impact has been measured?

BADIR has facilitated investment of $135.47 million USD in its portfolio companies across 184 deals between 2010 and end of 2019. This represents successful mobilization of private venture capital, private equity, angel investment, and government capital into technology startups.​

By demonstrating viable investment opportunities and reducing perceived startup risk through structured incubation, BADIR contributed to development of Saudi Arabia's venture capital market. The record $62.93 million invested in BADIR-incubated startups in 2019 alone demonstrates growing investor confidence and market maturation.

The 655 incubated companies collectively created employment opportunities for technologists, entrepreneurs, support staff, and complementary ecosystem participants, contributing to job creation particularly among Saudi youth pursuing technology careers.

Read more about 2019 impact, here. 

What lessons can be learned?
  • Creating missing ecosystem infrastructure addresses market failures: When BADIR began in 2007, Saudi Arabia lacked formal angel networks, seed funding sources, and standardized incubator practices. BADIR's establishment of the Saudi Business Incubator Network and Saudi Business Angels Network demonstrated that government-directed ecosystem infrastructure development can address documented market gaps and enable formal investment channels.​
  • Sector-specific incubators enable tailored support: BADIR's approach of establishing specialized incubators for ICT, biotechnology, advanced manufacturing, and energy sectors enabled tailored support, specialized mentorship, and sectoral network development more effectively than generic technology incubation alone.​
  • Regional geographic distribution democratizes access to support: Expansion of BADIR from Riyadh to Jeddah, Dammam, and other regions distributed entrepreneurship support nationally rather than concentrating in the capital city, suggesting that geographic decentralization of incubation services increases equitable access and enables regional innovation.​
  • Delegation of operations to specialized entities improved execution: Assigning day-to-day BADIR operations to BIAC (specialized business incubator management company) rather than maintaining direct government operation enabled professional management, faster decision-making, and operational focus on entrepreneurship rather than bureaucratic processes.​
  • Multi-stakeholder ecosystem engagement accelerates market development: BADIR's success in attracting venture capital (40% of investments), private sector funding (33%), angel investors (20%), and government capital (7%) demonstrates that programs designed to connect multiple investor types and support actors create more robust funding sources than relying on single investor categories.​
  • Formal structures for angel investment overcome investment barriers: The creation of the Saudi Business Angels Network (SIRB) by BADIR demonstrates that formalizing angel investor networks through formal structures, standards, and matchmaking platforms enables previously ad-hoc angel activity to become systematic and scalable.​
  • Direct seed funding addresses specific financing gaps: BADIR's introduction of direct seed financing (up to 500,000 riyal) beginning in 2018 addressed documented difficulty of acceleration-stage companies accessing capital, suggesting that programs should evolve to address emerging financing gaps as markets mature.​
  • Long-term program continuity supports ecosystem maturation: BADIR's operation since 2007 (approximately 18 years as of 2025) with government support across multiple administrations demonstrates that sustained, long-term commitment to startup ecosystem development is necessary for meaningful ecosystem maturation and market confidence building.​
  • Ecosystem infrastructure required documentation and evaluation systems: BADIR's establishment of an incubator monitoring and evaluation system in 2011 (4 years after launch) demonstrates the importance of building performance measurement infrastructure into programs from the beginning to enable evidence-based improvements and accountability.​
  • Limited comprehensive impact evaluation constrains optimization: The absence of published independent evaluations documenting business survival rates, employment creation, entrepreneurship behavior changes, or comparative effectiveness against alternatives limits evidence-based understanding of which program elements drive success and prevents identification of optimization opportunities.​
  • International partnership expansion enhances regional relevance: BADIR's recent partnerships with international accelerators and incubators (such as Propeller in Jordan) demonstrate that regional ecosystem interconnection through formal partnerships enables cross-border startup support, market access, and knowledge sharing, suggesting that localized programs can achieve regional impact through partnerships.

CURATED BY

Sarolta Borzasi

Director for Government + Investor Engagement
Embassy of Hungary London
United States