Loading...


2019 October
Home >  CGCC Vision > 
Fabrica: Techstyle-focused Startup Incubator

An important pillar of The Mills for driving innovation, Fabrica has launched an incubation programme dedicated to techstyle startups, helping them to develop their business while creating new techstyle solutions through its prototyping lab and experiential concept store to enable Hong Kong’s textile and garment industry to re-industrialize.

 

The rejuvenation of mills not only preserves a history and an industry, but also creates an interaction between the new and the old. Alexander Chan, Co-Director of Fabrica, stressed to drive the sustained development of the textile and garment industry by spurring industry transformation with new technologies, innovative thinking and re-industrialization.

 

Innovating the textile and garment industry

Chan said that Fabrica’s startup incubation programme enables the development of the new TechStyle category through the intersection of technology and style, including materials & supply chain innovation, wearables & products merging technology & style, and new retail experiences.

 

Many incubatees have a lot of innovative ideas. For example, the Goxip app uses image recognition technologies to help consumers find the stylish products they desire; the MOTIF apparel knowledge hub connects professionals around the world with the skills and industry expertise they need to transform their businesses, lives and careers; TG3D Studio, a fashion technology company, helps the fashion industry’s transformation through digital solutions, enabling brands to implement sustainable demand-driven production models; and Unspun combines SD scanning and weaving technology to support local production and made-to-order customized apparel.

 

Fabrica also offers co-working spaces: Fabrica Lab is a prototyping lab equipped with state-of-the-art equipment for prototyping; Techstyle X, an experiential concept store, plans techstyle retail experience, providing a platform for promising techstyle startups to showcase their innovative products and services.

 

External investment is needed in the long run

The startup incubation programme also injects new thinking and new talents into the industry. According to Chan, Fabrica will develop for incubatees an incubation plan lasting at least 12 months, offering them market exposure opportunities, connections and advisory services to guide them on how to develop and grow their business, as well as assisting them to seek investors for funding and launch online crowdfunding, etc.

 

Chan said that as the costs of small-scale production are high, Fabrica’s companies will need more funds for business expansion and product R&D as they grow bigger. For this reason, Fabrica launched an investment fund, Fabrica Fund. “To help them in the long run, we cannot only rely on Nan Fung Group’s capital injection. More importantly, we have to attract and seek more external investment and participation.”

 

ORII, a startup that invented a smart “bone conduction” voice-powered ring to send and receive audio messages and calls, is a case in point. After receiving initial funding from Fabrica Fund, it immediately attracted investment from others, such as Cyberport. “Investor sourcing is an important part of sustaining startups.”

 

Going global with startups

Chan said that in the early stages of the programme, Fabrica supported startups in a more traditional way, e.g. coaching them on marketing and transformation techniques. Over the past two years, the team has been exploring how to better assist entrepreneurs. “In the past six months, we have done more to open doors for startups and introduce them to large corporations.”

 

“Large corporations often are not willing to inject capital into startups as they do not have enough confidence in the latter. The perception will be different if Nan Fung Group, as a large corporation, builds bridges. It will make other large corporations more willing to form partnership and expedite approval for investment projects.” Chan further revealed that Fabrica’s focus was on Hong Kong two years ago, but as they gradually came to realize that Hong Kong was only a test ground, many startups set their ultimate goal on tapping overseas markets outside Asia. Therefore, Fabrica will set up an office in the UK in the coming year to lead more startups in going global.

 

Transformation requires an open mindset

The textile manufacturing industry gives people an impression of being traditional. Chan said that another mission of Fabrica is to impress upon the startups the message that they have to keep pace with the times and transform in a timely manner. “Through education, we want the startups to understand that transformation is the only way for them to continue growing, even though the process may not be easy and the results may not be immediate.” Looking back at his past work, Chan remembers his journey with many entrepreneurs. It is inevitable that the initial stage is challenging and the process is difficult, but it is very gratifying to witness them gradually achieving results from scratch.