Many people have a hard time believing that individuals with mental illnesses are just as capable of starting and running their own businesses as other ambitious people. That’s because they haven’t heard of Incube Inc., an innovative not-for-profit program that helps people with mental illnesses start their own businesses.

"The dominant mode of thinking regarding employment for people with mental illness is to get them jobs, but these jobs are too often menial ones with limited career development," said Barbara Granger, Ph.D., director of training at the Matrix Training Institute in Philadelphia.

Breaking away from that mold, a New York program called Incube Inc. "helps [mental health] consumers start their own businesses and in doing so enables them to develop a career and to recreate their dreams and potential," noted Granger, an expert on mental illness and employment.

Of course, hiring consumers would be expected from an agency in which nearly all of its 14 employees as well as its consultants are mental health care consumers, as they call themselves. In fact, Incube, which has its main office in Manhattan and a satellite branch in Hempstead, Long Island, is believed to be the nation’s only peer-run agency whose sole mission is to help such consumers start their own businesses, according to Granger.

Incube has been helping people who have had treatment for mental illness since its founding in1988 by residents and professionals from the Bronx State Psychiatric Center. Since then, the agency has assisted approximately 80 businesses. In just the period from June 1997 through June 2000, Incube Inc. received New York City grants that were used, in part, as capital to start 17 businesses with more than 24 employees. The 15 that are still operating specialize in graphic design, photography, office equipment sales, fitness, greeting cards, fashions for full-figured women, custodial work, and developing audiotapes for the visually impaired.

These successful owners in turn give lectures and offer inspiration to Incube’s new clients.

And just who are these clients? Approximately half are on Social Security, and many have been homeless. Furthermore, although most have graduated from high school, only a few have college degrees. Approximately 15 percent to 20 percent were former business owners who lost their businesses when they suffered a relapse of a psychiatric illness.

In addition to providing business assistance, Incube oversees a consumer-run housing program that assists 50 tenants in maintaining their low-cost apartments in the Bronx and a program for young adults that helps them navigate the mental health system.

Why does the program focus on self-employment? People with mental illnesses should have choice, explained Tony LaGattuta, Incube’s associate director and the former assistant regional commissioner for the Rehabilitation Services Administration in the U.S. Department of Education.

Granger concurred, adding, "What stands out for me about Incube is that its staff consistently promote the idea that self-employment is as much the right of people with mental illness as other citizens."

In addition, self-employment allows business owners more flexibility—they control their schedule and tasks, choose their employees and business associates, and make reasonable accommodations for their employees’ psychiatric illness, explained LaGattuta.

Another reason for concentrating on self-employment is that it promotes mental well-being: "When people are involved in a creative therapeutic experience, they are much less likely to relapse. And very few of our clients have relapsed," said Rosemarie Adside-Clyburn, vocational assessment director at Incube.

The first step for individuals interested in starting a business through Incube is attending an orientation meeting at which they receive an application. Every three months the program accepts approximately 120 clients, who then attend several one-on-one meetings with vocational assessment counselors and complete an exhaustive vocational assessment. About half are not ready to start their business, and Incube’s counselors offer them information and referrals on how to take classes, find a business partner, or find employment.

The others begin the second half of the program, which involves meeting with counselors who assist them in writing their business plan and provide them with reading material and referral information. If clients need more specific information, they can meet legal, fiscal, or management consultants with whom the program has contracts. The client presents the plan to a New York State vocational rehabilitation agency known as VESID (Vocational and Educational Services for Individuals with Disabilities), along with a letter of intent and feasibility report, which VESID purchases from Incube.

If the plan is approved, VESID allots $11,000 for the client; however, the client’s expenditures must be authorized by VESID. Typically, the client uses the money for equipment, supplies, rent, and consultant services. For those needing additional money, Incube has started using the VESID funding as leverage to obtain bank loans.

In addition, to this assistance, Incube offers a wide range of business-orientated lectures, workshops, and seminars on everything from computer training to the transition from Social Security income to self-employment.

"Incube is a shining light: It is very successful in what it does," said Granger. "The staff have persevered over the years, honing their expertise and assisting individuals in starting businesses and encouraging others who started businesses to stay involved and be role models for others."

Similarly, VESID’s New York City regional coordinator, William Janowitz, said, "Incube is an important program. It is an excellent resource for individuals interested in pursuing self-employment or entrepreneurship."

Incube is considered to be such a success that its executive director, Miriam Kravitz, J.D., was honored for her work by the U.S. Rehabilitation Services Administration and the Council of State Administrators of Vocational Rehabilitation in May 1998 and by the New York City Office of the Comptroller in 1996.

Larry Termo, Incube’s administrative assistant, cited three factors contributing to the agency’s success: first, the staff concentrates on the clients’ business goals and abilities, not their illnesses, and thereby encourages them to focus on the possibilities of their business rather than the limitations of their illness. He noted, however, that if someone is exhibiting behavior that might be indicative of illness, the staff will encourage him or her to get psychiatric help.

Second, Incube is peer run, and third, it offers numerous networking opportunities for clients.

Being peer run has definite advantages: "We really can connect with clients on a personal level because we’ve been through the same things, like hospitalization," said Adside-Clyburn. "I tell them: ‘I’ve been where you are.’"

And because of the staff’s sensitivity to mental health concerns, they examine each business plan in terms of the client’s mental illness. Will the type of business exacerbate their mental illness? Have they included a back-up plan in case they are hospitalized? How will they comply with the Americans With Disabilities Act?

As far as networking, the agency’s staff encourages the business owners to hire each other. In addition, they assist them in getting contracts with mental health agencies and mental health events.

And then there is the matter of pride and self-esteem. "Saying we’re business owners sends a message that it doesn’t matter that we are consumers [of mental health care]," said Adside-Clyburn, who is part owner of a Brooklyn juice bar and a social club for people who have been treated for mental illness. "Rather, what matters is our training and skills and the support we receive. . . .What Incube showed me was that if you ever had the thought that you could start your own business, you can with Incube’s support."

Despite the hard work and success, Incube faces major funding woes. Granger said, "I am disturbed that public-sector funding for Incube has dropped significantly, which will slow down [the agency’s] productivity."

LaGattuta concurred. "The public funding that we used as capital to start businesses will no longer be available after June."