Ms Williams said there was a desperate need for an incubator, which would allow small technology-based businesses to set up in common premises for reduced rent in the area.

The businesses would share the personnel and overhead costs of running a business, with a shared receptionist and some joint facilities.

"It could be a home-based business that is ready to move into new premises but can't afford the full cost just yet, or it could be a totally new business," she said.

"The rent would be reduced for 12 months to two years and businesses would then begin paying full rent or move out."

Ms Williams said the Southern Tablelands and Highlands BEC already had approval for the Federal funding necessary to get the project off the ground, but needed to find a suitable building.

"I have seen that the successful incubators in other areas are those with no building costs, so they can afford to keep the rent low," she said.

"Those who take out leases or rent buildings appear to fail."

Ms Williams said it could take between 18 months and two years to actually get the project up and running.

Wingecarribee Shire Council has said it has no suitable premises to offer, but Ms Williams said she was confident they would help with the development process once she found a building.