Definition, Meaning & Synonyms

spin-out

noun

/ˈspɪn aʊt/

Definition

A spin-out is a new company formed by the separation or spinning off of a part of an existing organization, particularly a business or school department.

Examples

The tech firm launched a spin-out to focus on renewable energy solutions.
The university had many successful spin-outs that started from research projects.
Investors were excited about the potential of the new spin-out created from the biotech division.

Meaning

Spin-outs often occur in industries like technology and academia where a novel idea or product is developed, leading to the creation of a new, independent business entity.