Last week I received an email with a great startup accelerator infographic from Steve at MassChallenge, a zero-equity startup accelerator from Boston. You can find our list of Seattle area accelerators here if you’re you’re interested in finding local accelerators. Our list of local incubators may interest you also.
Steve Williams put together an awesome infographic on the state of US Startup Acceleration that’s a great resource for the startup community. Here’s a note from him on what he discovered.
Let’s start with a few stats that really stood out from the research:
- Funding grew over 1,000% in the robotics, agtech and blockchain verticals since 2012 (verticals that are big in Seattle)
- Harder to get accepted (1.5-3%) into an accelerator than Stanford or Harvard
Amongst the many ideas, there are startup accelerators. Now, if you’re unaware of what these are, then this is the blog post for you. We’ve got a visual guide below that shows you the road to startup acceleration, and it’s got some interesting facts and stats as well. For example, did you know that you can receive an average investment of between $20,000 – $50,000? What’s more, there are 186 startup accelerator programs in North America today, and they regularly see thousands of applicants.
Please take a look at this infographic as it does tell you a lot about startup accelerators – particularly how to apply for them.
Obviously, there’s a lot of good stuff covered here. But, some questions are still unanswered. Mainly; what is a startup accelerator?
An Intensive 3-Month Program
It mentions right at the top of the graphic that startup accelerators are 3-month programs that give you access to a whole host of resources. You’re provided with seed money to help fund your business, which is usually in exchange for equity in your company. Then, you’re basically thrust into this world where you’re educated in how to be an entrepreneur and run a successful company. By the end, you should have the knowledge of someone with years of experience, but it’s all crammed into a short format.
You’ll attend workshops, sit through seminars, and experience one-on-one mentoring from industry experts. This all culminates in a graduation of sorts where you have to put together an extensive business pitch to hundreds of different investors.
There are many benefits to a startup accelerator – with money being a blatant one. But, there’s something arguably more beneficial that you get as well.
Incredible Networking Opportunities
Startup accelerators are cohort-programs, so you’re in an environment with loads of other entrepreneurs and business owners. Add to this an array of highly experienced mentors, and you can form relationships with people of real influence. This opens the door to potential partnerships or further funding through your connections. As every entrepreneur knows, building a substantial network is the key to sustainable success.
So, these programs are created to inject your business with a bit of money, but also to supply you with the tools and knowledge needed to scale your company and accelerate growth. It all sounds too good to be true, so why doesn’t everyone apply for these programs?
The answer is in the graphic; hardly any applicants are accepted. Out of every 3,000 people that apply, only 90 get accepted – and that’s on a generous occasion. If you still want to apply, then you can do so online by finding a startup accelerator that appeals to you. It’s useful to read the tips at the end of the infographic on how to frame your application and include everything the accelerators are looking for.
To summarize; startup accelerators are 3-month programs that aim to scale small businesses and boost your growth through education, networking, and investment. They’re hard to get into, but if you have an idea that will blow your market wide open, then you’ve got a chance.