Is an accelerator worth it for your startup or business from a Techstars COO
Having been through Techstars, plug and play myself, and been part of antler and interviewed at entrepreneur first and YC i think i have a good idea about weather an accelerator is good for your business or startup. I have also worked in finance prior to entering startups working for tier 1 investment banks. There are a lot of folks who think about while you are trying to build your company and a lot of people look at accelerators as a way.
The accelerator model
The accelerator model usually takes a percentage of your business in return for some cash. This is typical venture capital model. These accelerators are usually aimed for more seed or pre seed stage startups which is usually when you are just starting out or have an idea without any real MVP build just yet. Each one of them works differently and each one usually has a venture capital fund which can also inject serious capital (series A) or more with new investors to back your company.
Does your business really need venture capital?
A good question to ask about weather you really do need any funding or can you bootstrap the business. Mailchimp one of the most famous bootstrapped startups made it without any accelerator or funding. There are other reasons apart from capital you may want to think about using an accelerator to push yourself forward and NEVER pay to pitch. If your going to join an accelerator make sure its a tier 1 accelerator.
Whats good about accelerators
The community is so important when building a company and may be just one of the most important reasons in joining a accelerator. YC is notorious for their community and helping each other in succeeding. Building a startup a lot of people think you are crazy (and a lot want you to fail) so joining a community where people want you to win and succeed is very important as its so so hard to build a company from scratch.
Your company, your choice
Its your up to you to what you are going to do. There are pluses and minuses to both, your giving up equity for the business but your part of a community, so choose wisely.
AUTHOR VLAD KOZUL - MY LINKEDIN
Follow me on twitter
Learn more about Vlad Kozul here:
Join our discord discussion group below:
Some articles you may find useful
Here is a good article we wrote about the differences between Antler and entrepreneur first:
Our YC interview: