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 inestment 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 ususally takes a percentage of your business in return for some cash. This is typical venture capital model. These accelerators are usualy aimed for more seed or pre seed stage startups which is usually when you are just starting out or have an idea wihtout any real MVP build just yet. Each one of them works differently and each one usaually has a venture capial fund which can also inject seriou capial (series A) or more with new inestors 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 boostrap the business. Mailchimp one of the most famous boostrapped 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 youself forward and NEVER pay to pitch. If your going to join an acclerator make sure its a tier 1 accelererator.
Whats good about acclerators
The community is so imporatant when building a company and may be just one of the most important reaons in joining a accelrator. YC is nutorious for thier community and helping each other in succedding. 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 succedd is very imptant 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.
Join our discord discussion group below:
Some articles you may find useful
Our YC interview: