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:

Vlad Kozul

Vlad started his career in finance having done a bachelor’s at Cass business school in London and a master’s at ESCP in Paris specializing in finance. He speaks both French and English and has previous experience working in finance on the buy and sell side. He worked in asset management within insti…

FounderBounty. Entrepreneur courses and mentorship to help you start a business or side hustle. Learn new skills.Vlad Kozul

Join our discord discussion group below:

Join the Founderbounty Discord Server!

Check out the Founderbounty community on Discord - hang out with 1 other members and enjoy free voice and text chat.

Discord

Some articles you may find useful

Here is a good article we wrote about the differences between Antler and entrepreneur first:

Antler or Entrepreneur First? Which is better?

It’s a question a lot of founders ask. Which is better? Should I leave my job to go to one of these? Are they any good? This is the question I get a lot, so if your a first-time founder or have never been a founder this is worth a read.

FounderBounty. Coaching with quality entrepreneurs to help start a business or side hustle.Vlad Kozul

Our YC interview:

My interview with YC and how you can do better.

I’m sharing my experience from interviewing with Y Combinator accelerator, one of the world’s best Venture capital companies. The YC interview is short quick, to the point, and also a great learning experience. Just getting an interview you are in the top 1% of founders so count yourself lucky. We t…

FounderBounty. Coaching with quality entrepreneurs to help start a business or side hustle.Vlad Kozul