What is an Accelerator?


An accelerator, commonly known as a business accelerator, is a program designed to support the early stages of companies through mentorship, networking, and sometimes financial investment. These programs aim to help startups be agile and self-sufficient in a short period, often within three to six months.

During this time, startups undergo intense coaching, required meetings, and seminars from seasoned business leaders and investors. Typically, this will culminate in a “Demo Day” or graduation, where they pitch their products and businesses to an audience of potential investors. Accelerators often do not charge fees for their services as startups are enrolled via application, but they might require equity in the business.

What is an accelerator for startups?

Business accelerators for startups can be an invaluable investment for several reasons. First, accelerators can provide startups with the necessary resources, including mentorship, years’ worth of training, and access to funding. Second, these programs are designed to guide and validate the business models of startups. This can help avoid wasted time and effort for trial and error. 

Lastly, accelerators can expand the startup’s network by giving them access to potential partners, customers, and investors. Being accepted into a reputable accelerator can also instantly boost a startup’s credibility and reputation.

Accelerator vs. Incubator

Both accelerators and incubators are known to scale up startups. Their main differences lie in the scope and purpose. 

Accelerators are three-to-six-month-long programs designed for startups that already have a minimum viable product or a product that can attract early adopters. On the other hand, incubators typically cater to goal-setting-stage entrepreneurs who are building their ventures from the ground up. Incubator programs often last for over a year. While accelerators are focused on the rapid growth of a startup in a few months, incubators take a more laid-back approach by providing legal and business services, as well as conceptualizing products fit to the market and building operating plans.

Business Accelerator Examples

There are several accelerators around the globe, with over 200 within the United States. Each of them differs in focus, cost, and approach. Some are funded by tech investors and corporations while others are university-sponsored or government-funded. 

Here are some of the notable accelerator programs and what they offer:

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