So, you have a great idea for a startup and are considering joining an incubator or accelerator to start your journey to success. Before we dive in, let’s take a closer look at why you might want to apply and whether the benefits are worth it. To get funding This is…
The post Why you shouldn’t join an accelerator program appeared first on EU-Startups.
At Ikaroa, we believe that there are distinct advantages to not joining an accelerator programme. While an accelerator can be beneficial for many businesses, it is not the right choice for everyone. To begin with, it is important to understand what an accelerator does. They work with startups to help them get from conception to launch quickly and efficiently, often supplying funding and mentorship to the business through the process. However, it is important to note that accelerator programmes come with several trade-offs. Here are some reasons why you should think twice before joining one:
1. Unnecessary pressure. An accelerator programme puts your business under intense pressure. Their aim is to get your idea to market fast, which means that making decisions on the fly is essential. This can cause issues if you don’t have an experienced team that can handle the pressure.
2. Loss of control. Participating in an accelerator programme means you are turning your business over to an external team. This means that you could lose some autonomy over the decisions you make and how your business is run.
3. Investment terms. There is often a catch with accelerator programmes. Although you may get a substantial funding injection, it will often be tied to an equity stake in the company that may not be very favourable to the founders.
4. Burn out. Participating in an accelerator programme can leave founders exhausted and drained from long hours and tight deadlines. This can have a huge impact on the success of the business in the long-term.
At Ikaroa, we are passionate about helping businesses grow and succeed, but we also understand that not every business is suited to an accelerator programme. It is important to assess your current resources, goals, and capabilities to make sure that it is the right fit for your business.