Running an accelerator

I remember Wayne telling us before the cohort arrived that you could only plan so much with beforehand with an accelerator program. Tings change, visas get denied, mentors pull out, startups get sick etc. It is important to think of an accelerator as a live organism where we would have to react to whatever unpredictable events would occur.

Looking back it it was great to have Wayne's experience to navigate unplanned events when they occurred, but also the feeling that it was okay that things did not go according to plan encouraged us to do what best we could with what we had.

Teach and support the startups is the main priority

As an accelerator, you in a way work as both the servant and master to the startups. Give them everything they need to do what they need, but also push them to perform their best.

One of my best learning experiences during the program was when we sat together with our mentors and had open discussions with all startups participating. You’d frequently get so many perspectives on an issue that they would open up new ways of attacking problems and build a collective insight that would enhance the discussion between the startups afterwards.

Another insight was how important connections and references are. Having a startup being a part of something greater, such as Hatch meant that our startups much more easily could get meetings and have conversations with people in the industry who’d otherwise ignore them. An accelerator with a strong industry connection such as Hatch thus act as a validator that saves a lot of hassle for both parts.

Startups have different needs at different stages

Everyone starts at different places, some have more business understanding than others. It is important to establish a baseline of knowledge to make sure the startups have the tools necessary to grow into global companies.

Some basic business knowledge is expected by the companies at the end stages of the program, which at times includes home studies. Lean startup, business model canvas, product market fit.

Some people, like Wayne, will often say that an accelerator is like a mini MBA. Entrepreneurship and startups need to be taught practically anyway, you wont learn how to create a successful startup from reading a book.

Marketing is important

Both the accelerator and the companies should be doing content marketing throughout the program. It sucks, but it needs to be done. You cannot expect everyone to do it, but to have at least one or two startups that are active on social media is necessary to be visible.

It helps when you got superstar companies such as Finless Foods in your cohort!

Everybody can’t win

There are no participation trophies, only the companies with the most potential will get follow on funding. For the companies entering this means that they shouldn't expect the follow on funding.

The rule of three means that 1/3 will fail, 1/3 will survive, and 1/3 will succeed. It makes sense that the accelerators only invest in the top 1/3 of the cohorts that are deemed to be able to succeed. This means that around three companies in a 10 company cohort will get investments. But hey, startups are all about trying again, not with a better skill-set than the last time you tried. It’s a journey about learning.