In business–and especially in startups– an accelerator is a very important part of the team. After all, these are the entities that provide the knowledge and funding to keep a company surviving and thriving. Maybe you are a startup just taking your first unstable steps in the marketplace (or just standing on the sidelines thinking about walking) and you wonder whether or not you should reach out to accelerators. Well, here are some things to consider.
1. Accelerators have access to capital.
It is true that the accelerator program is about far more than just money, but the fact of the matter is that accelerators are an important contact that can lead you to potential financial sources like venture capitalists. There are a myriad of reasons for this, but the biggest one is that startups connected to accelerators have more clout, as accelerators do due process to ensure a startup will make money before adding it to its portfolio. It’s yet another example of “It’s not what you know but who you know.”
2. Accelerators provide much-needed mentorship.
Yes, I know, you studied business in school and built the base of your startup yourself. Trust me, you still need mentorship. (And no, this need for guidance doesn’t make you less of a startup trailblazer.) Mentorship can help guide your startup through the minefield that is the early marketplace and help you avoid common pitfalls. In fact, mentored startups dramatically outperform their unmentored competition, doubling the success rate of launching and surviving.
3. Accelerators help you understand your market.
You have to know that you will face competition in the marketplace. Regardless of how groundbreaking you may think your startup is, other startups and businesses will be competing with you for your customer base. Knowing that they are there and having a sense of what their strengths and weaknesses are will help you better maneuver yourself in the market.
Successfully thriving in the marketplace takes a lot more than luck. Don’t overlook accelerators, as they can be the element that pushes you to the top of the FinTech business chain.