Incubator or Accelerator, Which One is the Best for Your Business?
Every startup needs an excellent ecosystem to ensure its growth. This is done with various efforts, from finding investors to looking for a good business model for startup growth. However, doing it independently will be complex and laborious. Therefore, some businesses and companies offer startup business development and growth services quickly and thoroughly. Such business comes in two forms: incubator and accelerator.
Startup incubators and accelerators have a similar business model: to train their clients on how to grow their businesses effectively and efficiently. However, the two have their differences.
This article will tell you about the differences between incubators and accelerators. Let’s read the article further.
The Difference Between Incubator and Accelerator
In general, an incubator is a startup growth assistance service that focuses on incubating various new ideas expected to build a good business model for the startup.
The incubator offers a relaxed pace of activities when viewed at the speed of activities. It provides an environment full of support and collaboration from the parties involved, from the mentor who will help the development of startups to the provision of workspaces. Incubator participants will use their time in the incubator to network with other entrepreneurs, brainstorm the latest ideas, set the product-market fit, and discuss future business plans.
Due to its focus on incubating business ideas, incubator services last an extended period, from 1 to 5 years. In addition, its nature tends to be flexible and gradual. In the end, startups are expected to find the best ways to grow their business through ideas that come out with incubators.
Unlike incubators, accelerators are startup growth assistance services that focus on accelerating startup growth. An accelerator is focused on accelerating the growth of startups so that they can enlarge the size and quality of their business.
When a newly established startup can follow the incubator, the accelerator can only be followed by startups that already have a minimum viable product (MVP) and natural growth. The selection is also rigorous: on average, only 1-2% of startups pass the accelerator selection.
Due to its business-accelerated focus, accelerators operate over a short period, usually several months. In those months, participants had to participate in a series of structured activities with dozens to hundreds of mentors designed by the accelerator. The mentors are not random because they are usually startup executives, venture capitalists, industry experts, and other investors.
In the accelerator, startups are usually given many benefits, from an extensive network to various mentors to small seed investments. In essence, accelerators allow startups to achieve extraordinary business growth, usually obtained in two years and brought in a matter of months.
Want to Grow Your Startup? Gear Up Will Help!
Now, you know about the difference between an incubator and an accelerator. For your startup growth, you could choose which one is suitable for your startup. But do you need something beyond an incubator and accelerator? Gear Up is here!
Gear Up is a startup brainstorming partner that will provide a variety of knowledge and experience that will be useful for your startup’s growth. With a 1-on-1 brainstorming program for 50 weeks, Gear Up will provide a type of mentorship and training suitable for your startup growth.
Let’s join Gear Up, your startup partner, more than just a startup incubator or accelerator!