The Startup Factories, How Incubators Are Shaping Entrepreneurs [Report]

Startup incubators have grown in double digits in the last couple of years. Following the success of Ycombinator and TechStars, in recent years we have seen literally hundreds of regional incubators set up in the rest of the US and Europe, across campuses and within vertical industries, such as mobile or finance. Each incubator promises to provide startups with mentorship, support and a smoother ride to funding.

A new report published by NESTA (the National Endowment for Science, Technology and the Arts – an independent body with a mission to make the UK more innovative), predicts that we can expect to see many more new accelerator programmes created in the coming years, and therefore it’s important to understand their processes to better support the growth of innovative startups.

The opportunity

Bootstrapped startups need to look at the plethora of incubators as an opportunity to become better entrepreneurs by learning from your peers and mentors, and by creating powerful networks across geographies.

Criticisms of the model

Despite the generally positive feedback from investors and entrepreneurs alike, incubators also have their detractors: they only build small companies (so far), they divert talent from other high-growth startups and good companies sometime fail despite the incubator program.

NESTA Report - European Incubators

NESTA Report - Founders guide to European accelerator programmes

NESTA Report Notable US seed accelerator programmes by location showing total number of startups funded to 2010 VC Cafe

Notable US seed accelerator programmes by location showing total number of startups funded to 2010. Note: Bar size indicates number of startups funded to 2010.

Download the Startup Factories report here.

 

Follow me

Eze Vidra

General Partner, Google Ventures at Google
Eze is a General Partner at Google Ventures Europe. Before joining GV, Eze started Campus London, Google's first physical hub for startups, and led Google for Entrepreneurs in Europe. He's an experienced product manager and startup mentor. In 2012 Eze founded Techbikers, a non-for profit supporting children education in developing countries.
Follow me

Eze Vidra

Eze is a General Partner at Google Ventures Europe. Before joining GV, Eze started Campus London, Google's first physical hub for startups, and led Google for Entrepreneurs in Europe. He's an experienced product manager and startup mentor. In 2012 Eze founded Techbikers, a non-for profit supporting children education in developing countries.

3 Comments

  1. Hello,

    A correction for your readers regarding the Openfund, we have now funded 8 companies and our funding comes not just from a bank but also from a number of individual/angel investors.

Leave a Reply