Just like humans, companies have life cycles and undergo distinct developmental phases.
While every company is unique, almost all go through certain stages with specific challenges and needs. As a result, organizations such as incubators, accelerators, and co-working spaces have been established to help entrepreneurs nurture and scale their companies.
For less capital-intensive organizations, such as software and app startups like AirBnB, Dropbox, and Uber, this incubator-to-accelerator-to co-working space model has proven to be extremely effective. But for “tough tech” startups like robotics or biomedical there are many barriers to entry and stumbling blocks that traditional startup support organizations are not equipped to handle. Over the last few years, we have begun to see a growing need for a similar ecosystem to support robotics, biomedical, energy and new materials startups.
This has resulted in the emergence of a new type of startup support system: the startup escalator.
So what is a startup escalator?
Startup escalators represent the next generation of innovation spaces. They are unique in that they target “tough tech” companies — that is, companies developing technologies with long learning curves that often require highly specialized and expensive equipment for prototyping and testing, and that have significantly longer time to market than typical VC funded ventures.
This includes startups developing new materials, biomedical, or robotics technologies that all fall under this “tough tech” category for which traditional incubators or accelerators are less effective. A startup escalator addresses this critical market need by offering a combination of shared, specialized equipment and labs, co-working space, and an extensive virtual network of mentors, investors and other specialized support structures.
At a high level, startup escalators have the following requirements:
- Startup escalators should be industry-focused
- Startup escalator programs should not have a fixed duration
- Startup escalators should provide specialized equipment and infrastructure
- Startup escalators should employ a rent or membership based model
- Startup escalators should attract a network of specialized investors, corporate partners, and service providers
Like literal escalators, these spaces are always on – you just “step on” them whenever you are ready to move from one level to the next….