For startups, there are numerous paths for getting their name out there. One way, which Vator has been covering recently, are startup competitions, but another popular method to get a foot in the door, as well as some funding and traction, are accelerators. These are programs that provide companies advice, guidance and various forms of support for startups in their early stages. They also often invest in the companies, for a certain equity stake.
There are some very well-known accelerators out there, including Y Combinator and 500 Startups, which have made their names through various successful alumni. Those programs fairly general, accepting companies from a variety of different spaces.
For some companies, it may help to join an accelerator that only focuses on their specific area. That’s especially true for those in more specialized spaces, which will have their own unique challenges and regulations.
One of those areas that requires some additional expertise is FinTech. Here are some of the startup competitions that are focused specifically on mentoring companies in that space:
“The world of financial technology changes so quickly that we must always be ready for the next big thing.”
Investment amount: Check size ranges from $25,000 to $500,000
Program benefits: Three month programs, twice a year for 25-30 FinTech startups.
Mentor makeup: Dana Stalder, Jeff Garzik, William Koenig, Jonah Lupton and Anjney Midha
Portfolio companies: Paypal, Credit Sesame, Lending Club, FiscalNote, Revolution Credit
“A unique programme designed to take your business further. We’re fintech-focused and overflowing with opportunities.”
Investment amount: Techstars invests in each company and retains 6 percent equity as common stock, as it does with all of its programmes. Companies will be part of the extended Techstars network and will always be able to benefit from the business opportunities this presents.
Investments are up to $120,000.
Program benefits: A 13-week program that includes:
- Introductions and guidance from key decision makers at Barclays, who are looking for innovative solutions
- Access to technical expertise in a dynamic and collaborative community working space with cutting-edge resources
- The opportunity to pitch to the influential tech community
Mentor makeup: David Cohen, Frank Meehan, Roger Ehrenberg, Brad Feld
Portfolio companies: Seldon, Wave, Wisor, AgentCASH, Forward Lane, Alloy
“SixThirty provides FinTech startups with up to $100K in funding, focused mentorship, and connections to the top financial services companies in the country.”
Investment amount: The funding it puts into startups is typically an equity investment. Unlike other accelerators, its stake in the company is negotiable. Historically, it has taken less than 10 percent for the $100,000 and the services it offers as an accelerator.
Program benefits: SixThirty provides a 14-week intensive business development program in…