Earlier this week, we published Accelerating the UK, a report that found accelerator programmes do indeed have a positive impact on company growth, with the average accelerated company going on to raise 44% more funding and achieving a 75% higher valuation than their non-accelerated peers. But why should you care about these programmes?
Ahead of the competition
Young companies that apply to accelerators have to go through a competitive and rigorous process in order to secure a place on the programme. Having been hand-picked by a board that actively wants to grow and invest in the startups, accelerator attendance can act as an effortless round of due diligence for those who are interested in working with young new companies. This, compounded with the mentoring, network access and sponsorship they receive during the programme makes for very high potential startups that are on track to grow very quickly.
Accelerator programmes often work with other companies and corporates to help find funding for attendees, prepare them for pitches and provide business support throughout the programme (usually lasting around 12 -13 weeks long).
And the opportunities are plentiful; the number of accelerators we currently track on the Beauhurst platform stands at 186, with a total number of 5848 attendances. This number is dramatically increasing year-on-year, and we expect the growth to continue into 2019 and beyond.
We’ve found that an increasing number of businesses are wanting to track and approach accelerator programmes and their alumni. Building relationships with their cohort from an early stage can lead to long lasting business relationships, that become increasing lucrative as the young companies continues to grow and fulfil their potential. Some providers to high-growth companies also like to build partnerships with the accelerators themselves, strengthening their reputation and consolidating their relationship with each new year of applicants and attendees.
For example, the vast majority of UK accelerators offer business advice to their cohort, so a recruiter that builds a strong partnership with an accelerator programme can provide guidance for the attendees during the programme, and continue to work with them after they graduate to actively grow their team as they quickly expand.
Our research also shows that 71 UK accelerators provide office space, and 21 provide co-working space. This offers a great opportunity for office space providers to strike relationships with accelerators, establishing themselves as the ‘go-to’ people for real estate needs after the companies move out of offices provided by the accelerator.
The Beauhurst platform gives you access to all the data on UK accelerators, and deep-data profiles on all their attendees. Search across these companies to find your next major client, before they make it big, or track, research and approach the programmes themselves to strike up a long-term partnership.