What Incubator & Accelerator are looking for in startups
Nowadays a lot of entrepreneurs and founders are looking to take their tech ideas/projects/startups to the investment level throw incubators and accelerators but many of them face rejection or disappointment, here we will discuss the most important factors every seed investment firm is looking for in a startup.
The most important aspect in the equation as every startup pivot due to market dynamics but only a qualified team can manage the pivot. Team qualification & experience is extremely important as it represent their capabilities. NOT being coachable & open minded for accepting changes is a deal breaker. The team must be collaborative, have strong harmony and balanced.
The idea need to be original, unique, addressing existing pain and deliver a unique solution. If the startup team can’t convince the accelerator/incubator team with their startup idea so either it solve tiny problem or they can’t sell it well. Accelerators & Incubators are interested in products that deliver value more than services and agencies.
The Business Model Canvas
Building the business model looks so easy to fill the areas but it is actually very hard and difficult. Business model need to fill it with realistic data from the market (Market Research) to be validated and verified. It has to be creative and have a specific pivot as the accelerator/incubator team (most probably) had seen this business model so many times failing by other entrepreneurs saying that they will succeeded. Put more innovation in the business model.
Your MVP is one of the most supportive weapons in your hand while applying to the accelerator/incubator team. The more investment you put your MVP the most likely you can be accepted, alot of teams apply with very poor MVP which raise alot of questions.
Basic Financial Model
They are investors, their main languague is numbers. Use a model not model a sheet full with numbers, put expectation and forecasts to give them a measurment of potential. Validate these numbers to show that they have been based on scientific background not only dreams. DON’T BE CONSERVATIVE with the numbers. Financial model show your knowledge about finance and investment, your potential and capabilities.
Be the best SALES MAN ever. The pitch is about show off, story telling, capturing the audience, being non expected, waking the audience throw an easy steps to understand everything, use an amazing graphics & show passion. Simply be a movie star more than an entrepreneur and steal their hearts and minds. The accelerator/incubator team believe in numbers and details but they love skilled strong attractive team and having strong passioned sales skills is always something to admire.
It is a big bonus if you had penetrate/tested the market and have positive response/feedback. This give the team many indication that you will spend the money in market penetration more than product building/development.