AlphaLab and AlphaLab Gear Increase Investment Levels
Innovation Works announces next step to provide accelerator companies' additional financial support.
Last year, Innovation Works announced changes to move to an “always open” application process for AlphaLab and AlphaLab Gear. This allowed us to meet companies where they are and deliver a more customized experience for their unique needs. This approach has provided flexibility to work with founders on product iteration, manufacturing, go-to-market, and fundraising strategies according to their timeline and priorities while continuing to connect companies to our community of fellow founders, mentors, and investors. We have also focused more on deeper-dive workshops in sales, digital marketing, and manufacturing as part of our programming.
We are excited to announce that we are now increasing the investment levels for AlphaLab and AlphaLab Gear to $100K. We recognize the increasing costs associated with the early stages of building a software or hardware company and have increased our funding to provide additional runway for companies. As a result, all of our AlphaLab accelerator programs will offer up to $100K of investment in the form of a convertible note + 2% common equity.
How it will work:
Going forward, an AlphaLab or AlphaLab Gear company will receive $50k upon execution of the Agreement structured as a $50K convertible note + 2% common equity. As part of the agreement, our teams will work with the companies to determine milestone goals to accomplish during the accelerator program. Upon the timely completion of these milestones, the company will receive up to an additional $50k in funding under a convertible note.
This milestone-based structure provides companies with the confidence of up to $100K funding while focusing on the key goals to accomplish during the program. It also allows our team the flexibility to continue making investments in companies at earlier stages of product or traction.
We remain committed to building community among current and alumni companies and offering specialized mentors, programming, and expertise to our companies. Hardware companies will continue to access AlphaLab Gear’s expertise in helping physical product companies with prototyping, design for manufacturing, go-to-market, and our Scalable network of manufacturers. Software companies will continue to benefit from AlphaLab’s experience in SaaS and other business models, software product development, and digital marketing/customer acquisition techniques.
These enhancements of our nationally-ranked programs continue to give companies the investment, knowledge, community, and network needed to succeed, but now in a way that is more flexible and responsive than ever before. Learn more and apply at alphalab.org or alphalabgear.org.