Over the weekend, startup accelerator TechStars announced a partnership with Startupbootcamp, a Copenhagen-based incubator and the very first member of a new global affiliate program hosted by TechStars. With programs in Boulder, Boston and Seattle, TechStars is now expanding and “open sourcing” their incubation model by providing guidance and support for independent international startup accelerators. A TechStars presence in Europe, in any way, shape or form, is a positive step for seed funding in Europe, which – as we’ve discussed earlier – is in dire need of growth.
Startupbootcamp is a three month program running from August through October where a select group of companies will fine-tune their ideas, develop prototypes and develop their business. At the end of October, the teams will present their products to a group of over 100 investors in hopes of securing further seed or Series A funding.
TechStars founder David Cohen recently wrote a blog post announcing the partnership and noted the advantage foreign accelerators will have by utilizing the open methods of the U.S.-based TechStars.
“TechStars can help affiliates to quickly build their mentor networks, teach best mentoring practices, and thereby also attract the region’s best entrepreneurs,” writes Cohen. “It’s great for investors because they see high-quality startups who have been well coached. And it’s great for the community because mentorship becomes more ingrained into the culture, which then attracts still more entrepreneurial talent.”
Having an accelerator like TechStars bring its reputation and success overseas is a big step forward for the seed funding market in Europe. Traditionally, most venture firms in the area have focused their attention of proven business models and companies with some years of success behind them. Finding support for young first-time entrepreneurs has been significantly more difficult in Europe than in the U.S., which has caused many great minds to leave Europe to seek funding.
“TechStars can help affiliates to quickly build their mentor networks, teach best mentoring practices, and thereby also attract the region’s best entrepreneurs.”
– David Cohen
Companies accepted to Startupbootcamp will be provided with 25,000 Danish kroner (which is a little over $4,300) per team member, as well as office space and access to over participating 50 mentors. All that the program requires of applicants is that they be dedicated, hard-working teams with innovative ideas and clear business models. Startupbootcamp does, however, require a 5% to 10% equity share in participating companies.
With this new partnership, Startupbootcamp is helping to build the fence that will keep Europe’s talent at home. In the last few months, Europe has seen the creation of several new seed level initiatives, including Index Capital’s Index Seed, as well as the Berlin-based Team Europe Ventures. Hopefully with the TechStars name behind it, Startupbootcamp will help strengthen Europe’s startup talent pool.
