Difference between Startup Accelerator and Incubators

Startup incubators and accelerators have similar roles for startups they help early age startups in their development.

Startup incubators

Firstly, I will be talking about startup incubators which can be easily relatable from the Silicon Valley TV series the Erlic used to run his own startup incubators for the students.

Usually, incubators have been started by entrepreneurs who want to promote entrepreneurship in their own country or in their state.

Startup incubators are generally for about more than six months of the time period which can extend up to 1-2 years for startups.

Check out our video on the differences between accelerators and incubators. Also on our YouTube channel find out more useful startup content.

Incubators provide limited services to startups, they provide working space majorly for the startups also some mentorship and there’s some networking to the startups.

Apparently incubators are considered outdated where majorly they are restricted in Academy where students and recent graduates work on their technical products and startups in the college and get some mentorship and networking from the college.

Startup accelerators

While talking about startup accelerators they help start-up for the rapid growth and generally time period for startup accelerator is about three to four months or it can move up to six months.

Startup accelerators won’t provide physical space but one startup can work in their own space of startup accelerator. Startup accelerators have managing partners or entrepreneurs in residence which helps startup founders in mentoring sessions every week.

Startup accelerators like Y Combinator and 500 startups helped startups to have a good network of mentors and investors. Also at the end of the accelerator program, there is a demo day that helps startups to Pitch in front of investors and have a good opportunity for investment from investors.

Startup accelerators won’t take any charge from startup but in return, they take equity from the startup-like take an example of Y Combinator where they majorly invest about a hundred fifty thousand dollars in return of about seven percent equity.

So these are the major differences between startup accelerators and incubators hope you guys like it.