Accelerator

An Accelerator is a program whose intent is to “accelerate” the development of startups. Typically an accelerator will last one to three months and aims to provide support to startups through small amounts of seed capital, mentoring, training, and events for a finite period. It is common for an accelerator to receive some equity in the participating companies in exchange for the company’s participation in the program.

Example:

We gave up 8% to our accelerator, but once we graduate we’re going to be ready for Series Seed Funding at a $2M valuation.

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Trough of Sorrow

The Trough of Sorrow is a period in the life of a startup in which the excitement of founding a startup has worn off, but before the business really hits its stride. Many startup founders experience this struggle, especially coming out of an exciting accelerator.

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Demo Day

Demo Day is “pitch day,” or when startups in an accelerator pitch to investors.

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