Startup accelerators and incubators are organizations that help startups attain success. Startup accelerators tend to focus on providing startups with advice, and resources to help the startups achieve success. They are basically the power house of startups. Accelerators does not offer separate office space to startups , but may have a physical location for shared resources and accelerator events such as any event where a distinguished speaker has been invited to speak, Incubators however, offers dedicated office space to the startups for a certain period of time.
Startup accelerators and incubators can be included at various stages: early stage, revenue generating stage or late stage when the business is already established, but for the smooth running of Startups founders prefer to involve accelerators / incubators since the very beginning. Startups are usually taken in as groups , with many incubators and accelerators offering 1-3 batches per year. Some focus on a particular industry, market, technology, whereas others are more generalists.
However, while a handful of accelerators and incubators have been very successful in helping startups attain success, there is no guarantee that an incubator will provide success to a startup. Most startups often do not initiate with a well defined team. Tech startups, in particular, need much less people to work on their prototype than any other type of startup. This lack of clarity and creative diversity in the first few months of starting make them exceptionally susceptible to failure. Especially when the founder – or co-founders – have not built the management or people skills required to effectively steer the boat where they need. A startup incubator can greatly help a startup business find their bearings, at a fraction of the time and cost needed elsewhere.
Why do startups need an incubator?
Everybody wants their startups to succeed, and for that they would of course want the best advice and mentorship, and for that nothing can beat an incubation center. They provide the best guidance to most types of startups. Since startup companies lack resources, experience and networks, incubators provide these services which help them get through initial hurdles in starting up a business. These hurdles include space, funding, legal, accounting, computer services and other prerequisites to running the business. The first few months of a startup is crucial, and an incubator helps them to cross that complication.
These are the type of services an incubator provides:
(i) They help with the basics of a business.
(ii) They furnish Networking activities
(iii) They give assistance in marketing
(iv) They help in analysing market analysis.
(v) They also provide Internet access at high speed
(vi) Accounting and financial management is also provided for
(vii) They make bank loans, loan funds and guarantee programs accessible
(viii) They provide resources to higher education
(ix) They help in strategic planning
(x) They provide Access to angel investors or venture capital
(xi) They organize Comprehensive business training programs
(xii) They act as Advisory boards and mentors
(xiii) They help in Management team identification
(xiv) They help with business etiquette
(xv) They provide Technology commercialization assistance
(xvi) They help with regulatory compliance
(xvii) They provide Intellectual property management
What are the types of Incubators ?
There are a number of business incubators that have focused on particular industries or on a particular business model, earning them their own name.
(i) Virtual Business Incubators – These are basically business incubators which perform online. As many startups have shifted online, to include them within the group, and to help them as well, incubators have also been established virtually.
(ii) Medical Incubator – This business incubator is focused solely on medical devices & biomaterials. Incubators encourage innovation and entrepreneurship in the field of medicine, so that medical startups can be built.
(iii) Kitchen Incubator – This incubator is focused solely on food startups. For somebody who is starting food startups, they have to invest a lot, before the first batch of food is ready, so incubators help them by providing low cost food management and setting up the startup without hassle.
(iv) Seed Accelerator – This type of incubators help those startups which are at its seed stage, that is just starting out. Any one can apply for a seed accelerator but it is a highly competitive zone, so only the one which has its aim clear can apply for a seed accelerator.
Top 20 Startup Incubators in India
- 500 Startups – 500 Startups provides a seed program which is of four months, and helps in marketing, product design, accounting, mobile, user testing, sales and more.
Location: Bangalore
Funding: Up to $150,000
Focus sectors: Digital, Retail, Education, Financial Services
Notable startups: ZipDial, PopXo, Instamojo, KartRocket, Tripoto, Sheroes
- TLabs – This one is supported by Times Internet, Tlabs also offers a 4-month program consisting of mentoring in the Technology space.
Location: Noida
Funding: Up to $50,000
Focus areas : Internet, Mobile
Notable startups: GetMyUni, Cirtru, EPaathsala, HopOn, GradeStack
- Cisco Launchpad – This one was founded by Cisco, it is a 4 months program where students get access to Cisco’s technology platforms, coworking space, mentorship programs and more.
Location: Bengaluru
Funding: $8,000
Focus areas: Security, Networking and Infrastructure, IoT, Virtual Reality
Notable startups: Astrome, Navstik Labs, VuNet, Torchfi, IQLECT, Teslon
- GSF Accelerator – This provides a 13-week programme with access provisions to venture and business networks, personalised and intensive mentoring, and initial capital.
Location: Gurugram/ Gurgaon
Funding: Up to $60,000
Focus areas : Internet, Mobile
Notable startups: Little Eye Labs, Zapr, Overcart, Flinto, Browntape
- Microsoft Accelerator -Microsoft Accelerator is a global 4-month program that provides the expertise, tools and resources to scale startup businesses. It also helps create new distribution channels and markets.
Location: Bengaluru
Funding: Non-Monetary Benefits
Focus areas : Technology
Notable startups: Touchfone, Bookpad, PlusTxt, GazeMetrix
- Indian Angel Network – It is supported by the Department of Science & Technology, National Science and Technology Entrepreneurship Development Board, Govt. of India. IAN provides an incubation period of 18–24 months, which include mentoring and strategy inputs.
Location: New Delhi
Funding: Up to $1,000,000
Focus sectors: Agriculture, eCommerce, Education, Financial Services and others
Notable startups: Box8, Web Engage, Vitas Pharma, LawRaato
- iCreate – iCreate (International Centre for Entrepreneurship and Technology) is an incubation program lasting up to 2 years. It provides startups with product development facilities and a go-to-market strategy.
Location: Ahmedabad
Funding: Up to INR 45 lakhs
Focus areas: Technology, Robotics, Green Energy, Agro & Food Processing
Notable startups: Purple Docs, Hubilo, WorkSocial, Wishvilla
- Google Launchpad – It is a 6-month program and is specifically tailored for the Indian market and provides access to the best of Google’s advanced technologies, network and people.
Location: Bengaluru
Funding: $50,000
Focus areas : Mobile Apps
Notable startups: Curofy, Flyrobe, HarshLearn, Playment, Rentomojo
- Amity Technology Incubator – Amity Technology Incubator provides a program of 24 months, which includes mentoring, infrastructure and business advisory services.
Location: Noida
Funding: Up to INR 50 Lakhs
Focus sectors: SaaS, Clinical Research, Affiliate Networks, Online Security
Notable startups: Circuitsutra, Apnacircle.com, Kinetic Media, Biziga Solutions
- Angel Prime – They take startups from the initial stage to the revenue production stage. The programme is of 9 – 12 months
Location: Bengaluru
Funding : $600,000
Focus areas : Electronic Payments, eCommerce, Mobile Apps
Notable startups: KredX, HackerEarth, EzeTap, NiYO
- Prime Venture – They only work with 4 – 5 startups a year and focus on one startup closely. They provide mentoring and guidance and claim that they work with rockstar startups.
Location: Bengaluru, Karnataka
Funding Amount: USD 600K
Focus Area: Logistics, Fintech, Healthcare in SaaS, B2B, and Consumer domain.
Noteworthy Startups: OTO, Sunstone Eduversity, MoneyTap, MyGate
- CIIE – It was founded by IIM Ahmedabad, and the Gujarat Government along with the Government of India. They are a non – profit entity
Location: Ahmedabad
Funding Amount: INR 20 lakhs
Focus Area: Information Communication Technology, Cleantech and Social
Notable Startups : Travelyaari, Innoz, Thrillophilia
Indavest – An incubator which helps startups by providing business capitals, giving access to the right network and strategy
Location: Bengaluru
Funding Amount: N/A
Focus Area: Mobile NEtwork, customised gifts
Notable Startups : Vyoma, General Sentiment
- NSRCEL – It is set up at IIM BAngalore, this one facilitates business growth through academic research by scholars and practical learning of entrepreneurs. It is an open incubator.
Location: Bangalore
Funding Amount: As allotted by government
Focus Area: N/A
Notable Startups : Amagi, Nextgen
- Science and Technology Entrepreneurship Park – It is based out of IIT Kharagpur. It helps the young firms to survive and grow by providing specialised support services during the critical period of a business venture i.e. the start-up phase. The goal is to nurture successful indigenous technologies and growth oriented entrepreneurs/enterprises. It provides space as well as seed fund to the startups.
Location: Kharagpur
Funding Amount: N/A
Focus Area: N/A
Notable Startups : Ikure Techsoft
- Seedfarm – It is a physical incubator. Here startups are provided with access to expert advises
Location: Mumbai
Funding Amount: INR 1 – 1.5 crore
Focus Area: Consumer Internet, ecommerce, sports, education, healthecare, financial services, analytics, services and online ticketing
Notable Startups : myDentist, Level10 Entertainment
- SINE – Society for Innovation and Entrepreneurship is backed by IIT Bombay. It incubate 15 startups a year
Location: IIT Bombay
Funding Amount: N/A
Focus Area: technology
Notable Startups : Webaroo, Bhugol GIS, SMSGupshup.com
- Startup Village – India’s first incubator funded jointly by private and public sectors. They focus on student startups from campuses. The promoters of Startup Village are the Department of Science and Technology, Government of India, Technopark Trivandrum and MobME Wireless.
Location: Kochi
Funding Amount: Depends on the startup
Focus Area: Technology Startup
Notable Startups : iTraveller
- Technopark TBI – It is a non – academic business incubator, hosted and founded by Asia’s largest It Park Techno Park. The programme month is around 11 months
Location: Kerala
Funding Amount: N/Am
Focus Area: Technology Startups
Notable Startups : N/A
- Veddis Ventures – It is based out both in India and abroad. They had been investing in media, social networking, and information technology companies
Location: Gurgaon
Funding Amount: $10 – 20 mn
Focus Area: Consumer Technology
Notable Startups : Favista
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