# Startup accelerators **Author:** Lucy Hoyle **Read time:** 4 minutes **Published date:** September 20, 2024 Joining an accelerator can be a game-changer, providing startups with mentorship, resources, and funding at a key moment in their development. Contents: Download a list of 100+ top accelerators to find the right fit for you ## What is a startup accelerator? Accelerators are intensive three- to six-month programs that provide mentorship, resources, and a small amount of funding—usually in exchange for [equity in your company](/content/learn/equity/index.html). Generally, accelerators will take about 3—10% of your company’s equity in exchange for providing funding, guidance, and networking opportunities with [venture capitalists](/content/learn/private-funds/venture-capital/index.html) and other investors. For most accelerators, you’ll need to have more than just an idea to apply. You’ll need a prototype and often the first iteration of your product or service with initial market traction. Once accepted to an accelerator, you’ll work with [startup advisors](/content/learn/startups/founding-team/advisor/index.html) and seasoned entrepreneurs who can help you refine your product, business model, and [pitch](/content/learn/startups/fundraising/pitch-deck/index.html)—as well as [connect you to investors](/content/learn/startups/fundraising/investors/finding-investors/index.html)—so you’ll have a better chance of [raising a seed funding round](/content/learn/startups/fundraising/seed-funding/index.html). _This video is a part of Carta’s free_ [_Startup Fundraising 101 curriculum_](/content/learn/startup-fundraising-101/index.html) _._ ## Startup accelerator vs. incubator While both accelerators and incubators are designed to help you build a successful business, there are some key differences between the two. **Accelerators** are designed to help you accelerate the growth of an existing startup—usually in the seed-stage—that has a minimal viable product (MVP) and [founding team](/content/learn/startups/founding-team/index.html) in place. You’ll get actionable feedback to test and improve your product and business plan. Accelerators are often cohort-based, meaning a set number of startups get accepted in a class and they all go through the structured programming together. Accelerators also usually provide funding for a stake in your company. **Incubators** are generally less structured than accelerators and provide the environment and resources to help you develop and refine your [pre-seed or early-stage startup idea](/content/learn/startups/fundraising/pre-seed-funding/index.html) so you can turn it into a business. Unlike an accelerator, you don’t need to be in product development or have an MVP, business plan, or founding team to apply to a startup incubator. ## When should you join a startup accelerator? While there’s no right answer, it can be most beneficial to join an accelerator once you have initial product-market fit and are getting ready for your [first fundraising round](/content/learn/startups/fundraising/index.html). Accelerators can help you gain credibility, expand your network quickly, and gain access to experienced entrepreneurs who can provide valuable business and leadership mentoring. Most accelerators have strong relationships with a [wide range of investors](/content/learn/startups/fundraising/investors/index.html) and are structured to help you improve your product and business plan with the goal of getting funded. Many accelerators end with what’s called a “demo day” where you get to [pitch to their network of investors](/content/learn/startups/fundraising/pitch-deck/index.html) in hopes of raising your first round. While [Series A](/content/learn/startups/fundraising/series-a/index.html) startups aren't excluded from joining accelerator programs, it’s less common to join after your company has already raised its first [priced round](/content/learn/startups/fundraising/priced-rounds/index.html). If you want to find an accelerator but aren't sure where to start, download our free list of over 100+ global accelerators. ### How to apply to a startup accelerator Getting accepted to a startup accelerator can be highly competitive and begins with a well-crafted application. Here are some tips to make your application stand out: - **Identify the right accelerator:** Research accelerators that align with your startup's industry and stage. - **Highlight your unique value proposition:** Clearly articulate what sets your startup apart. - **Prepare a compelling pitch deck or video:** Present your business model, market analysis, and vision. - **Showcase your team's strength:** Emphasize how your team's background and skills position you for success. - **Be clear and concise:** Avoid jargon and complex explanations. ## How do accelerators affect your company’s valuation? The impact of joining a startup accelerator on your [company's valuation](/content/learn/startups/equity-management/409a-valuation/index.html) is multifaceted. Typically, accelerators ask for about 3-10% equity in exchange for their investment and support, which can lead to equity dilution. However, being part of a well-regarded accelerator can enhance your company's market valuation and signal to potential investors that your startup is a worthwhile investment. ## Download a list of 100+ top accelerators to find the right fit for you Download our list of over 100 of the best startup accelerators across the U.S and in countries around the world.