A lot of information here, but it doesn't seem certain that this is a real slowdown -- at least with respect to the number of accelerators.
Truthfully, the slowdown in funding of "accelerated" startups could be down to other market factors (like the "crunch" that is widely touted) ... it'll be a few yrs until we can really see the effect here.
"Just 27% of companies were able to secure outside funding within one year. Ultimately, just 36% of accelerated companies since 2005 added to their seed and angel rounds."
"According to the New York Times, 72% of Y Combinator companies through 2012 raised money after their Demo Day, and the majority of these companies have raised increasingly larger rounds"
I'd be really interested to know what proportion of non-YC startups raised follow on funding. It seems like YC might be dragging the average up.
Keep in mind, too, that this article seems to be referring to A or later rounds ("venture backed"), not necessarily convertible debt seed rounds. As many accelerated companies are still pretty new, many will not have completed an A round yet.
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[ 3.4 ms ] story [ 14.7 ms ] threadTruthfully, the slowdown in funding of "accelerated" startups could be down to other market factors (like the "crunch" that is widely touted) ... it'll be a few yrs until we can really see the effect here.
"According to the New York Times, 72% of Y Combinator companies through 2012 raised money after their Demo Day, and the majority of these companies have raised increasingly larger rounds"
I'd be really interested to know what proportion of non-YC startups raised follow on funding. It seems like YC might be dragging the average up.
Keep in mind, too, that this article seems to be referring to A or later rounds ("venture backed"), not necessarily convertible debt seed rounds. As many accelerated companies are still pretty new, many will not have completed an A round yet.