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By miguel-ingles
- In Uncategorized
Nowadays, an entrepreneur does not need to possess large amounts of resources to form or expand a business. The mission of some companies is to guide start-ups in their business activities. In this article, I explain what startup incubation and acceleration programs are in the UK and which are the most successful in this country.
What is a Startup Incubation or Acceleration Program?
There is often confusion about this, as people usually think that a startup acceleration program is the same as an incubation one. However, there are several differences between both concepts.
On the one hand, a startup incubator is a corporation that helps entrepreneurs to establish their enterprise from the formation process until they can operate autonomously. This company provides support in matters of guidance, personnel training or financial advice, among other things.
On the other, a business accelerator is looking for growth, usually as fast as possible, of a startup. They may share methods with incubators, but their goals are different. Accelerators seek to increase a business’s number of clients, improve sales and grow the commercial brand awareness.
Therefore, a business incubation program will try to drive a startup to a market, providing training to its members, while an accelerator will look for explosive growth and will try to turn a company’s weaknesses into strengths at the same time as it attempts to minimize threats that can come from the business environment.
How to Choose the Most Adequate Startup Incubation and Acceleration Program in the UK
Not all business incubators or accelerators offer the same conditions or resources to companies. A startup should study the following factors when selecting one program or another.
- Depending on the development phase you are in, you will opt for an incubation or an acceleration program.
- You should analyse which companies offer conditions that are best suited to your business and its needs. The size and the object of the startup or the location and reputation of the program and its directors shall be considered.
- What resources do they offer? Some grant access to funding and even office spaces to work in. Others, however, just provide mentoring services or facilitate access to a contact network.
- Most incubators and accelerators offer loans to businesses. You should analyse whether additional funds are required and what are the conditions and ways of repaying such money.
The Most Successful Startup Incubation and Acceleration Programs in the UK
Due to the favourable working and business conditions in the UK, this country is a hub in Europe for startup incubators and accelerators. The most prominent ones are set out below.
Y Combinator
Originally, the owners found the company in the United States but has expanded its area of work to the UK. Y Combinator focuses on providing support to emerging tech corporations through an intensive three-month program. This offers funding, mentoring and investment advice.
More than 2000 companies have required their services to launch their products. These include Airbnb, Reddit or DoorDash.
Wayra UK
Wayra UK is the branch of the eponymous company operating that operates in the UK, which belongs to the Telefónica Group. It offers funding and office space, as well as giving access to the resources and expertise of the business group. They have collaborated with companies such as Honest Mobile or Airalo.
500 Global
500 Global is a venture capital fund that, at the same time, acts as an accelerator for startups. They offer mentoring, funding and networking programs to businesses in the development phase. They have supported almost 3000 companies, some of them of recognized international prestige, such as Canva or GitLab.
In this website you will find other successful startup incubation and acceleration programs.
In ukstartcompany, you will find information about how to establish, register and operate companies with different legal structures and business activities in the UK.