Business Accelerator Meaning | Definition & Advantages Business Accelerator | Startup  Accelerator

Business Accelerator Meaning | Definition & Advantages Business Accelerator | Startup Accelerator

– [Shaf] Welcome back to Speak Like Shaf, my series explaining business
terms in plain English. Regular viewers will know
that I have a little chum who gives me a hand in
breaking down complicated terms and making them
straightforward and accessible. Stay tuned; I’m sure he’ll
be making an appearance. It’s hard starting out as an entrepreneur and I try to give advice
to as many people as I can. There’s a lot of support out there so if you’re launching a
start-up, my advice is to use it. That’s why today, I will explain the term
business accelerator to you. When you hear the word accelerator, what does it make you think of? Driving, getting from A to B? It makes me think of a
well-planned journey, going faster and getting
to wherever you are going as quickly as possible. Well, in a sense, that’s what
a business accelerator does. It’s a programme that offers mentorship to developing companies. It helps them with access to
investors, logistical support, technical knowledge and
shared office space. They will connect companies to peers that they can learn from. This might sound familiar; do you remember when we looked at the term
business incubator recently? You might be wondering what the difference between incubator and accelerator is, but I promise you, there
are a few key differences. The first and most important is the type of business
each programme is for. An incubator is for brand new businesses that are just starting out. They offer support,
office space and mentoring but there generally isn’t a time limit on how long a start-up can use them for. If a start-up was a person,
it would be a newborn baby. A company using a business accelerator is the equivalent of a teenager; they have moved on beyond
childhood stage and can stand on their own two feet but
aren’t quite ready to survive in the big, bad world on their own. Accelerators offer guidance and support, and it’s generally a
short-term arrangement. Most run for a matter of months, making them far more
intense than an incubator. The company should complete the programme and be ready to run on its own. There are two kinds of accelerators. The first, a seed
programme, is for businesses that have just moved
beyond the start-up stage. Second stage programmes are for businesses that are slightly more established
but still need support. I’ve already mentioned about my little pal who helps me explain things. Here’s Rab the Rockstar,
a Stone Age entrepreneur who launched a business making tools so that hunters could be more successful. As he was the first
entrepreneur in his village, he ended up helping those who
followed in his footsteps. He offered them his office
space for a few months, which was a roomy cave,
and he introduced them to each other and neighbouring
villages’ entrepreneurs so they could network amongst themselves. He offered support and advice and helped those fledgling businesses
prosper with practical advice. That’s a business
accelerator in a nutshell. Well done, Rab! There are 180 business
accelerators in the UK so if you feel they would benefit you, have a look and see what they offer. You could soon be accelerating
into the fast lane. Let me know what you think;
like, comment and subscribe. (funky music)


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