Impact of Entrepreneurship Database
Sean Peters
June 24, 2015
Agenda:
Why does this matter?
How was the research done?
What are we seeing so far?
- Gender differences
- Accelerated vs. non-accelerated
- Impact measurement
- Support expectations
What’s next?
Why does this matter?
Problem 1 – Do accelerators work?
Accelerator Program
= 10 entrepreneurs
Accelerator Program
= 10 entrepreneurs
6 mo
12 mo
18 mo
24 mo
= 10 entrepreneurs
REMAIN ALIVE
No
20%
14
12
10
8
6
4
2
0
Yes
80%
=
Average # Employee Growth
Selected Entrepreneurs
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$0
Average Additional Equity Raise
Selected Entrepreneurs
Do accelerator programs work?
Do some programs work better than others?
Does program or practice effectiveness depend on sector or locational
context?
Does program or practice effectiveness depend on
entrepreneur/venture characteristics?
Are investments in accelerator programs worth the time and money?
Problem 2 – How do early-stage entrepreneurs grow?
How do you identify early-stage entrepreneurs?
How do you get data from them?
Accelerator Program
= 10 entrepreneurs
Accelerator
Program
Accelerator
Program
Accelerator
Program
Consistent Application Questions
= 10 entrepreneurs
6 mo
12 mo
18 mo
24 mo
= 10 entrepreneurs
15
REMAIN ALIVE
10
No
20%
5
0
Average # Employee Growth
Yes
80%
=
REMAIN ALIVE
No
40%
Yes
60%
Selected Entrepreneurs
Unselected Entrepreneurs
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$0
Average Additional Equity Raise
Selected Entrepreneurs
Unselected Entrepreneurs
How was the research done?
64 Partners since 2013
2013
Q1/Q2
2013
Q3/Q4
2014
Q1/Q2
2014
Q3/Q4
2015
Q1/Q2
Accelerator
Partners
3
6
10
11
21
Entrepreneurs
320
517
696
834
700+
2013
Q1/Q2
2013
Q3/Q4
2014
Q1/Q2
2014
Q3/Q4
2015
Q1/Q2
Accelerator
Partners
3
6
10
11
21
Entrepreneurs
320
517
696
834
700+
Getting to 50%+ Response Rate
Initial mass
message
Second
mass followup
Third mass
follow-up
Third
individual
email
Second
individual
email
Initial
individual
email
Surveying Tips:
- Minimize time commitment
- No Mailchimp
- Incentivize!
- Primary inbox!
Fourth
individual
email
Fifth
individual
email
What are we seeing so far?
Accelerated vs Non-Accelerated Ventures
Responses from 2 waves of follow-up surveying
Accelerated
Unaccelerated
Accelerated vs Non-Accelerated Ventures
Accelerated ventures are growing revenues
at roughly twice the rate as those that
applied but were not accepted.
Accelerated ventures are attracting investment
at a roughly 50% higher rate compared to
those that applied but were not accepted.
Accelerated vs Non-Accelerated Ventures
We are not seeing much when it comes to
employment growth, or to debt or
philanthropic investment.
Comparatively more of the accelerated
ventures seem to be leaning into the IRIS
and especially B Lab frameworks.
Benefits Sought from Accelerators
Average Rank (1 = most important)
Network Development (ie partners and
customers)
3.3
Access and Connections to Investors
3.4
Securing Direct Venture Funding
3.4
Mentorship from Business Experts
Business Skills Development
Awareness and Credibility
Meet Other Entrepreneurs
3.5
4.0
4.8
5.0
Impact tracking systems – “Do you use IRIS?”
13%
Yes
No
87%
Impact tracking systems – “Do you use IRIS?”
13%
28%
Yes
"We have never
heard of IRIS"
Other
59%
Impact tracking systems – “Do you use B-Labs?”
7%
Yes
No
93%
Impact tracking systems – “Do you use B Labs?”
7%
27%
Yes
"We have never
heard of B Labs"
Other
66%
Impact tracking systems – “Do you use some other system?”
26%
Yes
No
74%
What’s next?
2015 / 2016 Plans
- Expanding out in 2015/2016 = more data!
- Expanded partnership with ANDE, accelerator-level research
- 2 PhD theses, many more to come
- 4 whitepapers this year
- Regional expansion over 2016
- Opening data in 2015 for academic and practitioner researchers
Engagement
- Year-end summary is now live! bit.do/2014data
- Mailing list: eepurl.com/JBjQb
- Seeking additional accelerator partners for 2015/2016
- Seeking researchers who are interested in leveraging this data
bit.ly/ZHR17q
Thank You
Sean Peters
[email protected]
@sean_robert