Techstars, a renowned accelerator group, recently announced significant changes to its operations, but the transition did not go as smoothly as planned and resulted in a PR backlash.
The decision to close the Boulder and Seattle accelerators, following the shutdown of the Austin-based program reported by TechCrunch in December, drew criticism for its handling and impact on the startup communities in those cities.
Notable figures like Zillow co-founder Spencer Rascoff and Techstars Boulder alumni Liz Giorgi expressed disappointment and frustration with the organization’s approach in managing the closures.
Techstars CEO Maëlle Gavet addressed these concerns and shed light on the evolution of Techstars from a local fundraising model to a more centralized structure, emphasizing the organization’s focus on providing valuable infrastructure and support to founders.
TechCrunch: Maëlle, some critics argue that the shift away from local fundraising has not been beneficial for founders. How do you respond to such claims?
Maëlle Gavet: “Techstars’ early franchise model served its purpose initially, but as the landscape evolved, we recognized the limitations and inefficiencies of solely relying on local investors. Our current approach, with a blend of macro and corporate partner funds, allows for more diverse investments and better post-program support for our founders.”
Gavet also elaborated on Techstars’ various funds and investment strategies, highlighting the organization’s commitment to fostering innovation and diversity in its portfolio.
Regarding the accusations of a lack of focus, what is your perspective on Techstars’ current trajectory?
Gavet emphasized Techstars’ global reach and extensive network of partners and mentors, debunking the notion of a scattered approach. She emphasized the organization’s dedication to supporting underrepresented founders and nurturing transformative ideas across different regions.
Looking ahead, what excites you the most about the future of Techstars?
Gavet expressed enthusiasm for refining Techstars’ curriculum and mentorship programs to deliver even greater value to entrepreneurs. She highlighted plans for a comprehensive “masterclass for entrepreneurs” to provide access to a wealth of knowledge and expertise accumulated over the years.
