Six months ago 500 Startups, the angel fund headed by Dave McClure, started investing in dozens of startups — they’re now up to around 90 investments. And today the fund is announcing an incubator program similar in many ways to Y Combinator, TechStars, and the numerous other programs that have popped up to support fledgling tech startups.
As with these other programs, 500 Startups is giving each company some seed funding and access to a roster of mentors, in exchange for a chunk of equity. McClure says that in general these startups are receiving between $25k-100k for 5% of equity, with the median around $50k (this is more than Y Combinator, though 500 Startups doesn’t have the sweet $150k Start Fund deal). The program lasts for 3-6 months depending on how long each company wants to stay, and McClure says they’ll probably run three batches this year, each with its own Demo Day to showcase the startups to investors, the first of which will be in early April.
To read the full, original article click on this link: 500 Startups Announces First Class Of New Incubator Program
Author: Jason Kincaid
