Eleven is the third most active accelerator by the number of investments in Europe according to our second internal research on the competitive landscape in Europe for 2014.
Seedcamp (est. 2007) and NDRC Launchpad (est. 2010) remain on top of the rankings with the impressive 156 and 150 total investments. Eleven (est. 2012) is in third place followed by NUMA (est. 2011), Gamma Rebels (est. 2012) and Wayra London (est. 2012). If we count multiple locations, Startupbootcamp (187) would surpass last year's winner Wayra (157) and head the list for 2014, but we believe the different cities offer different programs, so that’s why we have listed them separately.
By the end of 2014 Eleven invested in 93 startups, which as Jon Bradford noted at our last Demo Day, means we invest roughly in one startup every 10 days.
Another great achievement for us is that we were ranked in the top 3 principal investors by amount invested in 2014 by the independent European Accelerator Report 2014 by Fundacity.
Why investing a lot is important?
Many people ask us why the number of investments is important and aren’t exits the ultimate metric to measure an investor’s success. Well, exits are definitely the final goal, but they take between 5-10 years to happen. In the meantime, the way to become a better investor is to constantly invest in new teams and learn from the good and bad investment decisions. By running 3 programs per year we managed to find very fast the right startup-program fit and polish all our processes. Above all, investing in 93 companies by 2014 (107 right now) allowed us to create one of the most vibrant and cohesive startup communities in Europe in practically 3 years. The growth that the Bulgarian startup ecosystem is seeing in the recent years is unprecedented and we are proud to be contributors to it.
Speaking about the Bulgarian startup ecosystem, we are happy that for the second year in a row Sofia continues to rank third by the number of accelerated startups in Europe in 2014, right behind huge hubs such as London and Dublin, and ahead of Paris, Amsterdam and Berlin.
Heatmap of Accelerated Startups by Cities 2014
Accelerators Standard Investment Terms
European Accelerators Standard Investment Terms
Based on our study the average accelerator deal in Europe is EUR 30,000 for 9%.
It should be also noted that some investors, including Eleven, offer staged deals. Thus Seedcamp’s current deal of EUR 75,000 for 7% is quite comparable with Techstars’ offer of EUR 107,000 for 10% equity. Our average investment is about EUR 80,000 per company.
In addition, several investors including most notably Techstars and Seedcamp have established in-house seed funds and can follow-up their startups in subsequent funding rounds. By design, both Eleven and Launchub can also invest up to EUR 200,000.
We believe more accelerators will follow in the footsteps of the pioneers in the industry and emulate the 500.co model of incremental investments, whereas the line between pre-seed and seed investors will be further blurred. Again, if you look at YC and 500.co, you’ll also notice their ever increasing number of investments each year. One more reason, we think our ranking is pretty relevant.
In order to conduct the research, first of all, we narrowed down the term “accelerator” to organizations, which provide pre-seed investments to startups in return for equity, among all other support that they can provide, usually including structured program and access to mentors.
We managed to identify 69 accelerators based in Europe that match this definition (if we have skipped someone that meets the above criteria, please let us know at teodora[at]11[dot]me). As mentioned for the pan-European accelerators such as Wayra and Startupbootcamp, we have considered each location as a separate accelerator, as each location has a management team and operates in a different setting, not to mention that oftentimes different locations focus on projects in specific verticals.
Once we narrowed our list, we went through the websites of these accelerators and counted the number of startups they have invested. We also noted the standard terms of the initial investments they provide, ie. for Eleven this is EUR 25,000 for 8% equity. If the information wasn’t available on the website, we used data from Crunchbase or AngelList or left it as not available (n/a).
If you look at our findings for 2013, you will see that they seem to be slightly different from the current ones. The reason is that last year we had included some incubator-type of organizations, which either receive equity in exchange for the value of the program but don’t invest, or provide grants and get no equity. We believe this year’s study to be more accurate.
Also, you may notice that our data is somewhat different from the one stated in the Fundacity Report. Again, this is because we count as accelerators only organizations providing money for equity, while other researchers have adopted a broader definition of an accelerator.
Having that said, here's the full list of accelerators we have gone through. Enjoy the numbers and draw your own conclusions.
The European Accelerators List
Total startups by end of 2014
|Total startups by end of 2013||Startups in 2014||Standard Terms||EURO||
|Le Camping / NUMA||Paris||2011||72||48||24||€4,500.00||€4,500.00||3,00%|
|Axel Springer Plug&Play||Berlin||2013||45||15||30||€25,000.00||€25,000.00||5,00%|
|Plug and Play Tech Center||Valencia||2012||45||27||18||€10,000.00||€10,000.00||7,00%|
|Bethnal Green Ventures||London||2010||39||26||13||£15,000.00||€20,962.50||6,00%|
|Orange Fab||Paris||2012||34||12||22||$ 20,000.00||€17,858.00||n/a|
|Luiss Enlabs- Startup Factory||Rome||2013||33||n/a||n/a||€30,000.00||€30,000.00||10,00%|
|Startup Wise Guys||Tallinn||2012||33||24||9||€30,000.00||€30,000.00||8,00%|
|Startup Reykjavik||Reykjavik||2012||30||20||10||$ 16,000.00||€14,286.40||6,00%|
|Propeller Venture Accelerator||Dublin||2010||24||19||5||€30,000.00||€30,000.00||7,50%|
|Huge Thing||Poznan||2012||7||7||0||30.000 PLN||€7,176.00||10,00%|
|Open Education Challenge||Barcelona||2014||7||n/a||n/a||€20,000.00||€20,000.00||6,00%|
|Black Forest Accelerator||Lahr||2013||4||n/a||n/a||€12,500.00||€12,500.00||7,00%|
|Mas Angel Fund||Berlin||2011||2||n/a||n/a||€100,000.00||€100,000.00||n/a|
|Digital Catalyst Fund||Bucharest||2013||1||n/a||n/a||$ 20,000.00||€17,858.00||12,50%|
|Plug and Play Russia||Moscow||2012||n/a||n/a||n/a||$25,000.00||€22,322.50||10,00%|
|Exchange rates||(Period Average: 11.06.15 - 10.07.15)|
|GBP / EUR:||1.3975|
|USD / EUR:||0.8929|
|NOK / EUR:||0.1135|
|PLN / EUR:||0.2392|
|Source: Oanda; http://www.oanda.com/currency/historical-rates/|
*Disclaimer: The data herein has been assembled as a research on the competitive landscape in Europe for Eleven’s own use and broadly represents the market as of the end of 2013 and 2014. We have mostly relied on publicly available information from the respective accelerators websites. We have not confirmed or verified in any way the correctness of these numbers. If you would like to have certain information updated or removed, please write to teodora [at] 11 [dot] me. The author and Eleven do not assume and hereby disclaim any liability to any party for any loss, damage, or disruption caused by errors or omissions, whether such errors or omissions result from negligence, accident, or any other cause.