The Vital Role of Mentoring in Startup Accelerators

Abstract

Over the past 15 years, the startup accelerator sector has emerged as a vital component in the entrepreneurial ecosystem, offering structured support to novice entrepreneurs. This study explores the impact of mentorship within accelerators, shedding light on the critical role mentors play in the success of early-stage entrepreneurs. Utilizing comprehensive data from 779 graduates of Israeli accelerators, we investigate six dimensions where accelerators enhance entrepreneurial success: entrepreneurial human capital, network expansion, fundraising skills, legitimacy, psychological development, and operational progress of the venture. We hypothesize that mentorship amplifies accelerators’ impact across these dimensions.
Our findings confirm that founders who engage with personal mentors during accelerators, rather than solely relying on ad-hoc experts, and those with more intensive mentorship experience significantly greater progress across all six dimensions. These findings hold when accounting for background variables. These insights enrich the study of accelerators, emphasizing the value of personal mentorship in enhancing the positive effects of accelerators.

Keywords: Accelerators, Mentoring, Entrepreneurship, Startups, Founders, Entrepreneurial human capital, Network building, Fundraising, Legitimacy, Psychological development, Operational progress

JEL Classification: M13, M53, L26, O31, O32.