Why e-?residents choose Estonian accelerators for startup success

E-resident founders participate in Estonian accelerators for mentorship, networking and investment opportunities. Explore the ecosystem and find information about open programmes.

Are you an aspiring entrepreneur looking to accelerate your startup's growth? Estonia, renowned for its vibrant startup ecosystem and digital-first approach, offers a wealth of opportunities for startup founders, particularly those who are e-residents. In this article, we will explore what accelerators are, how they can benefit your startup, and why Estonia is an ideal destination for accelerating your business. We'll also provide an overview of Estonian accelerators and incubators, including open calls and funding options.

What are startup accelerators?

Startup accelerators are programmes designed to support early-stage startups through mentorship, resources, and funding. The programmes typically run over a fixed period, ranging from a few weeks to several months. Accelerators aim to help startups refine their business models, develop products, and prepare for investment. Participants benefit from intensive mentorship, networking opportunities, and often receive seed funding in exchange for equity.

Startups can expect the following from accelerators:

• Mentorship: Guidance from experienced entrepreneurs and industry experts.
• Resources: Access to office space, technology, and business tools.
• Networking: Opportunities to connect with potential investors, partners, and customers.
• Funding: Initial seed funding and access to further investment opportunities.
• Workshops and Training: Educational sessions on business development, marketing, and more.

Why choose Estonia for accelerating your startup?

Estonia has rapidly become a hub for innovation and entrepreneurship, known for its supportive startup environment, cutting-edge digital infrastructure, and favourable business regulations. Here are a few key reasons to consider Estonia for your startup's acceleration:

• Supportive ecosystem: Estonia's startup ecosystem is bolstered by numerous accelerators and incubators that provide mentorship, resources, and funding opportunities to early-stage startups.
• Strategic location: Situated in Northern Europe, Estonia serves as a gateway to both the European Union market and Central/Eastern Europe, providing strategic advantages for scaling your business.
• Digital society: Estonia has long been at the cutting edge of digital governance and online service provision. This, coupled with its tech-savvy population and culture of innovation, fosters an environment where startups can thrive, in diverse fields such as deeptech, AI, greentech, cybersecurity, digitalisation, healthtech, fintech, and SaaS.
• Wide pool of investors: Estonia is known for its active and well-organised angel investing scene, giving better opportunities for early-stage startups to raise money. A lot of founders and ex-employees of Estonian unicorns are now investors. In addition, dozens of local and international VCs actively scout Estonian startups. As the community of investors is small and friendly, it's relatively easy to get in touch.

We did a deep dive into Estonia's funding landscape, in a webinar earlier this year. Watch the recording: https://www.youtube.com/live/WoegTsT2n3w?si=VbRnMatS2FZ0MvRf

Benefits for e-resident founders

Estonia was the first country to offer e-Residency, enabling entrepreneurs from anywhere in the world to establish and manage a company 100% online. E-residents gain access to a range of benefits when participating in Estonian accelerators and incubators:

• Ease of company formation: with your e-Residency digital ID, establish an Estonian company online and participate in local accelerator programmes that may require an Estonian legal entity.
• Access to funding: Many Estonian accelerators are connected with investment funds and provide initial seed funding or facilitate connections with potential investors.
• Mentorship and networking: Gain access to experienced mentors and a network of fellow entrepreneurs, industry experts, and potential partners.
• Regulatory advantages: Estonia's transparent and business-friendly regulations make it easier to manage your startup, from initial setup to scaling operations.
• Remote-first: the majority of accelerator programmes run online and only a few physical sessions in Estonia are expected. This is a great feature for those e-residents who don't want to spend much time away from home.

Landscape of accelerators and incubators in Estonia

Estonia boasts a diverse array of accelerators and incubators, each offering unique programmes tailored to various stages of startup development. Here is an overview of some of the prominent ones:

• Startup Wise Guys: Known for its intensive acceleration programme focused on B2B startups, including fintech, cybersecurity, and SaaS. Offers seed funding, mentorship, and a robust network of investors.
• Tehnopol Startup Incubator: Supports startups in deeptech, greentech, spacetech (ESA-BIC), defencetech (NATO DIANA) and digitalisation. Provides office space, mentoring, and access to Tehnopol's extensive network of industry contacts.
• Prototron: Aimed at helping early-stage hardware and tech startups develop prototypes. Provides funding, mentorship, and resources to bring innovative ideas to life.
• Tenity Nordics: running a dedicated program for Climate Fintech startups to advance financial innovation to decarbonize the economy in the Nordics & Baltics region.
• Beamline Accelerator: working towards impactful innovation, policies and systematic sustainability. They are accelerating ambitions, and educating and funding cleantech startups.

Estonian accelerators with funding options

Many Estonian accelerators provide not just mentorship but also direct funding opportunities or facilitating connections to investment funds. Some notable options include:

• Startup Wise Guys: Offers up to €65,000 in seed funding and access to follow-on investment opportunities.
• Prototron: Provides grants of up to €35,000 to help startups develop prototypes.
• Tehnopol Startup Incubator: Facilitates connections with various investment funds and provides opportunities for pitching to investors.
• Tenity Nordics: invests €50,000 in startups selected for the program in exchange for an equity stake of 2.5% and programme participation fee of €10,000.
• Beamline Accelerator: Invests up to €60,000 euros to cleantech startups
• Creative Destruction Lab Estonia: the possibility to develop and pilot business models on real data and get investment (but with no guaranteed amount).

Open calls for new accelerator batches

If you are an e-resident founder of a startup, Estonia's accelerators and incubators offer a supportive and resource-rich environment to accelerate your business.?

Here are some of the currently open programmes (as of August 26, 2024). Find out how to apply by visiting their respective websites!

Currently opened and closing soon:

• Prototron program for startups building prototypes (August 31st)
• 6-month program in Tehnopol Startup incubator (September 6th) for startups registered in Estonia and are already past the idea stage and into the MVP or prototype phase.
• Energy | Climate Focus program by Beamline Accelerator in cooperation with Baltic Innovation Agency and Sparkup Tartu Science Park (September 22nd).?

Always opened / applications on rolling basis

• Health Founders acceleration programs for health techs
• Accelerate Estonia - a governmental innovation lab shaping public policy to enable impactful businesses. Program for businesses facing legal obstacles in launching novel businesses and products.
• ESA-BIC spacetech accelerator in Estonia by Sparkup
• Elevator Startups is a business and product development incubator for startups primarily (but not limited to) in creative and marketing industries.

Plus, keep your eye on the next batches that will open soon at Tenity Nordics, plus several new programmes in Tehnopol Startup Incubator and Sparkup Tartu Science Park, Creative Destruction Lab Estonia and Startup Wise Guys!

Accelerate your startup in Estonia

Establishing an Estonian company as an e-resident not only provides a smooth administrative process. It also positions your startup advantageously for participation in accelerator programmes and access to investment opportunities.

Need more information on funding options and how e-Residency can benefit your startup journey?

Explore accelerators, investors, entrepreneurship programmes, and more at the e-Residency Funding and Growth portal on the e-Residency website: Fund your business - e-Residency (e-resident.gov.ee)