MassChallenge

MassChallenge

ONE Marina Park Drive building (left). MassChallenge occupies the 14th floor.
Type	501(c)(3)
Headquarters	Boston, MA, USA
Website	masschallenge.org

MassChallenge is the world’s largest startup accelerator and competition.^[1][2]

The nonprofit organization^[1] selects over 100 startup companies annually^[3] to participate in its four-month accelerator program, which provides entrepreneurs access to expert mentors, marketing and media resources, funding opportunities and free office space in Boston. Following the four-month accelerator period, MassChallenge awards $1 million in grants to the program’s top companies.^[1] MassChallenge supports startups from a wide range of industries, and allows startups from "any industry, anywhere in the world" to apply.^[3]

As a nonprofit, MassChallenge does not take any equity in the companies or place any restrictions on the entrepreneurs.^[1] Its funding primarily comes from sponsorships from large corporations including Fidelity Investments, Verizon, Oracle, AmericanAirlines and Microsoft, and from the Commonwealth of Massachusetts^[1][4]

History

Launched in April 2010, MassChallenge began in earnest in May 2009 when co-founders John Harthorne and Akhil Nigam quit their jobs as consultants at Bain & Company to pursue their idea for a startup competition. In the midst of financial crisis, the two decided that their talents would be better served by helping entrepreneurs than by advising big multinationals.^[1][5]

MassChallenge garnered early support from successful entrepreneurs, the Commonwealth of Massachusetts, and large corporations. The earliest supporters of MassChallenge included Desh Deshpande, founder of Sycamore Networks, Thomas Menino, Mayor of Boston, Greg Bialecki, the Massachusetts Secretary of Housing and Economic Development, The Blackstone Charitable Foundation, Microsoft and Joe Fallon, a local real estate developer who donated the fourteenth floor of his new high rise overlooking the Boston Harbor,^[1] a $2M/yr value.^{[citation needed]}

The organization attracted applications from 446 startups for it first program in 2010, selecting 111 companies to join the accelerator.^[6] The number of applications grew to 733 for the 2011 accelerator^[6] and to 1,237 for the 2012 accelerator.^[7] Approximately 10% of applicants were accepted to the 2012 program.^[7]

In 2013, MassChallenge increased the number of accepted startups to 128, in tribute to Route 128^[8]

Structure

Startup Accelerator

MassChallenge’s startup accelerator program connects entrepreneurs with resources to help them succeed. The program lasts four months, July through October, and takes place in the MassChallenge offices in Boston.^[2][9]

The organization matches entrepreneurs with expert mentors, who are a mix of senior executives, lawyers, marketing consultants and successful entrepreneurs. There are over 300 mentors in the MassChallenge network.^[10]

MassChallenge organizes hundreds of events and training sessions during the four-month program,^[2][9] including a one-week “boot camp.”^[11] Events range from large lectures and networking events to small workshops.^[9]

During the four months, the entrepreneurs work out of the MassChallenge offices in Boston. The space is a 27,000 square foot office on the 14th floor of ONE Marina Park Drive, an office building on Fan Pier, part of South Boston’s “Innovation District.”^[9]

Startup Competition

MassChallenge uses a competition framework to provide resources to top startups. Two rounds of judging determine the class of 100-125 “finalists,” which are invited to participate in the four-month accelerator program. Two more rounds of judging follow the program and determine which 10-20 companies win grants.^[2]

Winning companies receive grants in amounts of either $100,000 or $50,000.^[2] MassChallenge does not take any equity in its winners or place any restrictions on any of the entrepreneurs in exchange for the cash prizes.^[1] Unlike some other startup accelerators, MassChallenge does not provide cash upfront. It provides grants to winners after the program.^[2]

The startups are judged on “impact, feasibility, and execution.” MassChallenge judges have included Vertex Pharmaceuticals founder Josh Boger, famous tech entrepreneur Desh Deshpande, and Boston Celtics owner Wyc Grousbeck.^[7]

Entrants must be in the early stages of their business to be eligible. MassChallenge defines this as no more than “$500K of investment” and “$1M in annual revenue.” ^[12]

Results

Of the 361 start-ups MassChallenge has assisted since 2010, the organization estimates they have created 2,910 jobs, generated $95 million in revenue, and raised $360 million in funding.^[7]

Alumni

Some notable companies that participated in the 2010,^[13] 2011^[14] or 2012 ^[14] programs are below:

2010

• Abroad101 - The world's first and largest study abroad review website^[15]
• Brass Monkey - SDKs that enable gamers to turn their mobile devices into remote controllers^[16]
• JoyTunes - Makes music apps that are activated when users play their own, real musical instruments.^[17]
• Ksplice - creator of the "rebootless update", acquired by Oracle^[18]
• Locately - Locately analyzes GPS data from mobile phones to better understand consumer interests and habits, acquired by Service Management Group^[19]
• RelayRides - the world’s first, and leading, peer-to-peer car sharing marketplace, raised over $13 million in funding^[20]

2011

• Alkeus Pharmaceuticals - Clinical stage biotech company developing treatments for leading causes of blindess, dry-AMD Stargardt disease^[21]
• Artaic - creates custom tile mosaics using robotic manufacturing and computer aided design systems^[22]
• Her Campus - The #1 national online community for college women, covering Style, Health, Love, Life, and Career, with chapters at 200+ colleges.^[23]
• Localocracy - provides an online town common where registered voters, using real names, can weigh in on local issues, acquired by The Huffington Post^[24]
• Sanergy - Produces electricity and fertilizer by providing safe, affordable sanitation in urban slums^[25]
• UberSense - A mobile app that allows athletes to dramatically improve their game through video analysis & access to coaching anytime, anywhere^[26]

2012

• Arcbazar - Crowdsources architectural, interior and landscape design projects to designers around the globe ^[27]
• Bounce Imaging - Develops sensor technology to save the lives of first responders by allowing them to safely view hazardous environments remotely and at low cost, named to TIME's list "Best Inventions of 2012"^[28]
• Global Research Innovation & Technology - Designing and building wheelchairs capable of handling tough off-road terrain^[29]
• LiquiGlide - Plant-based product adds a microscopic slippery coating to almost any material, named to TIME's list "Best Inventions of 2012"^[30]
• Ministry of Supply - Uses its proprietary NASA technology in business clothing, Kickstarter's highest ever Fashion funded startup^[31]
• RallyPoint - The professional network for the US military community^[32]
• Recovers.org - creating tools for community powered disaster relief^[33]
• Strong Arm Technologies - Makes a vest that takes the forces of a load and disperses them to stronger more stable areas of a lifter's torso^[34]
• Wanderu - A ground travel meta-search website that helps travelers find and book inter-city bus and train travel in North America, winner of the 2013 South by Southwest Interactive Accelerator Award for Innovative Technology.^[35]
• Zagster - Designs, builds, and operates private bike sharing programs for universities, corporate campuses, hotels, and residential communities.^[36]

References

External links

• MassChallenge.org