About
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Spend your summer at MIT iterating on a startup idea, and your team could be awarded up to $20k! The Founders' Skills Accelerator pilot is designed as a hands-on summer active learning experience for MIT students (including 2012 graduates).
The accelerator, a joint project of all five MIT schools, offers:
- Up to $20k awards per team (no equity stake) upon completion of pre-determined, customized milestones
- Monthly monetary fellowship for qualified students
- Dedicated desk space at MIT
- Mentoring and all the Institute's resources (including the SkTech MIT Innovation & Entrepreneurship Initiative, Martin Trust Center for MIT Entrepreneurship, Deshpande Center for Technological Innovation, MIT Venture Mentoring Service, MIT Technology Licensing Office, Gordon-MIT Engineering Leadership Program, MIT Media Lab Entrepreneurship Program, SUTD-MIT International Design Centre, and more!)
The desk space runs from June 4 through August 31. Teams also participate in a Demo Day to be held in conjunction with the t=0 Festival in mid-September.
Apply
The application period has now concluded. Please note that due to overwhelming interest, we will not be able to consider late applications.
FAQ
Q: What kinds of teams are you looking for?
A: You are at an early stage. You might have entered the $100K, worked on your project in a class, or simply are working on the side with fellow students. You don't have funding (not much, anyway), but you have made enough progress that this summer will be an excellent learning and growth opportunity. Quite possible, you have even achieved some traction so that you will start the summer with momentum.
Q: How does the funding work?
A: The selected teams will be eligible to earn up to $20,000 in awards after completing pre-determined milestones (agreed on by the team and its advisory committee) over the course of the accelerator. Eligible team members will also receive a monthly fellowship of $1,000 for the months of June, July and August. There is no equity requirement, since we are focused primarily on building your ability to be a successful entrepreneur.
Q: How do the milestones work?
A: Each team will be working to fulfill milestones in four categories: Customers, Product, Team, and Financial. Teams will have between two and five milestones in each category. Teams will propose milestones in the application process, and each team will be paired with its own committee for oversight (similar to a board of directors) who will work with the team to refine the milestones, and to hold the team accountable as the summer progresses. Milestones will be designed to be rigorous yet achievable in the 3.5-month period leading up to the Demo Day.
Q: What if I don't know what to put for my team's milestones?
A: We're looking for you to take a first stab at defining milestones so we get a better sense of where your team is, and where you think your team is. If you are selected, an advisory committee custom-tailored to your team's needs will help you refine the milestones. For some generic examples of milestones, see below
Q: Who is eligible to receive a fellowship?
A: Team members who are full-time MIT students as of June 8, 2012, or who graduated from an MIT degree program in 2012 (as of June 8), are eligible to receive the $1,000/month fellowship. Please note that team members who are not founder-level for the project may not be eligible to receive a fellowship.
Q: Where is the desk space? What other space amenities are there?
A: Each team will have dedicated desk space in the Martin Trust Center for MIT Entrepreneurship in E40-160. The center also has shared conference spaces with IdeaPaint whiteboard walls, a videoconference system capable of connecting with Skype, Google Talk and IP-based room systems), teleconference capability (free calls, including international), and lots of coffee, tea, and Ramen noodles.
Q: What if I need fabrication space for my idea -- will dry and wet labs be made available?
A: Yes. We love these kinds of projects and want to encourage them. Facilities on campus will be made available to the teams within the standard safety procedures of MIT.
Q: How many people can be on my team?
A: Teams cannot exceed five members, and we will ask you how each team member contributes to the project. Remember that we are primarily focused on building your entrepreneurship skills, so we will favor teams where most or all teammates consider themselves founder-level for the project.
Q: Can I have non-MIT student team members?
A: The pilot is focused on MIT students and is not open to the general public. As such, at least one team member must be a full-time student as of June 8, 2012, or have graduated from an MIT degree program in 2012 (as of June 8). Note this is a minimum requirement, as we are looking for significant involvement from the MIT student/2012 grad team members. Teams whose membership represents multiple MIT schools or disciplines will be at an advantage.
Q: What is required of my team once I am in the accelerator?
A: The main requirement is to make adequate monthly progress toward fulfilling your milestones. Teams will meet on at least a monthly basis with an advisory committee tailored to the team's needs, and will submit a progress report in advance of each meeting. We will also hold a luncheon series that teams are required to attend. Finally, at least one MIT student/2012 grad team member will be required to work full-time at the provided desk space for the duration of the summer.
Q: Who judges the applications and selects the participants?
A: Applicants will be evaluated by a committee made up of MIT and external people. The committee has full discretion to determine the number of teams to interview and to choose the number of teams that will participate in the accelerator. The committee will look to select a set of teams that represent a wide array of industries and MIT courses.
Q: Who is running the accelerator?
A: The accelerator is a joint project across all five of MIT's schools. Numerous campus entities are providing the resources to make this pilot successful; they include the SkTech MIT Innovation & Entrepreneurship Initiative, Martin Trust Center for MIT Entrepreneurship, Deshpande Center for Technological Innovation, MIT Venture Mentoring Service, MIT Technology Licensing Office, Gordon-MIT Engineering Leadership Program, MIT Media Lab Entrepreneurship Program, SUTD-MIT International Design Centre, to name just a few.
As part of the application process, we will ask you to sketch out some milestones -- some accomplishments you think you can achieve in the 3.5-month accelerator period. We will later work to refine them with you, as they will determine how much of the $20,000 award you receive.
The suggestions below are meant to stimulate ideas for examples of milestones in our four categories, Customers, Product, Team and Financial. You do not need to (and should not) include all of the below suggestions in your application, and you can propose milestones not listed here.
Examples of some generic milestones are below, followed by a few sample project milestones. Note that the sample projects' milestones are more specific, have 2-5 milestones in each category, and closely fit the team and project.
Potentially relevant Customers generic milestones may include: Clear definition of target customer, persona, identification and validation of a significant need/opportunity, primary and secondary research to test, validate and refine assumptions, , concrete first customer list, TAM (Total Addressable Market) calculations for initial and overall markets, proof of customer traction, mapping of the customer decision making unit and/or decision making process, etc.
Potentially relevant Product generic milestones may include: Product definition: clear linkage to target customer, quantified value proposition, identification of key assumptions to be tested, tests designed to timely and efficiently validate/invalidate key assumptions, a well documented and validated use case, validation data on key assumptions, Minimum Viable Product, marketing requirements document, product plan to achieve differentiation. Technology base: functional specifications, product development plan, definition of sustainable competitive advantage, building the sustainable competitive advantage, building the product, clarity on resources required to develop product, etc.
Potentially relevant Team generic milestones may include: Clear identification of a balanced core team, clarification of each person’s strengths and weaknesses, definition of each person’s role, proof of alignment among team members, building an appropriate and mutually acceptable equity plan, incentive plan, identification of additional people resources needed and when, recruitment of additional team members or board members, etc.
Potentially relevant Financial generic milestones may include: An analysis of business models to monetize for the project, selection and testing of business model, building the company’s financials – especially cash flow, required investment (if needed), calculation of COCA (Cost of Customer Acquisition) and LTV (Life Time Value of a customer), development of a plan to obtain the needed resources after an evaluation of the options (including customers, equity, debt, government), sensitivity analysis of financials. If outside funding is important – development of a pitch deck, development of a fundraising plan, execution of a thoughtful fundraising plan, commitments for funding, etc.
Hypothetical Examples of Milestone Selection
Here are some sample milestones for a few different types of projects. Please note that they are based on a longer timeline than 3.5 months -- we prefer that you aim to be ambitious in the application. Your milestones should be customized for your project, so do not let these examples constrain your thinking, and remember, we will help you refine the milestones prior to the beginning of the program.
Website or App Project
Customers
- Clear definition of target customer profile & problem/opportunity being addressed in their words, detailed persona, well-documented use case, initial market TAM (total addressable market) -- all validated through extensive primary direct customer research.
- 50k unique visitors to site with measurement of user engagement, click-through rates and repeat visitors as compared to the industry.
Product
- Detailed web site definition in Balsamiq for the complete use case leading to clear definition of MVP (Minimum Viable Product) and assumptions it is designed to prove.
- Identifying and building of alpha version of site.
- Based on the analytic feedback from alpha, building of beta version.
- Definition of the product’s “core” and how the company will leverage and grow this to create sustainable competitive advantage.
Team
- Clear definition of team members’ strengths and weaknesses along with role(s) on the team.
- Finalizing the founders’ stock/equity splits and vesting schedules.
- Identification of gaps on the team and development of plan to fill those gaps, then executing this plan.
- Progress of founders to build skills in key capabilities with regard to their role(s).
- Build out a credible and committed Board of Advisors.
Financial
- Decision on business model after testing (a) advertising, (b) freemium/subscription, (c) affiliate, (d) other?.
- Financials for three years (cash flow) including sensitivity analysis to determine (a) breakeven analysis, (b) key assumptions, (c) investment needed to get to cash-flow positive.
- Develop a high quality short and long pitch deck for investors and pitch to 3 potential angel investors.
Clean Energy Hardware Project
Customers
- Make a clear definition of landfill market opportunity and decision making process. Do extensive customer interviews (20+) and on site visits (3+) to understand the essence of their business and their DMU (Decision Making Unit). Policy considerations for each location will be considered in this analysis. Build up and justify a TAM for the original market.
- Make a list of the top ten potential customers with their total potential size and get letters of intent from at least 3 of them.
- Gain commitment to pilot this summer.
Product
- Build the well head sensor system at MIT and test it to ensure the full system will work. Build and test a prototype for field test.
- Pilot the system in at least one customer and analyze data.
- Determine true cost of goods sold at volumes of 10, 20 and 100. Identify and gain commitments from suppliers for all key parts.
- Define an IP strategy to protect your business and file at least a provisional patent if appropriate.
Team
- Clear definition of team members’ strengths and weaknesses along with role(s) on the team.
- Finalizing the founders’ stock/equity splits and vesting schedules.
- Identification of gaps on the team and development of plan to fill those gaps… then executing this plan. Most specifically, find a sales person or channel.
- Find and recruit a highly credible land fill expert for your team who has strong connections with Waste Management.
Financial
- Analyze business models (subscription, shared savings, one time sale plus maintenance, consumables, others) and determine the best possible.
- Construct financial projections, focused on cash flow as being the most important, for a five year period. Include a sales funnel analysis, COCA, LTV and a sensitivity analysis.
- Build a pitch deck for government funding to support the team getting to cash flow positive.
Biotech Project
Customers
- Complete license agreement with Cleveland Clinic by July 1, 2012.
- Secure institutional review board approval and begin recruiting subjects by August 15, 2012.
Product
- Complete initial beta design and documentation by June 15, 2012. This will include the complete manufacturing plans and bills of materials for the beta version of Product A.
- Complete product requirements report by August 15, 2012. This document will be written with extensive input from prospective customers and will provide the basis for writing the testing plan.
- Write formal testing plan by August 31, 2012. This document will cover both mechanical reliability and clinical tests and will be used as a guide to determine if our design meets our product requirements.
- Build schedule and commitment for initial beta samples in October 2012. This will include contracting manufacturing organizations to build parts to our specifications and fabricating entire samples.
Team
- With the founding team, identify a common set of deeply held relevant values for the company that will be the basis for a strong corporate culture going forward for the long journey this company will have to make.
- Determine the missing gaps on the team and when we will need to add them.
- Make a stock pro forma table for the company that includes the founders and potential future hires as well as funding.
- Build a strong Technical Board.
Financial
- Develop a short and long pitch deck for investors and a plan to raise the seed round of financing.
- Execute the plan by giving a number of presentations to individuals, strategic partners and at industry fundraising conferences (e.g., Needham’s Biotech conference in August in Boston).
- Close $250,000 of XYZ Tech’s Series A Financing by August 31, 2012.
Again, these are simply examples, and they are based on a longer timeline than 3.5 months. Please be creative to come up with rigorous, measurable yet achievable milestones.
Testimonials
In Summer 2011, nineteen student teams participated in the FSA's predecessor, Summer Startup Central, which included desk space and mentoring. Here's what some of the participants had to say about Summer Startup Central:
"The Summer Startup Program at the Martin Trust Center was extremely helpful to Liquid Metal Battery Corporation getting off to a good start. Great program."
-- Prof. Donald Sadoway, Founder, LMBC
"It was a great experience. It was incredibly valuable to share and learn from the experiences of other MIT students who were going through the same stages of forming and launching their companies. As a first-time female CEO, it was beneficial to have access to mentors and advisors as well as the support of the entire Trust Center team."
-- Fatma Yalcin, MBA '11; CEO, Curisma
"It gave us the perfect environment to spend time working through the challenging issues of strategy, team, funding, and market selection. It was incredibly valuable."
-- Miles Barr, PhD '12 Course 10; President, Ubiquitous Energy
"Locu would not at all be where it is today without the program. It allowed us to really develop our plans, solidify our team, and achieve escape velocity. The community and mentorship were invaluable."
-- Rene Reinsberg, MBA '11; CEO, Locu
"The kernel that became Manus Biosynthesis started as a project in i-Teams, but it was really in the summer startup program -- with its network of support, resources and connections -- that it became clear that we had a viable and exciting new venture that could have a significant impact on the world."
-- Prof. Greg Stephanopoulos, Chairman of the Scientific Advisory Board, Manus Biosynthesis
"It was everything for us. In so many dimensions, it helped make our new venture idea a reality. To cap off the experience, it ended with us being introduced on Demo Day at the t=0 Festival to the person who has become our cornerstone blue-chip investor."
-- Tyler Spalding, MBA '11; CEO, StyleSeek
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