So this accelerator program we got in is starting to bite us in the back. We got some money from them and they took almost 30% of it as ‘fees’. Now our company is doing decent (growing organically with no marketing budget) and they’re fucking us in the ass about numbers. Keep giving us red flags and parachute critiques at every meeting.
Our agreement is also very predatory – participatory preference with 1.3x return and a 3 year maximum share-holding period.
I don’t know what I should do, but advice for all entreprenuers — keep away from these incubators and accelerators which are not top tier. They are literally money making schemes — second tier attracts second tier which is where companies go to die. Become first tier or die slow. Otherwise be second tier and die painfully slowly.