15+ thought-provoking ideas to enhance the support ecosystem and services offered to Quebec startups

photo credit: ©merrylblavoie

first of all, we were inspired... by the factors that enable accelerators to evolve over time, keep pace with the changing needs of startups and measure their impact on a startup's success.

"teaching long-term sustainable health habits for founders".. accelerators need to focus on developing entrepreneurs, giving priority to their soft skills. by helping them create a good organizational culture that takes into account the right conditions for collaboration from the outset, entrepreneurs can better cope with the pressure and challenges of the intensive support programs they join.

"Promote good habits versus the culture of overwhelming hustle.". We often forget that the problems entrepreneurs face are mostly mental and emotional rather than actual business considerations. Support structures are responsible for "pushing them at the right time and ensuring that they can succeed with a high level of self-confidence."

“Mentors and everyone we bring into our ecosystems as accelerators are a reflection of our program.”Offering mentoring is a valuable part of the services provided by a support structure. But, like entrepreneurs, are our mentors coachable? Given that the majority of mentors have not been trained, encouraged, or pushed to adopt the right approach when interacting with entrepreneurs, support structures must help mentors adapt to entrepreneurs and guide companies through the mentoring process. This involves teaching entrepreneurs to ask themselves the following questions: Is this the right mentor for this aspect of my business? Can I use or implement this advice? Or, is this right for me at this time?

photo credit: ©merrylblavoie

Then, we refocused... by examining the macro environment in which our startup ecosystem operates, reflecting on the effects of current economic trends.

Canada is somewhat lacking the amount of data that we truly need to understand what’s going on with the innovation economy and how it is supported.Our ecosystem must develop a clear, structured, and shared strategy for data collection in order to better identify the impacts of economic trends and the challenges involved in supporting startups.

"Being an entrepreneur in 2023 is an extreme sport and the environment is tense."The current global context—war in Ukraine, high inflation, bank liquidity issues, growing inequality, and climate change—is impacting sales, marketing, investments, and ultimately startups.

"Money is no longer free anymore.". As indicated in the latest BDC Capital report, the return to pre-pandemic levels of venture capital is making it difficult for startups to find funding. The macroeconomic context and investors' lower risk tolerance also explain this scarcity of capital. And this difficulty in accessing capital is even greater for women founders of startups and visible minorities.

"Capital is a coward."Due to the current economic environment, many growing companies, especially those that have raised significant capital, are revising their growth forecasts due to a lack of clear visibility on end-customer demand and budgets. This slowdown in capital deployment should be an opportunity for entrepreneurs to think more carefully.

"The era of growth at all costs is over. We have to refocus on profitability.". Indeed, entrepreneurs must focus more on their suitability for the market and their customer base in order to generate sufficient orders and initial traction before thinking about raising "tons of money."

"integrate esg (environmental, social and governance) factors in your business".. if we look at the cleantech sector, we can see that investment has more than doubled between 2021 and 2022. there is therefore a growing need for sustainable and innovative solutions to meet all the challenges we face as a society. in addition, accelerators and incubators need to help entrepreneurs ask the right questions when it comes to esg factors in order to mitigate risks for the business and better prepare it for the future.

Startups need to be involved in Canadian policy discussions (at all levels of government).The Canadian government favors multinationals over domestic companies. Just look at the number of policies that point in this direction, such as incentives that reduce income tax payments. With this in mind, how can we encourage startups to take greater advantage of tax incentives, such as those for research and experimental development (R&ED)? Leaders in the ecosystem must engage in discussions on public policy, laws, and regulations in order to take a stand on a number of issues, including access to capital and attracting highly skilled talent to startups, etc.

"help companies go out and expand globally"Canada and Canadian companies remain a safe bet internationally. In fact, 50% of venture capital transactions come from outside Canada, which clearly demonstrates that Canadian startups have strong international potential. However, this ambition must be supported by increased efforts in intellectual property protection strategies, increased support measures for internationalization, and a strengthening of entrepreneurs' competitive position.

photo credit: ©merrylblavoie

Finally, we rose to the occasion... by sharing our experiences on three crucial themes within an entrepreneurial ecosystem: taking care of people, taking care of technology, and taking care of business (models).

"People just need a safe space (between founders)."The mental health of entrepreneurs is a very important issue that needs to be studied in greater depth in order to find the right solutions. Many entrepreneurs still struggle to express themselves freely on the subject, which should lead to the creation of safe spaces to allow them to exchange ideas in a relaxed manner in a reassuring environment. In addition, it is also important to resolve the issue of access to professional help by promoting connections between the startup ecosystem and healthcare professionals.

"Help a startup build something that serves a purpose." Many people embark on entrepreneurship without having given enough thought to their goal, and a large number of entrepreneurs try to seize every opportunity that comes their way, even if it means forgetting their goal. The role of an accelerator to help entrepreneurs stand out and be really specific about their goal. We must give them the tools they need to understand the value creation of their technology and its real impact on the market.

"Customer readiness leads directly to investor readiness." The subject was touched upon earlier, but it is important to repeat it because it was a cross-cutting theme of the event. In the ecosystem, there is a strong emphasis on investment and on preparing startups for fundraising. It is important to remember that investment is only part of the equation. If the startup cannot attract customers or secure contracts, it will not obtain investment. Investors will not be interested in a startup until it has developed traction and a genuine customer base in its target market.

"One for all in the room is collaboration.". As startup support providers, let's remember that we are always at the service of entrepreneurs. Everything we do must always be done in the interests of entrepreneurs. There are not enough specialists in each region to meet all the needs of entrepreneurs. The ecosystem must therefore connect entrepreneurs with the right people who will make a difference in their journey and enable them to accomplish things that would not have been possible without the collaborative support of the ecosystem.

“A hub isn’t a coworking space; we have to build a community.”The value of the services offered by a support structure lies in its personalized approach and access to a range of resources that meet the needs of entrepreneurs. In order to keep this entrepreneurial community active, the players in the ecosystem must ensure that we can create enough startups in Quebec to remain competitive. To address this issue, we must leverage the influence of our community by ensuring that we attract more international startups.

Now that Acceleratorfest is behind us, the support ecosystem is gathering at the 2024 Accelerator Summit in the National Capital Region, at the Manoir du Lac Delage, to discuss common issues facing the ecosystem, imagine and build the future, and meet potential partners who share the same ambition.

– Youri Dermigny