The Startup Village Collective is successful only if you are successful. To align our success with yours, our membership fee is nominal, but when you do become successful through us, we charge a success fee.
Through SV.CO, you have six ways to succeed. Three of these ways lead to personal success, and three lead to team success.
- Get a Job
- Get Acqui-hired (A company hires your entire team and/or product)
- Go for Higher Education
- Get Funded
- Join an Incubator or Accelerator
- Become Sustainable
You decide when you graduate and how. When you decide to ask for our help though, we charge a success fee based on your mode of graduation.
This is how the success fee is structured:
Founder Success Fee:
Get a Job:
10% of your Year 1 CTC (cost to company), in monthly installments if you get introduced to your employer through us.
20% of your combined Year 1 CTC (cost to company) and any bonuses from the sale of your product, in monthly installments if you get introduced to your acqui-hirer through us.
Go for Higher Education:
We do not have any success fee associated with this.
Startup Success Fee:
If we introduce you to an investor, we charge a fee of 2.5% of the investment amount.
Join an Incubator or Accelerator:
We do not have any success fee associated with this, aside from when the incubator or accelerator puts in money (here the Get Funded option gets triggered).
We do not directly have any success fee here, but if your team asks us for an introduction to a client, and that you sign a contract with a client, we'll charge 5% of the yearly revenues from that sale for a period of 3 years.
The Team Success Graduation also has an additional success fee metric we called 30@30. Here, when you raise an investment round (from any investor), we have the option of putting in additional money, for up to 30% of that investment round, at a 30% discount. If you have any doubts about this, please ask questions on Public Slack!
Note: the Success Fee is enforced only if you are successful. We are aligning our success with yours. If you are not successful (via the six ways mentioned above), we never charge a fee.
To enforce these two categories of success fees, you need to sign a single unified agreement called the Digital Incubation Agreement. We are currently revising the agreement, and we'll have a copy available soon. Until then you can read the old agreement here.
There is one final important thing to understand: Before advancing to building prototypes in the SV.CO Program, your team needs to form a Legal Partnership and sign the Digital Incubation agreement. (Currently, this agreement signing is enforced before you advance to Level 3.)