Romania is set to take a significant step in nurturing its tech ecosystem with the launch of its first regional tech accelerator. Spearheaded by the Western Regional Development Agency (ADR Vest), this initiative aims to foster innovation and create a thriving startup environment in the country’s West Region, with a bold objective: to cultivate a unicorn—a startup valued at over $1 billion—by 2027.
Aiming for a Unicorn
The accelerator, which will be based in Western Romania, marks a crucial part of ADR Vest’s strategy to develop the region’s tech sector. The agency, which oversees development in cities like Arad and Timișoara, has already begun the search for a manager to lead this ambitious project. The search is international, reflecting the agency’s commitment to finding top-tier expertise to guide the initiative.
With over €11 million allocated from the EU’s 2021-27 Regional Development Programme, the accelerator will focus on providing early-stage funding, mentorship, and market access to startups. The ultimate goal is to create tens of successful tech firms in the region, with at least one achieving unicorn status by 2027.
Phases of the Accelerator
The accelerator program will unfold in three phases:
- Pre-Acceleration Stage: During this initial phase, the focus will be on supporting individuals and startups with innovative business ideas. The aim is to help these ideas reach at least the Minimum Viable Product (MVP) stage through training, mentorship, and development support.
- Acceleration Stage: This phase will target SMEs (small and medium-sized enterprises) with technologically innovative concepts. Selected startups will receive guidance, training, mentorship, and venture capital funding to scale their businesses and gain international exposure.
- Seed Financing Stage: The final phase will concentrate on startups that have progressed through the acceleration stage or have shown significant market potential. These SMEs will receive seed funding to accelerate their growth and market entry.
Focusing on Innovation
One of the unique aspects of this accelerator is its focus on ideas rather than the track record of existing companies. According to Sorin Maxim, General Director of ADR Vest, the initiative marks a shift from traditional funding models that prioritized a company’s current capabilities. Instead, the new program will focus on the potential for market development and technological innovation that new ideas bring to the table.
“This is a pivotal moment for the entire West Region,” said Maxim. “Our goal is to cultivate a unicorn in our region by 2027. We’re planting the seeds now and, with time, we’ll nurture them to fruition.”
Maxim emphasized that the accelerator won’t just offer financial support. Startups will also benefit from a comprehensive mentoring package covering marketing, technology, and financial development. This holistic approach is designed to equip startups with the resources and expertise they need to succeed.
Building a Robust Tech Ecosystem
The Western Region of Romania, which already boasts the second-highest GDP per capita among Romania’s eight EU regions, is seen as a fertile ground for this initiative. By the end of the funding cycle in 2027, ADR Vest aims to support at least 100 MVPs in the pre-acceleration stage, 40 SMEs in the acceleration stage, and 10 SMEs in the seed funding stage.
This ambitious plan underscores Romania’s commitment to becoming a significant player in the global tech landscape. With the launch of this accelerator, Romania’s West Region is poised to become a hub for innovation, attracting talent and investment from around the world. As the program unfolds, the region will likely see a surge in entrepreneurial activity, paving the way for the next generation of tech leaders.
