Tandem Capital, the Silicon Valley startup accelerator that focuses exclusively on early-stage mobile businesses, is today revealing the six companies that are participating in its most recent batch. The seed fund and accelerator raised its second, $32 million fund in June, which it uses to offer $200K convertible notes (in exchange for 10 percent equity) to the startups participating in its accelerator. Like other accelerators, Tandem works closely with its startups on everything from strategy to product design and marketing, offers free work space and daily meeting.
Unlike the many others in the space, however, it keeps its batches small (generally two to six teams) in the belief that smaller class sizes mean higher returns and success rates. Its program is also 6-months long, although this tends to be open-ended, as there’s no demo day or graduation day and entrepreneurs are given the choice to remain at Tandem’s headquarters after the program ends.
Tandem has been operating as a capital fund since 2007, having invested in and advised the teams behind Juice In The City, Playhaven, and Zumodrive, for example, and launched its mobile accelerator officially in July. Today, Tandem is pulling the curtain back on its second (and third) batches of six startups, and has opened up for submissions to its fall/winter class, with the deadline of October 1st. [You can find coverage of accelerator's first batch here.]
The accelerator focused on incubating lean, mobile-oriented startups disrupting large markets but otherwise doesn’t put constraints on ideas its considers for investment. The accelerator’s latest batches are fairly wide-ranging. And although Tandem co-founder Doug Renert said the founders had made a decision not to invest in music-focused startups (for a number of good reasons), they broke that oath in their latest round, as you’ll see below.
The companies include:
These six teams were selected from hundreds of applicants and each company is still in stealth mode, but plan to release their products before the end of the year.
In addition, the first six companies backed by Tandem’s most recent fund have lined up their next respective rounds of funding, although not all of them have announced the closings yet. Stay tuned for that. This group includes BitRhymes, the producer of Bingo Bash, currently the no. 1 grossing app on the iPad; Sift, a tablet shopping app that uses email to instantly customize the experience; and UpOut, a next generation local event directory.
For more on Tandem and application submissions, find it here.
Tandem is made up of a few entrepreneurs who have founded companies and taken them to liquidity. They now invest their time and money in othersâ€™ early stage software and Internet startups through Tandem. The Tandem team does not consider itself a VC firm. They refer to three primary types of capital that are required to make a startup successful â€“ Financial Capital (money), Human Capital (sweat) and Social Capital (friends). Tandem explains that VCs bring mainly financial capital, some...