Bigger Isn't Better and Give First with Techstars' David Cohen

David Cohen is the CEO and Cofounder of Techstars. Techstars is one of the OGs of startup accelerators, investing in almost 5,000 startups since Techstars was founded in 2006. David himself is a serial entrepreneur who was the founding CEO at Techstars, later stepped back from that role, and then returned as CEO in 2024. We talked about the problems that Techstars solves for founders, how vibe-coding affects accelerators, why Techstars finally opened up in SF, and why bigger isn’t better – better is better.

The episode is now available on Apple Podcasts, Spotify, Amazon, and YouTube Music.

Chapters from Bigger Isn't Better and Give First with Techstars' David Cohen

00:00 Introduction to Techstars and Its Mission

03:26 The Evolution of Accelerators and Market Needs

05:23 Bigger Isn't Always Better: A New Perspective

09:42 Revamping Offers for Founders

11:44 The Surge in Applications and Market Dynamics

13:06 The Impact of Accelerators on Startup Success

14:26 The Importance of People in the Accelerator Model

15:36 Balancing Autonomy and Quality in Investment Decisions

17:02 Identifying Promising Techstars Companies

18:36 Choosing the Right Markets for Techstars

20:01 Entering the San Francisco Market

21:49 Evolving the Founder Experience in Programs

23:29 Transformations in Founders During the Program

25:09 The Value of Mentor Madness

28:00 Follow-On Investments and Growth Strategies

29:54 The Role of AI in Startup Development

31:47 Challenging Conventional Views in Venture Capital

35:04 Advice for Founders Considering Techstars

Takeaways from Bigger Isn't Better and Give First with Techstars' David Cohen

• “Better > Bigger.” Cohen’s north star is improving founder outcomes, not ramping program count—more capital on founder-friendly terms, tighter tools, and higher bars across the board.

• Accelerators still win on “people, people, people.” The durable edge is human: alumni, mentors, and investor relationships that deliver fast customer intros and real-time feedback—less “school,” more just-in-time help.

• Small cohorts, bigger signal. 8–12 companies per class, with demo day as a local celebration while investor matching happens year-round and globally—optimizing for fit over theater.

• Founder metamorphosis: drop the shield. The biggest change Cohen sees is founders shedding hubris, embracing candid feedback, and tightening story + strategy—Mentor Madness helps catalyze this.

• Quality control at scale. A central investment committee (Cohen, Brad Feld, Andrew Cleland, senior MDs) reviews every deal to calibrate quality across cities and bring in domain experts when needed.

• What Techstars selects for. Coachability, radical honesty about weaknesses, compelling storytelling, and obsession with the problem (not a fixed solution) with willingness to adapt.

• Myth-busting geography. Great companies come from everywhere; pick programs by local affinity (customers, investors, sector) or use “Anywhere” virtual options—don’t feel forced to move.

• Portfolio construction is evolving. Concentration isn’t the only way to win; diversification can reduce volatility and fit a broader set of LPs as venture matures.

• Why so many accelerators? Cohen’s view: more well-intentioned capital + mentorship is net-positive for startup ecosystems—outcomes hinge on the strength of the network.  

• How founders should choose a program. If Techstars operates where you live, that’s easy; otherwise optimize for network density around your domain (e.g., fintech in London/NY) and consider virtual.

The content here is for informational purposes only and should not be construed as investment, legal or tax advice. The opinions expressed by guests are their own and do not reflect the views of Seaplane Ventures. Our host, guests and clients may hold investments discussed in this podcast. Please invest responsibly.