Techstars pulls in $27.8 million in new funding

BOULDER — Techstars has raised a new $27.8 million equity funding round to help the Boulder-based startup accelerator keep chugging along.

Techstars co-founder David Brown said Monday that the new funding isn’t for any new initiatives, but rather a regular infusion of cash that will be used primarily to fund the seed investments the accelerator makes in each participating company.

Techstars programs offer startups $20,000 in seed money, mentorship and an array of business services in exchange for a 6 percent equity stake. A $100,000 convertible note is also available to all participants.

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The new funding will cover the seed funding and the convertible notes, in addition to expenses for various localized Techstars programs. Brown said Techstars has raised roughly $300 million that falls into the same category since the accelerator held its first program in 2007.

Techstars Atlanta became the accelerator’s 23rd program when its launch was announced in December. Techstars, which employs roughly 35 people in Boulder, has graduated more than 700 companies from its programs to date.

The 10th Techstars Boulder program begins later this month, with Demo Day slated for May in conjunction with Boulder Startup Week festivities.