Techstars Sydney is shutting down after three years, with the NSW authorities withdrawing funding for the accelerator program.
The closure is the newest blow to the Sydney startup sector inflicted by the NSW authorities and Funding NSW, following the loss of SXSW Sydney last month when it withdrew funding, the closure of the Sydney Startup Hub, cuts to MVP funding and delays in rolling out support amid ongoing reviews midway by Labor’s first time period in energy.
Techstars Sydney managing director Christie Jenkins revealed that after three years, three cohorts and greater than $60 million invested in 36 startups, the extensively lauded three-month accelerator 2026 program is not going to go forward and she is going to depart as chief, together with the remainder of the small staff.
Techstars, based 20 years in the past in New York, is an OG international startup accelerator and enterprise capital investor. Its arrival in Sydney, supported by the previous Coalition authorities, was seen as a coup for NSW, and as just lately as final September, Funding NSW was touting this system as central a ” the way forward for innovation” and its much-touted and long-delayed Innovation Blueprint.
It gave Australian startups that took half entry to the 3100 international Techstars mentors and 3500 lively alumni corporations.
However now, the federal government has as soon as once more pulled the rug out from underneath early-stage startups, declining to proceed its modest funding in Techstars Sydney
Birchal CEO Kirstin Hunter oversaw the primary two years of this system, with champion athlete and investor Christie Jenkins taking up the Techstars Sydney managing director function in 2025.
“It’s been an unbelievable 3 years for Techstars in Sydney, and the funding from the Funding NSW and personal buyers has made that potential. We invested in 36 founding groups – and for 58% we have been the very first cheque in,” Jenkins stated.
“I’ve seen founders go from tears of pleasure at receiving a suggestion that enables them to go full-time, to hiring a staff of 5 and hitting $1 million in ARR. This has mattered. And that is only the start. I’m so insanely pleased with the impression Techstars Sydney has had. It’s exhausting to create an organization from an thought. It’s dangerous. It takes inordinate self perception and energy.
“In a three-month interval we’ve seen founders triple their income, signal Beyonce’s manufacturers as clients, steal enterprise clients from international rivals, check a brand new most cancers detection expertise on human samples, elevate tens of millions… These founders are off the charts unbelievable people. And perhaps considered one of them will find yourself hiring me!”
Jenkins stated that whereas she’s upset this system received’t proceed this yr, she’s “merely grateful” for the possibility to steer it.
“Grateful to the founders for saying sure and trusting us. Grateful to the 120 mentors who helped with out asking for something. Grateful to the 20 visitor audio system – from the particular forces to unicorn founders – for sharing their knowledge,” she stated.
“Grateful to the numerous, many individuals within the ecosystem that got here to occasions, cheered us on, and made the magic that was Techstars Sydney.”
Techstars Sydney was additionally essentially the most beneficiant of native accelerator applications in funding phrases, providing founders US$120,000 (c.A$170,000) for five% of the enterprise.
The 2025 program acquired 560 functions, up from 390 in 2024.
It additionally addressed the range points that plague the startup sector. Among the many prime 150 functions, 43% had girls within the founding staff, and 47% had racial variety.
Of the 12 backed final yr, third have been led by feminine CEOs, and 5 had founders from culturally and linguistically various backgrounds.
Final September, Funding NSW deputy secretary Rebecca McPhee stated the NSW authorities “is proud to assist the Techstars Accelerator Program” and startups “tackling real-world issues”
“That’s precisely the type of innovation we need to see thrive in NSW,” she stated.
“It’s nice to see the Techstars Accelerator Program delivered within the coronary heart of Tech Central, contributing to a thriving innovation economic system in NSW.”
Funding NSW and the related minister, Anoulack Chantivong, have been contacted for remark. The minister has not responded, Funding NSW is making ready an announcement. We’ll replace this story after we obtain their response.
