The map reveals that one founder can positively affect well over 700 companies through mentorship, spin-offs, or angel investment. For the first time, one can see exactly how many other companies an entrepreneur helps grow when they pay it forward to other entrepreneurs.
New York, April 11, 2023 – Endeavor, a 25-year old nonprofit organization that selects promising entrepreneurs in 42 emerging countries to help them scale, is set to redefine entrepreneurial success.
Alongside indicators like growth, profit, and valuation, Endeavor believes in founders’ compound impact when they mentor, inspire, and invest in the next generation of entrepreneurs. These founders can impact well over 700 companies in their regions through mentorship, employee spinouts, or direct investments.
“Valuation has never been the goal. Impact has been the goal,” says Endeavor co-founder and CEO Linda Rottenberg, when talking about . “And that impact depends on catalyzing networks of trust, mentorship, and celebration. A unicorn that doesn’t breed even more unicorns is an endangered species.”
Endeavor Insight, the organization’s research division, studied entrepreneurial ecosystems in more than 50 markets, calculating the closeness and centrality of influential actors in an entrepreneurship ecosystem. The degrees of connections included in recent studies are former employment, mentorship, angel investment, and serial entrepreneurship.
The team collected data from its entrepreneurs and their companies and supplemental information from Pitchbook and LinkedIn to create a new interactive map that showcases the Multiplier Effect in action. The map traces 25 Endeavor entrepreneurs from 14 countries, making their direct or indirect influence on local communities visually clear. Different colors show their impact through mentorship, investment, or previous employment of new entrepreneurs.
Below are three examples:
- Rappi’s Multiplier Effect: In Colombia, Endeavor helped scale the on-demand delivery app Rappi into the country’s first unicorn. Its alums have found or led over 130 businesses, and its founders have mentored or invested in well over 20 other entrepreneurs.
- Careem’s Multiplier Effect: Middle East ride-hailing company Careem joined Endeavor’s network in 2018. Over 90 former employees became founders, and Careem’s three founders have mentored over 30 entrepreneurs.
Endeavor’s Insight team regularly conducts and publishes research. It has many studies that discuss the multiplier effect, like our climate tech growth challenges study, Top 10 Entrepreneurship Findings, Lessons on Fostering Entrepreneurship Communities, and 2022 Endeavor Impact Report.
For more information about Endeavor, visit our website.