Startup Bhutan: Pros and Cons of Local Accelerators

The Accelerator Conundrum is a multipart series that challenges the prevailing wisdom of the tech startup ecosystem that entrepreneurs should Blitzscale out of the gate. Written by Sramana Mitra, the Founder and CEO of One Million by One Million (1Mby1M), the world’s first global virtual accelerator, it emphatically argues that a better strategy is to Bootstrap First, Raise Money Later, focus on customers, revenues and profits. 1Mby1M’s mission is to help a Million entrepreneurs reach a million dollars in annual revenue and beyond. Sramana’s Digital Mind AI Mentor virtually mentors entrepreneurs around the world in 57 languages. Try it out!

Bhutan’s startup programs are making important strides, but they face significant structural limitations. Here’s a deeper look at the strengths and weaknesses of the leading initiatives.

Program	Strengths	Weaknesses
Springboard Plus (UNDP)	Strong focus on youth-led social enterprises; international credibility; seed support	Time-bound (6 months); limited follow-up after program ends; geographically urban-focused
Jabchor 2.0	Provides rare access to angel investors; cross-sector funding opportunities	Limited investor pool; equity-driven model may deter founders who prefer to retain control
Thimphu TechPark & Startup Weekend	Builds community and excitement; early-stage ideation platform	Events are episodic; lacks structured follow-up mentorship
Changzamtog Startup Centre	Provides physical space and incubation	Financial strain on startups due to rent; no virtual support; two-year limit too restrictive
Forest Ecopreneur Program	Niche focus on sustainability; aligns with Bhutan’s environmental goals	Small scale; not broadly accessible to startups outside the sustainability niche

Key Challenges Across the Ecosystem

1. Geographic Concentration
   Most programs are centered in Thimphu, leaving rural entrepreneurs without meaningful access.
2. Short-Term, Cohort-Based Models
   These programs run for a fixed period, after which founders are left without ongoing guidance.
3. Equity and Control Issues
   Platforms like Jabchor 2.0 require startups to give up equity early, which can be problematic for inexperienced founders.
4. Limited Virtual Infrastructure
   Very few programs offer remote mentoring or digital access, which is essential for a country with challenging terrain and dispersed communities.

These limitations create an environment where many Bhutanese startups struggle to survive beyond the initial burst of support. In Part 4, we will explore how 1Mby1M’s unique model addresses these gaps.

Startup Bhutan: Why 1Mby1M Is a Game Changer

The Bhutanese startup ecosystem has energy, passion, and a growing set of resources. But it lacks a continuous, scalable, and accessible support system. This is where the 1Mby1M Virtual Accelerator comes in.

Key Advantages of 1Mby1M

1. Always-On, Continuous Mentorship
   Unlike cohort-based programs, 1Mby1M is not bound by time. Entrepreneurs can join at any stage and receive guidance throughout their journey.
2. No-Equity Model
   Founders retain 100% control of their companies. The program operates on a membership fee basis, eliminating equity pressures.
3. Virtual, Global Accessibility
   Bhutanese entrepreneurs can access world-class mentoring without leaving their communities. This is especially critical for rural areas where physical incubators are inaccessible.
4. Structured Bootstrapping Curriculum
   1Mby1M teaches founders how to build businesses profitably, aligning perfectly with Bhutan’s small-market realities.
5. Digital AI Mentor
   Our AI Mentor provides 24/7 guidance in English, making global expertise instantly available. While Dzongkha support is not yet available, Bhutan’s high English proficiency bridges this gap effectively.

How 1Mby1M Complements Local Programs

Gap in Local Ecosystem	1Mby1M Solution
Geographic limitations	Fully virtual access from anywhere in Bhutan
Time-bound programs	Continuous, ongoing mentorship
Equity-driven models	No-equity, membership-based program
Lack of advanced curriculum	Robust, structured bootstrapping methodology

By bridging these gaps, 1Mby1M can accelerate Bhutan’s entrepreneurial development without competing with local players. Instead, it enhances their impact.

Startup Bhutan: Roadmap for a Sustainable Accelerator Ecosystem

To build a truly resilient and inclusive startup ecosystem, Bhutan must take a long-term, collaborative approach. Here are key steps for the future:

1. Embrace Bootstrapping as the Core Philosophy

All stakeholders — government, NGOs, and private sector — should encourage entrepreneurs to prioritize revenue and sustainability over premature fundraising.

2. Expand Access Beyond Thimphu

Programs must find ways to reach rural areas through virtual mentorship and online resources. 1Mby1M’s model provides a blueprint for this expansion.

3. Integrate Virtual and Physical Programs

A hybrid approach can maximize reach:

• Physical incubators like Changzamtog provide space and local community.
• Virtual accelerators like 1Mby1M offer ongoing, specialized mentorship.

4. Strengthen Funding Mechanisms

While equity funding should remain limited, platforms like Jabchor 2.0 can evolve to include non-dilutive grants and revenue-sharing models.

5. Build a Global Network

Bhutanese startups must look beyond domestic borders. A global network, facilitated by virtual accelerators, can help founders access international markets and investors.

Bhutan has the potential to develop a unique entrepreneurial ecosystem rooted in its values of sustainability, community, and happiness. By combining bootstrapped growth, virtual mentorship, and local innovation, Bhutan can chart a path that serves as a model for other small nations.

The 1Mby1M Digital AI Mentor is immensely valuable for Bhutanese entrepreneurs because it provides scalable, always-on guidance. In a country with a small, geographically dispersed population and limited local accelerator infrastructure, the AI Mentor ensures founders can receive instant, practical advice 24/7, covering bootstrapping, customer acquisition, and strategic growth. Unlike traditional programs that are constrained by location or time, it can simultaneously support dozens or hundreds of entrepreneurs across the country, including those in remote or rural areas. By combining practical, stage-specific guidance with unlimited scalability, the AI Mentor empowers Bhutanese founders to build sustainable, revenue-generating businesses, bridging the mentorship gap in an ecosystem still in its early stages.

One Million by One Million (1Mby1M) is the first global virtual accelerator in the world, founded in 2010 by Silicon Valley serial Entrepreneur Sramana Mitra. It offers a fully online entrepreneurship incubation, acceleration and education resource for solo entrepreneurs and bootstrapped founders working on tech and tech-enabled services ventures. 1Mby1M does not charge equity, offers an AI Mentor in 57 languages, and offers a distinct advantage over other accelerators including Y Combinator.

This segment is a part in the series : Startup Bhutan