How do business incubators differ from business accelerators?

People sometimes use the term business accelerator as another term for business incubator in an attempt to differentiate themselves in the market. During the dot-com boom that occurred around 2000, numerous terms like "accelerator" emerged to describe business incubation programs. In the current market, many of these terms have fallen away, but accelerator remains a relatively popular term to describe business incubation programs.

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The U.S. Small Business Administration administers the Small Business Development Center (SBDC) program to provide general business assistance to current and prospective small business owners. SBDCs (and similar programs) differ from business incubators in that they do not specifically target early-stage companies; they often serve small businesses at any stage of development. Some business incubators partner and share management with SBDCs to avoid duplicating business assistance services in a region.

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