Sports accelerator programs and investment ventures are increasingly being launched around the world. This is a sign of the proliferation of technology taking over sports (where there’s investment there’s startups).
Sports Tank, a sports-specific pitch event (think Shark Tank but for sports startups) cuts right to the heart of sports entrepreneurship and puts founders in front of strategic investors for one day in one venue. The following is a Q&A with Pete Philo, the Owner and President of TPG Sports Group, the managing entity of Sports Tank. Pete discusses in detail the vision for Sports Tank, their vetting process and overall look at the opportunity to unite sports technology founders and investors.
1. What makes Sports Tank unique?
The ability for our 10 companies to receive both strategic investment and sports partnerships in one setting makes Sports Tank unique. Secondly, companies selected to pitch are awarded an expenses-paid trip to New York to pitch. This is an unprecedented opportunity for startups to present to investors and sports executives, receive industry advice, and gain tremendous exposure. Additionally, TPG Sports Group has a significant reach in sports that enables us to open doors and further the development for sports startups.
2. What type of startups are you looking for?
Each year, the market dictates which areas that we focus on. This year, we’re excited for companies in eSports, VR, Health & Fitness, Mobile, Tech and Fan Engagement. We look for any company that will make an impact in the sports and entertainment industries.
3. Why do you describe Sports Tank as a “mini-accelerator”?
Between TPG Sports Group, it’s advisors, mentors, investors and sports executives, we have over 500 industry experts to specifically help each startup. Companies selected are able to get significant business done during their time at Sports Tank. Similar to accelerators, Sports Tank offers both financial and partnership opportunities, but in a one-day event. Following the event, the 10 finalists will have our network as a resource to help grow their business. It is a lesser commitment with a high chance to walk away with strategic investment, strong partnerships and global exposure across the industry.
4. What type of executives will make up both the Sports Advisory Panel and Investment Panel?
The Investment Panel will be made up of Venture Capitalists who are very active in the sports space. We add new investors each year to keep the perspective fresh, and ensure companies are surrounded with those that are active and pursuing new investment opportunities in sports. Our Sports Advisory Panel is treated much the same. All invited executives are selected based on their field of expertise, as well as their desire to be a resource for our startups. Sports Tank will feature executives from the league, team, and agency level to participate.
5. How are the final 10 companies chosen?
Our vetting process is very thorough and specific. We narrow down to our top 50 companies and, from there, we organize conference calls and set up regional meetings with VC’s, private equity investors, and sports executives to further evaluate our finalists. At that time, we set up interviews for finalists with members of our selection committee. Bringing companies that the investors and executives have a real interest in makes the opportunity extremely efficient for all sides to get business done and accelerate their companies.
6. What do the final 10 companies receive aside from the chance to pitch?
The final 10 companies will receive an “all-expenses-paid trip” to New York City to pitch in front of our investors and sports executives. They also will have the ability to network and connect with our VIP’s, special guests, investors, and industry executives at private functions. Connecting and having meaningful conversations with industry leaders is what we focus on here at TPG Sports Group, and we often see outstanding results from those genuine relationships. Additionally, the coverage and exposure each company will receive will be significant.
7. Why the move to New York City?
After evaluating all of the particulars (startup scene, relationships, opportunity), we felt that New York was the right place for this event to continue its growth. Like everything else in New York City, the scale of the tech ecosystem provides more opportunities for our participating companies. There are more market influencers who will be able to participate and help assist in companies reaching the next level. NYC is the sports capital of the world and offers limitless possibilities for the event, and all that participate.
8. Sports Tank had a strong international presence in 2016. What makes Sports Tank attractive for companies abroad?
We’ve been very lucky to have done a lot of international business over the past 20+ years. In 2016, we received applications from 23 countries with 4 international companies being selected to pitch. I think the fact that we offer such a diverse opportunity in one setting allows companies to achieve many initiatives at Sports Tank. Our goal is to invite the most impactful and innovative sports and entertainment companies, no matter where they’re from.
9. What additions have been made to Sports Tank in 2017?
Several additions have been made this year. We’ve added two prominent executives from the finance industry as special advisors to Sports Tank. Duncan Niederauer (former CEO of the New York Stock Exchange and presently the founding partner of Mountain Top Advisory Group) will participate on the Investment Panel, and Guy Adami (Host of CNBC’s Fast Money) will be in attendance to provide advice and feedback to the companies. We’ve also added representatives from the professional league level, athlete representation and more.
Sports Tank has a very unique addition called “Next Gen Arena”. “Next Gen Arena” will be a platform for early stage startups (separate from our Sports Tank finalists) to showcase their business models to our VC’s and executives privately, prior to Sports Tank. During this time, one of the “Next Gen Arena” startups will be selected to pitch their company in front of our Sports Tank audience.
10. What are your plans for Sports Tank moving forward?
The future is bright for Sports Tank. We are constantly evaluating the event, the process of the event and how to best serve the sports startup community. We will continue to incorporate more opportunities for innovative entrepreneurs to grow and share their technology in the sports and entertainment space. Moving forward, we will increase our push to assist these startups globally and grow beyond the U.S. with our international relationships. One thing about events, if your eyes and ears are open and you are creative, you can stay innovative and serve the industry well.