{{short description |American venture development firm}} {{Infobox company | name = Prehype | logo = | type = Privately held company | industry = Venture capital | founded = {{Start date and age |2010|09|01}} | founders = Henrik Werdelin, Philip Petersen and Stacey Seltzer<ref>{{Cite web|date=2015-11-19|title=Bringing David and Goliath together: Inside Unilever's startup incubator|url=https://digiday.com/marketing/bringing-david-goliath-together-inside-unilevers-incubator-foundry/|access-date=2020-08-19|website=Digiday|language=en-US}}</ref><ref>{{Cite web|last=Myers|first=Courtney Boyd|date=2011-05-21|title=Prehype helps corporations innovate like startups - TNW Entrepreneur|url=https://thenextweb.com/entrepreneur/2011/05/21/prehype-an-incubator-that-helps-corporations-innovate-like-startups/|access-date=2020-08-19|website=The Next Web|language=en-us}}</ref><ref>{{Cite web|last=Werdelin|first=Henrik|title=Henrik Werdelin|url=https://www.entrepreneur.com/author/henrik-werdelin|access-date=2020-08-19|website=Entrepreneur|language=en}}</ref> | hq_location_city = New York City | hq_location_country = United States | num_locations = 6 | area_served = Worldwide | key_people = | products = Business incubation | services = | owner = | num_employees = | website = {{URL|prehype.com}} }}
'''Prehype''' is an American product innovation and venture capital firm using a process that it calls venture development. Prehype has offices in New York City, London, Copenhagen, and Rio de Janeiro, and was founded by Henrik Werdelin in September 2010.{{cn|date=November 2023}}
In addition to venture management services, the firm provides angel investments and access to a network of talent including entrepreneurs, engineers, designers, and developers.<ref name=reftwo>{{Citation|url=https://mediashift.org/2012/08/prehype-uses-collaboration-to-bring-startup-culture-to-big-companies229/|title=Prehype Uses Collaboration to Bring Startup Culture to Big Companies|author=Christa Avampato|publisher=PBS.org|date=August 16, 2012|access-date=November 19, 2013}}</ref><ref name=refthree>{{Citation|url=https://thenextweb.com/entrepreneur/2011/05/21/prehype-an-incubator-that-helps-corporations-innovate-like-startups/|title=Prehype: an incubator that helps corporations innovate like startups|author=Courtney Boyd Myers|publisher=The Next Web|date=May 21, 2011|access-date=November 19, 2013}}</ref><ref name=reffour>{{Citation|url=http://forexmagnates.com/worlds-first-forex-hackathon/|title=World's First Forex Hackathon|author=Ron Finberg|publisher=Forex Magnates|date=August 15, 2012|access-date=November 19, 2013}}</ref><ref name=reffive>{{Citation|url=http://betabeat.com/2011/04/spinning-a-start-up-out-of-big-company-then-selling-it-back-to-them/|title=Prehype Spins Start-ups Out of Big Companies, Then Sells it Back to Them|author=Ben Popper|publisher=BetaBeat|date=April 22, 2011|access-date=November 19, 2013}}</ref>
==History== Prehype was founded in September 2010 in New York City by Henrik Werdelin, alongside Philip Petersen and Stacey Seltzer.<ref name="TNW">{{cite news |last=Anthony |first=Sebastian |title=Prehype: An incubator that helps corporations innovate like startups |url=https://thenextweb.com/news/prehype-an-incubator-that-helps-corporations-innovate-like-startups |work=The Next Web |date=18 April 2012 |access-date=12 August 2025}}</ref> Werdelin conceived of the firm after serving as Vice President of Product Development and Strategy at MTV Networks and as an Entrepreneur-in-Residence at Index Ventures, roles that exposed him to the gap between corporate innovation processes and startup agility.
From its inception, Prehype adopted a venture development model designed to identify “intrapreneurs” within large organisations and guide them through intensive ideation sprints (typically one to four weeks), followed by a three-month build phase and a 100-day customer feedback period.<ref>{{cite web |title=Prehype |url=https://en.wikipedia.org/wiki/Prehype |website=Wikipedia |access-date=12 August 2025}}</ref>{{Circular reference|date=September 2025}} The firm’s revenue model combines a fixed management fee with shared upside in successful ventures.
In its early years, Prehype worked with companies including Diageo, NewsCorp, Mondelez, the Lego Group, and Verizon to develop new products and services.<ref name="Prehype">{{cite web |title=Prehype |url=https://prehype.com/ |publisher=Prehype |access-date=12 August 2025}}</ref><ref name="VCMap">{{cite web |title=Prehype |url=https://vc-mapping.gilion.com/vc-firms/prehype |publisher=VC Mapping |access-date=12 August 2025}}</ref> One of its first major spin-outs was BarkBox, a subscription service for dog products launched in September 2011 in partnership with Matt Meeker and Carly Strife.
During the 2010s, the firm’s portfolio expanded to include Basno, Three Spirit, UnionCrate, Penrose Hill, Edwin, FancyHands, and Ro Health.<ref name="Prehype" /> Several Prehype-backed companies were later acquired by larger firms, including Birdseye by Yandex, AND CO by Fiverr, Part Pic by Amazon, Managed by Q by WeWork, Hot Potato by Facebook, Sunrise by Microsoft, Go Try It On by Rent the Runway, and Readmill by Dropbox.
In later years, Prehype broadened its scope to include AI-assisted venture building tools (such as Audos), SaaS-focused spin-outs through Freespin Ventures, and educational initiatives in applied entrepreneurship. It also launched a network of entrepreneurs-in-residence, fellowship programs, and seed investment initiatives. As of the mid-2020s, the firm maintains offices in New York, London, Copenhagen, Sydney, Detroit, and Rio de Janeiro.<ref name="VCMap" />
==Incubation services== The firm's primary line of services involves incubating new startup companies from within large corporations.<ref name=reftwo /><ref name=refthree /><ref name=reffive /><ref name=refnine>{{Citation|url=https://thenextweb.com/insider/2011/12/02/barkbox-launches-a-monthly-subscription-service-for-dog-lovers/|title=BarkBox launches a monthly subscription service for dog lovers|publisher=The Next Web|date=December 2, 2011|access-date=November 19, 2013}}</ref>
With an infrastructure of entrepreneurs, engineers, designers, and developers, Prehype facilitates the incubation process by allowing executives, referred to as intrapreneurs, to build new products and ventures with a handpicked external team.<ref name=reftwo /><ref name=reffive />
Prehype pulls these entrepreneurs out of the company for a period of 1–4 weeks and coaches them in bringing a business idea to life.<ref name=reftwo /> Following this period a new venture is created with a timeline of three months for most projects. Prehype follows up by helping companies receive customer feedback within 100 days of the new product's launch.<ref name=reftwo /> Prehype charges a fixed management fee, but makes its profits via a shared upside if the project is successful.<ref name=refthree /><ref name=refseven>{{Citation|url=https://thenextweb.com/insider/2011/05/29/why-new-york-citys-tech-scene-is-thriving/|title=Why New York City's tech scene is thriving|author=Courtney Boyd Myers|publisher=The Next Web|date=May 29, 2011|access-date=November 19, 2013}}</ref>
The incubation process serves several purposes, the first of which is to retain talent within an organization while allowing employees to function like entrepreneurs, potentially leading to a successful new business.<ref name=reftwo /><ref name=refthree /> The second goal is to foster a mutually beneficial environment in which the cultures of big companies and startups can learn from one another.<ref name=reftwo /><ref name=reffive /><ref name=refeight>{{Citation|url=https://thenextweb.com/entrepreneur/2011/11/05/lessons-from-12-new-york-entrepreneurs-after-a-year-in-the-business/|title=Lessons from 12 New York entrepreneurs after a year in the business|author=Courtney Boyd Myers|publisher=The Next Web|date=November 5, 2011|access-date=November 19, 2013}}</ref>
===After launch=== Upon the completion of a Prehype project, the company that has contracted the firm's services is given the choice to internalize or spin out the new product as a stand-alone startup.<ref name=refthree />
==Noteworthy projects== ===BarkBox=== Prehype partnered with Matt Meeker and Carly Strife in September 2011 to develop a new business called BarkBox.<ref name=refnine /><ref name=refsix>{{Citation|url=http://digiday.com/brands/building-the-brand-barkbox/|title=Building the Brand: BarkBox|author=Saya Weissman|publisher=Digiday|date=August 13, 2012|access-date=November 19, 2013}}</ref> The Prehype incubated business is a subscription service that delivers monthly boxes of dog products to pet owners.<ref name=refnine /> With a model similar to Birchbox, BarkBox collaborates with local vendors to provide products like treats, accessories, and gadgets.<ref name=refnine /><ref name=reften>{{Citation|url=http://www.fastcompany.com/3021392/whos-next/are-you-a-dog-owner-or-a-dog-parent-this-ceo-wants-to-know|title=ARE YOU A DOG OWNER OR A DOG PARENT? THIS CEO WANTS TO KNOW|author=Stacy Jones|work=Fast Company |date=November 11, 2013|access-date=November 19, 2013}}</ref>
==References== {{reflist}}
Category:Venture capital firms of the United States Category:Financial services companies established in 2010 Category:2010 establishments in New York City