Geographic Potential Score Explained

What Is the Geographic Potential Score?

The Geographic Potential Score reflects the potential advantages a company’s location brings within the wider venture market. By analyzing factors such as local resources, funding opportunities, and the surrounding startup ecosystem, this score helps illustrate how a startup’s geographic position can support its growth and success.

What Is the Average Geographic Potential Score?

The average Geographic Potential Score sits at around 650. This figure generally suggests that the startup’s location offers typical, or “average,” opportunities in the venture space. It could also mean that there’s currently limited location data for that company.

What Is the Range of the Geographic Potential Score?

Ranging from 350 to 900, the Geographic Potential Score aims for a thorough assessment of location-based potential. While this broad range captures many factors at play, scores often land in a tighter bracket—similar to the overall Hatcher Score—to ensure realistic, actionable insights.

How Is the Geographic Potential Score Calculated?

To generate the Geographic Potential Score, Hatcher uses sophisticated machine learning models powered by publicly available and licensed data. These models look for indicators such as:

• Access to local resources
• Funding opportunities
• Presence of other successful ventures
• Strength of the regional startup ecosystem

The end result is a clear, data-backed snapshot of how a startup’s geographic position might boost (or limit) its growth potential. The scoring system employs best-practice regression and categorization methods to forecast a company’s potential performance relative to its peers.

How Should I Use the Geographic Potential Score as an Investor?

Investors can treat the Geographic Potential Score as a valuable compass for spotting promising ventures. It’s not meant to be an absolute “yes” or “no,” but rather a way to highlight the strengths and potential advantages tied to a startup’s location. Combined with other details—like the overall Hatcher Score, personal investment strategy, and market insights—it can help guide more informed, strategic decision-making in the often complex world of startup investments.

What other proprietary analytics does Hatcher+Score provide?

The Geographic Potential Score is just one part of Hatcher’s broader suite of data-driven tools. We also offer:

• Other Components of the Hatcher Score (eight in total)
• Valuation Projection

These additional analytics empower both founders and investors by painting a clearer picture of a startup’s growth potential, making it easier to pinpoint the opportunities that best match specific goals and risk profiles.