Private capital investment company Sunstone Management and its nonprofit arm have announced an extension of the partnership behind Long Beach Accelerator, a program that aims to foster new tech startups in the city.

The partnership first began in 2020, which ultimately saw the Sunstone Community Fund investing millions of dollars in startup businesses that participated in the accelerator program, which provides education and coaching to the new companies.

“The incredible team behind the Long Beach Accelerator have been crucial partners to Sunstone Management,” Sunstone CEO and managing partner John Keisler said in a statement. “Over the next few years, we look forward to continuing to work together to accomplish our mutual mission of bringing diverse startups to Long Beach to create a thriving economic ecosystem.”

The original agreement ran through 2022, and the extension will now allow it to continue through 2027. The renewed agreement was signed on Feb. 2, less than two weeks after both groups joined the city and several other organizations in pledging to grow 100 startups in the city over the next five years. Dubbed “Launch Beach,” the initiative includes city departments and will see $25 million pumped into local startups.

The accelerator program hosts two cohorts per year, with startup founders receiving educational, networking and mentorship opportunities. Upon acceptance into the accelerator, each startup will now receive a $150,000 investment from Sunstone, up from $100,000 for previous cohorts.

Since the start of the partnership, Sunstone has invested about $4 million and $5 million into Long Beach Accelerator cohort companies.

Each company has the opportunity to participate in “Demo Day” to pitch its concept to investors. Since 2021, the program has graduated 29 companies that have earned over $4 million in revenue, according to Sunstone.

“The past two years have been an excellent collaboration, showing us what’s possible in building a next-generation, highly valuable P3 tech accelerator in the city of Long Beach,” Andrea White-Kjoss, managing director of the accelerator, said in a statement. “The extension of this relationship creates the environment to build on those early successes and make Long Beach a global tech startup hub by 2030.”

City, business leaders pledge to grow 100 startups in Long Beach over next 5 years