3 ms·
We won’t compete for traditional Series A deals because it would damage our core program to do so. It would be self-defeating to try to “vertically integrate”
by arowghani 9y ago
We won’t compete for traditional Series A deals because it would damage our core program to do so. It would be self-defeating to try to “vertically integrate” and disrupt the vibrant investor ecosystem that we have cultivated around Demo Day. Not to mention the fact that founders would hate us for denying them the ability to choose their own investors if, as you write, we made Demo Day “disappear” in order to compel founders take more money from us.
- jacquesm 9y agoOk, but you could do a better job than traditional VCs, just like what you did with the original program. So: better alignment of interest between founders and capital providers, better terms and so on. Just like right now YC does not have exclusivity in the early stage, it could be a viable alternative, and if that viable alternative has better terms and other intangibles it could easily work out as a win-win for both founders and YC. Demo day would then shift down the road to series B and later. Anyway, that is just speculation. Thank you for taking the time to answer me.
- arowghani 9y agoMy pleasure!