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Maybe I'm missing something, but isn't one of the reasons to join YC is to find ways to get funding? Even in the Standford videos, there's a lot of focus on the
by sreyaNotfilc 9y ago
Maybe I'm missing something, but isn't one of the reasons to join YC is to find ways to get funding? Even in the Standford videos, there's a lot of focus on the topic of raising money.
I think Sam's point (or concern) is with the so-called "Startup-Culture". There's a big focus on...
-1 Presenting a basic idea
-2 Get into Y-Combinator
-3 ???
-4 Profit
Or, I think that's how startups are interpreting what being an entrepreneur is all about.
I think Sam's point is that the product shouldn't be a placebo that happens to raise money. Or, to better say it, you are not here to be good at fundraising. You are here to be good at making a product that will (wait for it) change the world.
I think the success of those so-called unicorns (Dropbox, AirBnb, Twitch, etc.) had caused this problem. There are a lot of investors that are willing to spend away hoping for something to stick and to become profitable. On the other hand, there are a lot of startups who's soul purpose is to be good at selling a 'not fully realized' idea, raise a ton of money, and then cash out. Oh, and have 'fun' while doing it. Why? because it works!
It reminds me of the Hubspot videos with Daniel Lyons.
https://www.youtube.com/watch?v=RVSLLvHceSA https://www.youtube.com/watch?v=RVSLLvHceSA
Now, if someone was banging on my door desperate to give me a crazy amount of money with almost no strings attached to but into my 'shell of a product' I may consider taking the offer. But doing so may benefit me, but could cause harm to those who really have a great world-changing idea.