Those founders would have learn a lot for next businesses in the future. The problem is that they did it with someone else's money. It is a good idea letting p

Those founders would have learn a lot for next businesses in the future. The problem is that they did it with someone else's money. It is a good idea letting people to fail early with the minimal amount of money possible. That was exactly the idea of YCombinator. Experimenting before scaling could be cheap.