Agree with everything said here. The "being poor will make them work harder" might apply to other groups of people but the YC company founders are already work

Agree with everything said here. The "being poor will make them work harder" might apply to other groups of people but the YC company founders are already working as hard as possible -- they are motivated to succeed and do their best. With 3 founders this $150k is now enough for them to go through their cycle and go "ramen" level for another 6-12 months depending on the costs beyond food/rent of their idea. Assume they need to start raising money 3-6 months before being out of cash and this gives them a good amount of time to do 100% product work then work with folks on funding without the pressure of "having to get the round done in a week or we can't make rent". With the ability to move the funding along at a reasonable pace some of the members can focus on still building product while one person leads the effort as well.