4 ms·
I've heard a few times that recent YC companies often find a lot of customers in previous YC companies. I have no idea how true it is, but if it's a substantial
by Zababa 6y ago
I've heard a few times that recent YC companies often find a lot of customers in previous YC companies. I have no idea how true it is, but if it's a substantial effect, increasing batch size could increase this as well.
- patentatt 6y agoIt’s like the banner ad economy of the late 90’s. Every startup making money by selling banner ads to other startups. What could go wrong?
- frakkingcylons 6y agoIndeed and that was mentioned explicitly in the article as a benefit of having larger batches.
- Judgmentality 6y agoThat sounds like a ponzi scheme.
- cheriot 6y agoIt sounds like every B2B company. It's only a Ponzi scheme if YC companies are all B2B and primarily sell to each other.
- ZephyrBlu 6y agoThey're well on their to that. 46% of companies in the last batch were B2B [0]. [0] https://blog.ycombinator.com/w21-batch-stats/ https://blog.ycombinator.com/w21-batch-stats/
- notyourday 6y agoIt is just revenue kiting. Company A enters $20M deal with company B which enter a $19.975M deal with company C which enters a $19.970M deal with company A. Ma, look at our revenue! Lets do another raise! Investors will eat it up!
- ppezaris 6y agoIt depends quite a bit on what type of product or service you are selling. For us, we expected to find customers in our batch, but when we did not we learned a valuable lesson: that it was larger companies that valued our offering more.