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> A company like Y Combinator can literally fund hundreds of startups and as long as at least one has a significant payday at the end Y Combinator still comes o
by geoka9 15y ago
> A company like Y Combinator can literally fund hundreds of startups and as long as at least one has a significant payday at the end Y Combinator still comes out on top.
I understand that Y Combinator only does token investment in terms of money, and gets a good share of the startup in exchange for its brand and the experience and connections of its founders within the VC world. Since the actual money outlay is low, it can afford to fund hundreds of startups.
I doubt that's something that the average "wealthy person" can do.
- rdl 15y agoI used to think I would want to be an angel investor at some point, but being an LP at YC (and maybe at a later stage VC, and get shares in great long term companies directly or via BRK.A, would really meet my goals.
- pclark 15y agoI think it is really hard to become a limited partner in good VCs, unless you are godlike in some domain (which I guess you especially would be when you eventually exit) or were a founder of one of their successful companies.
- rdl 15y agoYeah; this is assuming a large, successful exit, then reinvesting some of your exit into your investors as an LP. Otherwise you'd be a crappy angel investor anyway.