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Being nominally a billion dollar VC backed company isn’t success until you’ve got a 7 figure exit, it’s just a number someone made up. So sure, you can have a
by Retric 3y ago
Being nominally a billion dollar VC backed company isn’t success until you’ve got a 7 figure exit, it’s just a number someone made up.
So sure, you can have a “successful” exist without becoming a unicorn, but that doesn’t mean the odds end up very good or you wouldn’t have been better off financially working for Google.
- mattmaroon 3y agoSurely someone must have the statistic on how many YC companies had an exit/are still running, right? I bet it beats the industry average by a long shot.
- themanmaran 3y agoIt varies by cohort and age of companies. But the 10 year average is: - 58% alive - 8% acquired - 34% dead
- hcks 3y agoPretty sure 7 figures would be a massive failure in that case
- Retric 3y agoFounder’s don’t keep a high percentage of the company through multiple rounds of funding, employee stock options and YC prefers multiple founders. Zuckerberg had 28% of Facebook at IPO but the other 4 founders had far less of a stake. Sub 10% of 1 billion is 7 figures.
- fairity 3y ago> Sub 10% of 1 billion is 7 figures 8 figures, not 7
- deleted 3y ago[deleted]
- Retric 3y agoI meant sub 10% of 28%, which is what the other FB founders got but you’re right that could be low 8 figures even after taxes. Except you also take a pay cut for several of those years so your benefit from a billion dollar IPO over non startup really can be 6 figures if you’re not the CEO.
- Retric 3y ago* can be 7 figures if you’re not the CEO. Though obviously if the unicorn is worth 20B things look vastly better even with a 2% stake.