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We hate asking portfolio companies to do any extra work for us. They notify all previous investors when they raise more money, so we have that information, but

by sama 12y ago

We hate asking portfolio companies to do any extra work for us. They notify all previous investors when they raise more money, so we have that information, but for jobs and revenue we'd have to ask them to take time to do something that would be helpful for us and not for them. (We may start asking for more company performance stats, since fewer and fewer companies have boards and it's valuable for companies to report this frequently. But that'd be because we thought it was in the best interest of the companies, not YC.)

boomzilla 12y ago
Is the number of employees always one of the first bullet points in board meeting Power Point slide? You could just add them all up.
- nostromo 12y ago
  What board meeting? > fewer and fewer companies have boards
  - boomzilla 12y ago
    Yeah, I saw that, I was thinking most of the bigger companies that have taken extra funding and have multiple employees would have a board. I'd say these would have the lion's share of the employee count.
dutchbrit 12y ago
Hey Sam, thanks for your reply. I understand your point of view, but surely, asking them on a yearly basis for example shouldn't take up that much time. At the end of the day, we're talking about figures that any founder should know out the top of their head (maybe not to the dot but at least a rough estimate). I agree that it should benefit the companies too, don't get me wrong. Ps. Please say hi to Lachy next time you see him! Ps 2. Not sure why this is being downvoted, but whatever!
- SatvikBeri 12y ago
  That's an individual decision, but this is really about a decision-making algorithm. If YC asks founders for revenue numbers in this case, that implicitly endorses the idea of taking up founder time in any other case with higher RoI. That can add up really quickly, and presumably YC doesn't want to set the threshold that low.
  - Diamons 12y ago
    For a cult that asks founders to attend weekly dinners I'm sure they can ask for simple statistics once a year that takes 5 minutes.
dmor 12y ago
Hi Sam, I was able to pull some data on these things via Mattermark. http://mattermark.com/yc-portfolio-stats-mattermark-crunches-the-numbers/ http://mattermark.com/yc-portfolio-stats-mattermark-crunches... 267 companies currently have 2 or more employees 8,164 people are currently employed by a YC company [1] 121 companies have disclosed an exit (no IPOs, all acquisitions so far) 66% of YC companies are based in the Bay Area, followed by New York (7%) and Boston (2%) 76 un-exited companies have raised a venture round of funding (Series A or beyond) There is a nearly 50/50 split between B2B and B2C startups in the portfolio The average Series A stage YC company has 26 employees and has raised $10.2M of funding in its lifetime. [1] The total number is probably much higher, many of these companies do not have LinkedIn pages or employees on LinkedIn, Crunchbase, news, and other sources until they are further along. I think an estimate of 9,000 to 10,000 current jobs created by current YC companies is reasonable.
- drp4929 12y ago
  YC's goal is to help startups take first baby steps and raise money on a larger scale. So most important stat is what % of companies do that. Based on your data it seems (76 + XYZ) out of 716 where XYZ is companies out of 121 exits who raised more money prior to exit. It'd be interesting to know based on cohort (batch) analysis if YC is getting better in achieving its goal or not. It'd also be interesting to know where YC stands on this compared to other comparable accelerators/incubators.
  - akbar501 12y ago
    > YC's goal is to help startups take first baby steps and raise money on a larger scale. I thought YC companies have moved up in maturity over the years. More specifically, I thought current YC batches have more companies that have built product, found early product/market fit and are now ready to grow. While phrased as a statement, the above is more of a question, since I don't know the answer. That said, "and raise money on a larger scale" is still probably spot on and hasn't change much over the years.
  - amirmc 12y ago
    > "YC's goal is to help startups ... raise money on a larger scale." I don't think this is YC's goal. I recall comments from pg to the effect that if all the companies raised money on demo day, then maybe YC wasn't selecting properly (for the risky, out-there, stuff).
larrys 12y ago
"we'd have to ask them to take time to do something that would be helpful for us and not for them." I see it as what is good for you is good for them. Knowing jobs allows you to influence policy because info like that is often used by politicians as a reason for agreeing with a particular position. Also a politician that is impressed with YC (for whatever reason "hey they create jobs") would be more likely to help a YC company (or YC) the same way a politician would take note and help anything that he personally has experience with. So keeping up the YC brand is important. [1] I'm also not clear on exactly (with respect to jobs for example) how much work is involved in supplying that information. (Obv. someone at YC has to keep track of it of course which is work but it certainly seems worthwhile to do.) [1] For example say I am contacted by YC for something that I do. Don't you think because I know who you are I am going to take notice and possibly be a bit more helpful than if I got a call from an incubator that I had never heard of?
bradgessler 12y ago
You could get away with a voluntary Wufoo survey limited to 5- 10 questions. Our company would have time for that (2-3 minutes?)
brandnewlow 12y ago
I was just wondering last night when YC was going to build a free Mint-like money tracking app for portfolio companies that had the secondary effect of reporting back how they were doing financially. That way there'd be no bothersome reporting obligations for founders beyond checking a box to let YC pull reports or get read-only access.
- amirmc 12y ago
  Why should YC have access to this info and not other investors (who've arguably put more money in)? Reporting cycles allow you present more context, whereas real-time feeds would lead to knee-jerk reactions.

by sama 12y ago

boomzilla 12y ago

Is the number of employees always one of the first bullet points in board meeting Power Point slide? You could just add them all up.

nostromo 12y ago
What board meeting? > fewer and fewer companies have boards
- boomzilla 12y ago
  Yeah, I saw that, I was thinking most of the bigger companies that have taken extra funding and have multiple employees would have a board. I'd say these would have the lion's share of the employee count.

dutchbrit 12y ago

Hey Sam, thanks for your reply. I understand your point of view, but surely, asking them on a yearly basis for example shouldn't take up that much time. At the end of the day, we're talking about figures that any founder should know out the top of their head (maybe not to the dot but at least a rough estimate). I agree that it should benefit the companies too, don't get me wrong. Ps. Please say hi to Lachy next time you see him! Ps 2. Not sure why this is being downvoted, but whatever!

SatvikBeri 12y ago
That's an individual decision, but this is really about a decision-making algorithm. If YC asks founders for revenue numbers in this case, that implicitly endorses the idea of taking up founder time in any other case with higher RoI. That can add up really quickly, and presumably YC doesn't want to set the threshold that low.
- Diamons 12y ago
  For a cult that asks founders to attend weekly dinners I'm sure they can ask for simple statistics once a year that takes 5 minutes.

dmor 12y ago

Hi Sam, I was able to pull some data on these things via Mattermark. http://mattermark.com/yc-portfolio-stats-mattermark-crunches-the-numbers/ http://mattermark.com/yc-portfolio-stats-mattermark-crunches... 267 companies currently have 2 or more employees 8,164 people are currently employed by a YC company [1] 121 companies have disclosed an exit (no IPOs, all acquisitions so far) 66% of YC companies are based in the Bay Area, followed by New York (7%) and Boston (2%) 76 un-exited companies have raised a venture round of funding (Series A or beyond) There is a nearly 50/50 split between B2B and B2C startups in the portfolio The average Series A stage YC company has 26 employees and has raised $10.2M of funding in its lifetime. [1] The total number is probably much higher, many of these companies do not have LinkedIn pages or employees on LinkedIn, Crunchbase, news, and other sources until they are further along. I think an estimate of 9,000 to 10,000 current jobs created by current YC companies is reasonable.

drp4929 12y ago
YC's goal is to help startups take first baby steps and raise money on a larger scale. So most important stat is what % of companies do that. Based on your data it seems (76 + XYZ) out of 716 where XYZ is companies out of 121 exits who raised more money prior to exit. It'd be interesting to know based on cohort (batch) analysis if YC is getting better in achieving its goal or not. It'd also be interesting to know where YC stands on this compared to other comparable accelerators/incubators.
- akbar501 12y ago
  > YC's goal is to help startups take first baby steps and raise money on a larger scale. I thought YC companies have moved up in maturity over the years. More specifically, I thought current YC batches have more companies that have built product, found early product/market fit and are now ready to grow. While phrased as a statement, the above is more of a question, since I don't know the answer. That said, "and raise money on a larger scale" is still probably spot on and hasn't change much over the years.
- amirmc 12y ago
  > "YC's goal is to help startups ... raise money on a larger scale." I don't think this is YC's goal. I recall comments from pg to the effect that if all the companies raised money on demo day, then maybe YC wasn't selecting properly (for the risky, out-there, stuff).

larrys 12y ago

"we'd have to ask them to take time to do something that would be helpful for us and not for them." I see it as what is good for you is good for them. Knowing jobs allows you to influence policy because info like that is often used by politicians as a reason for agreeing with a particular position. Also a politician that is impressed with YC (for whatever reason "hey they create jobs") would be more likely to help a YC company (or YC) the same way a politician would take note and help anything that he personally has experience with. So keeping up the YC brand is important. [1] I'm also not clear on exactly (with respect to jobs for example) how much work is involved in supplying that information. (Obv. someone at YC has to keep track of it of course which is work but it certainly seems worthwhile to do.) [1] For example say I am contacted by YC for something that I do. Don't you think because I know who you are I am going to take notice and possibly be a bit more helpful than if I got a call from an incubator that I had never heard of?

bradgessler 12y ago

You could get away with a voluntary Wufoo survey limited to 5- 10 questions. Our company would have time for that (2-3 minutes?)

brandnewlow 12y ago

I was just wondering last night when YC was going to build a free Mint-like money tracking app for portfolio companies that had the secondary effect of reporting back how they were doing financially. That way there'd be no bothersome reporting obligations for founders beyond checking a box to let YC pull reports or get read-only access.

amirmc 12y ago
Why should YC have access to this info and not other investors (who've arguably put more money in)? Reporting cycles allow you present more context, whereas real-time feeds would lead to knee-jerk reactions.