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Funds need a 10x return from one company to cover the entire fund. Is that a philosophy YC subscribes to, and if so, how long until it becomes evident which (if
by atroyn 12y ago
Funds need a 10x return from one company to cover the entire fund. Is that a philosophy YC subscribes to, and if so, how long until it becomes evident which (if any) company in a given class will be the 10x ?
- sama 12y ago10x returns don't help us much. Our entire model is driven by occasional 10,000x returns. It usually takes about 2 years to have a good sense for who is on a trajectory to maybe get there, and then about 10 years to see if they actually do.
- atroyn 12y agoHow long until 'definitely not' ?
- matheweis 12y agoAny recommendations for getting funding for growing projects with proven/consistent revenue streams that do have those smaller returns? Seems there should be groups interested in lower risk/lower return models, but they don't seem to exist.
- elmar 12y agoA nice article on the 10,000x return Startup https://news.ycombinator.com/item?id=9241288 https://news.ycombinator.com/item?id=9241288