I don't think I'll be applying. Looking through my comments, I see at least 2 instances where pg has answered quite irritated towards me. The rest of my comments are me attacking other potential founders on their poor implementations. I'D not pick ME if I was on the team.
Anyways, let me give a few areas for potential applicants:
1. Organize bookmark tags right. Del.icio.us is nice and all, but things tend to get disorganised
2. iPhone app for public transportation
3. Firefox/IE plugin that makes financial information from bank websites accessible in a global unified format. By financial info, I mean payin/payout history.
4. Debt pay-off site - site that organises the credits of people into a manageable format and tells them what to set aside to get it done with. Include retirement fund as a side option
6. Collaborative website for writing episodes for TV-Shows. Will take fan fiction to the next level. Scriptwriters will like the feedback, and obsessive fans will pay to be part of the inner circle
7. Religious books discussion site. Mix up the religions and abstract the discussion
8. And of course, the favorite of a snappy gentleman like myself - Let people upload pictures of themselves and dress them up in latest purchasable fashion. Find alternatives to expensive designer clothes.
As they say, ideas are cheap. Each has potential if implemented the right way.
I won't be applying, but good luck to all those who will be!
I hope my question gets answered here. In our case we're already incorporated and the product (not a prototype) is going through the final stages of beta testing. We are not very interested in money at this point (certainly not in $20k) but we are interested in good business contacts and very open to suggestions and advice from more experienced folks.
I wonder if this makes any sense for us to submit an application, since there are not 20, we're incorporated, we're not living in a dorm, we don't need $20k and we already have the product. The only thing we'd be interested in is well... good contacts (we're not in Bay Area) and business dev. consulting.
At this point half (maybe more) of the startups we fund don't need the money. And in fact the money is a pretty small part of what YC does. It works more like financial aid at a college: it ensures that the people who do need money can at least cover their living expenses while YC is happening.
It sounds like your situation is like Virtualmin's (including even being from Texas). They were in the last winter cycle. You should drop them a line; there's probably an email link at virtualmin.com.
We definitely didn't care much about the $15k (in our two-founder case), though it did nicely offset the cost of my move (I sold my 350Z at a rather unfortunate price, and found myself spending more than twice as much on rent as I was paying on a mortgage in Austin). And we're not college kids (we're 32 and 33). We were already selling product when we applied.
We viewed it primarily as a really good set of introductions, a good learning experience, and the chance to bounce our product off of the folks who would in the end be the primary users. Our actual buyers are hosting providers, but they buy what their customers want, and everybody in YC is a hosting provider customer, and probably a thought leader in some area of development.
We don't begrudge the 5% stake that YC holds, at all, and I think we've already gotten our equities worth from the deal, and we continue to take advantage of their advice. If it hasn't already been made clear by the above bits and other stuff I've posted on YC News, anybody that goes through YC has a really really good chance of getting funding, if they want it. Nobody who aggressively sought funding has failed to raise it...some folks figured out during the program that what they had was not fundable and so didn't go after more money. Others (like us) are biding our time a bit, as we sign on bigger customers and get ourselves into a really solid bargaining position before seriously approaching anyone. We have lunch with them when they call us (and they do call), but we're not asking for money yet. We'd probably take angel money at this stage, but the VCs zeroed in on us as the only enterprise business in the bunch, so that's who we hear from. ;-)
If nothing else, moving to the valley was probably the best thing we could have done (Austin Ventures is great and all, and they do a lot of deals...but there's just the one of them, versus hundreds of funding sources in the valley...if there's any chance you'll need money, the odds of getting it are vastly higher here), and YC forced me to make that move (my co-founder was already in Santa Clara).
Oh, yeah, we were already a Texas corporation, as well. We dissolved the TX business, and started fresh in Delaware. The structure that YC did for us was a lot nicer anyway. There's a lot of stuff that lawyers in Texas (at least the lawyer I talked to) don't even think about that can be problems later on when funding comes or when options are issued.
In a few places I've seen PG mention that it is preferred that you are not already incorporated, but never that it is a requirement that you are not. The reason for the preference being that the custom legal work costs more for a group already incorporated.
Curious where you guys are in TX... Can you pls shoot me an email off-list? (email in my profile).
I may be remembering all this completely wrong, but I seem to recall yc offering a couple of alternatives to the usual application process - that you could apply with no idea, or you could apply with no co-founders and yc would hook you up as an early employee of a yc-funded startup.
Am I right about those offers, and are you still making them?
This is just our experience interviewing last season. We applied with two ideas, both with prototypes. The discussion was pretty much exclusively about the idea - how new it is, how easy it is, how interesting it is, whether or not it's porn/music related (either category is probably not a good idea btw).
We had a good response to both our prototypes, but ultimately we were told our idea didn't seem different enough. The impression I got from our interview was that the idea is actually pretty important.
It kind of makes sense, since you're competing against other amazing hackers with good ideas. It doesn't matter as much if you're good -they all were-, you really do need a great idea to go with your team.
Just because they spent the whole time asking you about your idea doesn't neccessarily mean they were mostly interested in your idea...getting someone to talk about their prototype is probably a much better way to guage who they are and how they think than asking "Who are you?, and how do you think?"
Of course I wasn't there, so I don't really know what happened.
What are our chances ? We are catering to a business software category and not a web solution. We are developing a product that will solve business problems and is not for general public.
- JS
How advanced do prototypes have to be? For example, did loopt have a prototype? If not, how did they demonstrate their ability in embedded systems programming? If they did, did they bring in a hacked up cell phone?
The more the better, obviously, but you don't have to build anything. We would have funded Loopt after nothing more than talking to Sam about his plans.
I don't remember exactly how far they were along then. I think they may have had a simple app running on phones, but with simulated location info.
I've recently come across an interesting situation and would like to know how it would effect my company's chance at being accepted by YC.
An investor I knew in a prior experience has expressed an interest in investing in my new endeavor. The application FAQ lists an understandable preference to avoid funding a company that has already incorporated.
The amount the investor suggested is sizable (enough to sustain operations for at least 3 years even after hiring some very much needed staff/co-founders), and since the idea is substantial the money is very appealing.
But, though the investor is an engineer, he has no affiliation with the tech industry at large, so I'm afraid that I would be missing a great deal of support by taking this money.
I don't know exactly what your situation is, but if he is not someone you owe something to, the optimal solution would be to apply to YC first. If you're accepted, you can invite this would-be investor to Demo Day, where he can compete with all the other investors to fund you; if not, he's plan B.
Note that this assumes that you're not indebted to the guy in any way-- that he is simply a source of money.
BTW, 3 years is a lot of money. It suggests to me that you're either raising too much or (more likely) underestimating your expenses.
Did Winter applications start this early last year?
PG: Given the deadline is still a long ways off, is there a preference for groups to apply early and update the application and demo along the way, or to wait until the end to apply when things are solid? Just curious..
Lately we've had a lot of people emailing us asking how to apply, so we got the w2008 application form up. Really there's no reason not to switch to the next cycle as soon as we pick the startups for the previous one.
One the whole it's probably better to update the application incrementally. You'll get more attention that way; we may even suggest ideas; and we're not likely to have time to do that if you apply the day before the deadline.
One the whole it's probably better to update the application incrementally. You'll get more attention that way; we may even suggest ideas...
This statement sounds like the YC team reads unsubmitted applications. Have I misread? Anyone have hints on how to maximize the chance of getting comments back? :)
I was assuming by "apply" jsjenkins meant submit the application, since you can resubmit as often as you want. Since we read applications online, we see the most recently submitted version of any application we look at.
With 50+ teams now funded I wonder how much potential competition with existing YC companies will play a factor in acceptance. Especially given that it's likely many YC companies will not have launched by the app deadline.
I suppose it's bound to happen eventually, but so far there haven't been any collisions. The odds are lower than you might think, because both groups would have to be working on the same thing and good.
They're made to look bad by how easy it is to apply. If you make a website offering people money if they fill out a form, a lot of people will fill it out. But the odds for a good team are not as bad as they might seem. At least a third of the applications are egregiously broken: 13 year old founders, people who want to "telecommute" from India, people who want us to fund their plumbing supply store, etc...
Thanks for that clarification - the odds are getting a bit better :) . I'm curious: how many teams were interviewed in person to arrive at the final 20?
People might ask you first if its ok to "telecommute" from India, before applying.
I was not aware "asking" that may put them into "egregiously broken" category :)
I'm still not aware of that. Ask away. This is a far more convenient place to ask stupid questions than, say, Startup School. (That's what I did. At the first startup school, I asked almost every founder I could get my hands on: "So, what would you do if you didn't have a co-founder?").
If they get your application, and it says "I am from India and can't leave", then by their own rules that's broken, but there's no penalty for asking stupid questions.
How you react, as you come to realize that the question you are asking is a stupid one, probably says something relevant about a startup founder.
Asking to telecommute is not the problem. Applying to YC and stating that you will not move to the YC location and just telecommute from India would be the problem. You can ask if you can telecommute, but the answer will be "no" if it's the whole team that will be telecommuting.
A startup is going to compete for the attention of users against many thousands of other companies. Competing against a few hundred, most of which are probably hopeless, doesn't seem that scary to me.
If the number of applications is higher, we'll probably accept more. It's not certain there will be more applications, though. There are usually fewer for the winter.
I assume, that YC prints out a stack of these applications and grades them on paper. Have the printouts ever looked like crap because of some weird browser thing? If so, is there any chance we could see how the application looks when it's printed?
We once funded a company that didn't move. It didn't work very well. A startup would have to be really good to convince us. And if we did agree it would hurt them, relative to what they might have done if they'd moved.
I honestly don't know. We wouldn't want to do anything that would get someone kicked out of the country. I know some visa problems can be fixed with varying amounts of hassle and money, whereas others are truly hard, and I don't know which category this falls into.
it does for my potential co-founder. He's been working here for over 6 years with no GC. apparently you can't renew your H1B after X years, only stay with the same company.
Have you consulted a lawyer about this? Sometimes it can be quite surprising to see the solutions lawyers can cook up (with the appropriate fees of course).
PG: Do you prefer teams to submit not quite complete forms and then incrementally add info as time goes by, or do you prefer a complete application submitted and then minor updates as time goes by?
If we have a formula, no one told us. The current group of founders range from 19 to 35, average 25. Their ambitions range from selling for a couple million to going public. Some are very unworldly hackers; others are business guys who don't know how to program. Their projects range from frivolous social networks to deep infrastructure.
I was about to say that all they have in common is that they all work really hard, but even that isn't universal. There are some slackers in each group.
if we are not even given any feedback as to why our applications were rejected, then it seems peremptory and a complete waste of time. Surely, they could have copy-pasted even one summary line from their evaluation sheets? It is a simple courtesy.
It would not seem courteous, believe me. Some fraction of the people who apply to YC are nuts. If you have a web site where you offer money to people who fill out an application form, nuts apply. Are we supposed to tell them they're nuts?
I often do not live up to it, but this is important:
The good news about Jesus can transform your life. Jesus died for our sins and rose again from the dead. If you become his follower, you will have salvation (moksha).
For a startup looking to attract co-founders I'm don't think this is very judicious. I'm not saying don't be religious just leave out any mention of it on company sites, that's what personal blogs are for.
1. No clear use for the product. (Please don't just tell me it's revolutionary and therefore unexplainable)
2. The interface is clumsy and I don't know what I'm supposed to do with it. (See Also: #1)
3. I don't understand what the deal is with the examples. Why do I want to watch a BBC broadcast with a tree-like timeline? Is the purpose of Juwo to annotate videos? (See Also: #1)
4. Why/when do people want to create a tree structure and attach text/videos/sounds to the tree nodes? This is all that Juwo seems to do. The use cases you list on your website are not compelling. While the use cases listed may be actual problems to be solved, a swiss army knife tree structure isn't the solution. (See Also: #1)
I'm sorry if the above list is harsh, but my personal opinion is that Juwo does not have any clear vision behind it, or is of very limited utility (e.g. only useful for you). I don't think it's worth working on further. Try something else.
It's easy at this point to appeal to the few exceptions that made it big even though it seemed like nobody wanted them at first. But note that these guys are the exceptions, most of the time the advice that the product sucks is probably accurate. Even if you were going to say "I don't care, I want to try it and see where it goes" -- well, it looks like you already have tried it for a few years, and it isn't going anywhere.
Again, no offense, but it's in your best interest to save the time/money/effort and move on to a new project. There's a reason you aren't getting users nor investors.
"we could not understand your idea. please get feedback as to its feasibility from your local university, or someone with experience in the software industry"
yc's already given you something better than what you'd get out of a canned one-sentence response: a fantastic resource in which anyone can put up their site and get a lot of feedback, for free, from a lot of smart people. 100% of the "hey news.yc check out my site" posts i've seen, including yours, have gotten useful, actionable feedback and have consequently improved.
Agreed, something like "think more about tech question", or "think harder about innovative idea" would have taken 10 seconds, but have been significantly more valuable to an applicant - and yes, it is courteous to do favors for someone when the effort you put into it is so dwarfed by the benefit they receive.
I've heard that the most common situation where managers have a heart attack is when they have to fire somebody. Saying "No" is stressful, and thinking about doing it courteously is not easy. I know it takes me more than 10 seconds to think about a way to say such things nicely.
And I think being too specific could make matters worse. Think about dating. "You are a nice person, but I don't really like your nose" - helpful? I think not, and the next person might be just fine with your nose. I think the generic letter YC sent (I got one, too) is a good solution. And I could imagine that if you would ask them, they might be willing to give you more specific information.
As someone who has interviewed and hired quite a few people I disagree. I don't owe a rejected candidate anything. We both knew the arrangement ahead of time and both agreed it was worthwhile. We gave each other an opportunity and both contributed time to the process. We're even.
I don't think this kind of entitlement-thinking will serve you very well. I recommend ditching it.
Not in the sense of owing him an explanation, but in the decent sense of giving him feedback so he can improve.
After all, the candidate took time and trouble - it is a kindness.
An application to YC is unlike an interview; with an interview you usually know what your weakness was, or what the interviewer's hangup was.
If you consider this to be "entitlement-thinking", then does not your thinking seem arrogant?
Actually, your thinking is a sign of weakness.
When the candidate is stronger than you, or your decision was flippant, then you dont want to run the risk of being proven wrong or bested.
So you choose the easy way out.
A rejected YC application is much more like a trivially rejected resume than a rejected candidate who interviewed. Do you think employers have a responsibility to respond to every single resume that they get in the mail with detailed descriptions of where they can improve?
Your complaints sound more like you are sour about being turned down than anything else.
No, it is not.
It is actually more like a Department of Defense, Small Business Innovative Research (SBIR) proposal.
Even if you are rejected, you can request feedback on your proposal - and actually, no less than in a meeting.
Whenever I have given a demo or presentation to an angel investor or potential partner; even when it is a 'No', I have gotten some kind of feedback.
It gave me a better understanding of the weaknesses in juwo.
This is more than blindly emailing your executive summary to the VCs - you are not entitled to a reply.
When there is investment in time, effort and hopes, one does expect some kind of feedback.
It is not an application for an award, nor is it an application for employment. Even applying for a University, one has an idea of the cutoff marks and GRE scores.
The YC application is an evaluation of your small business team, and idea.
I would actually like to give feedback, out of friendliness and not because it's owed. Unfortunately, people with your attitude ruin it for the people that actually could handle it in a mature way.
"I don't owe a rejected candidate anything ... I don't think this kind of entitlement-thinking will serve you very well."
I'm not saying you are morally obliged to, I'm saying it's the nice thing to do. For me personally, being nice is part of being courteous, which is why I used the more general word before.
want to report a minor bug in the application form
when typing the symbol ' (as in pg's) and then pressing update, a bunch of letter looking like "ÃÂ" appear in front of the symbol ' in the updated version.
It's not just the application form. If you type utf-8 encoded chars into any form, you get crap out. We're actually trying to debug this right now. For the time being use plain ascii.
(That thing that looked like ' wasn't. It was probably something you copied and pasted, e.g. from MS Word.)
Here's a solution that covers a bunch of charset bases if you want to move to UTF-8:
1) Add accept_charset="UTF-8" to your form tag.
2) Add the hidden variable _charset_ with no value.
3) Add <meta http-equiv="content-type" content="text/html; charset=UTF-8"> right after the head tag in the html.
4) Make sure apache is serving the file in UTF-8 by default, which is usually by accomplished by adding AddDefaultCharset UTF-8 to the relevant virtual host configuration.
Some of this stuff is redundant, but doing the above will usually ensure the page and form view and submit in UTF-8. To be extra sure, you can double check the value of the _charset_ variable that gets passed.
If you are using postgres and/or perl, I can give more details on what to do there as well.
I'm not using Apache. I wrote the http server in Arc. Actually I think I know where the bug is: in my urldecode fn. Fix coming soon I hope. But not today: I have to cook dinner for the startups.
Anyways, let me give a few areas for potential applicants:
1. Organize bookmark tags right. Del.icio.us is nice and all, but things tend to get disorganised
2. iPhone app for public transportation
3. Firefox/IE plugin that makes financial information from bank websites accessible in a global unified format. By financial info, I mean payin/payout history.
4. Debt pay-off site - site that organises the credits of people into a manageable format and tells them what to set aside to get it done with. Include retirement fund as a side option
6. Collaborative website for writing episodes for TV-Shows. Will take fan fiction to the next level. Scriptwriters will like the feedback, and obsessive fans will pay to be part of the inner circle
7. Religious books discussion site. Mix up the religions and abstract the discussion
8. And of course, the favorite of a snappy gentleman like myself - Let people upload pictures of themselves and dress them up in latest purchasable fashion. Find alternatives to expensive designer clothes.
As they say, ideas are cheap. Each has potential if implemented the right way.
I won't be applying, but good luck to all those who will be!