How to Apply and Succeed at Y Combinator

Executive Summary:

  • Applying to Y Combinator helps founders organize their thinking and creates "luck" by increasing chances of good things happening, even if not accepted.
  • Dalton Caldwell debunks common excuses for not applying, noting that YC funds companies at all stages and provides access to valuable resources beyond just the program.
  • Dalton Caldwell advises filling out the application thoroughly, being authentic during the interview process, and addressing feedback to improve odds of acceptance in future applications.

Meeting Notes:

Why Apply to Y Combinator

  • Going through the YC application process helps founders organize and clarify their thinking about their startup
  • The downside of not getting in is small (only a tiny bit of time spent on the application), but the upside potential is huge (getting into YC program)
  • Applying itself creates "luck" by putting yourself out there and increasing chances of good things happening

Debunking Common Excuses Not to Apply

  • "I'm too early"
    • Many great YC companies have pivoted after getting in, so there's no such thing as "too early"
    • Some founders haven't quit their job or written code yet when accepted
  • "I'm too far along"
    • YC funds companies at all stages, even those with existing funding (e.g. $1M+) or significant annual recurring revenue (e.g. $500K+)
    • Unless you have product-market fit, you're likely not too far along for YC's help
  • Watching YC videos ≠ being in YC program
    • Being in YC provides real-time access to YC partners, proprietary tools/data, and insights never shared publicly

Discouragement from Others

  • Challenge naysayers by asking if they are willing to invest themselves
  • Ask if they are discouraging you from pursuing a major opportunity like YC for theoretical reasons
  • Some may discourage global ambition, ask if they want you to dream smaller

Applying to Y Combinator

  • Just apply on the YC website, no need to ask permission
  • Fill out application thoroughly, paying attention to details like grammar and instructions
  • Create a founder video adhering to provided guidelines

How Applications are Evaluated

  • Key questions: Who are the founders? What is the startup idea? Is there evidence of customer demand and founder seriousness?
  • Importance of clearly communicating your startup so reader can understand and tell a coherent story
  • Avoid exaggerations or misrepresentations about revenue, traction, founder background etc.
  • Ability to tell a compelling narrative about the startup from the application is crucial

Improving Your Odds

  • Having technical talent on founding team is key
  • YC rewards good faith efforts, don't try to game the system
  • No need for warm intros or networking, YC optimized for funding strangers through online application

The Interview Process

  • 10-minute Zoom call with YC partners who will have your application open
  • Expect basic, straightforward questions to understand your startup (no trick questions)
  • Be authentic, listen to questions, don't recite memorized speeches or mislead
  • Demonstrate mastery of your business, be credible, self-aware yet confident

Feedback and Re-Applying

  • YC provides feedback after interviews, focus on addressing it
  • Internalizing and addressing feedback in future applications is heavily weighted
  • Shows ability to learn and improve which YC values highly