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A comment on Where's the love? Very critical slashdot comments on PG and YC newsweek article: "... what an arrogant twat.". Parent comment

Re:Where's the love? Very critical slashdot comments on PG a... by BitGeek on Tuesday May 15, 2007 @04:09PM (#22313)
No, you're missing the point. I wasn't arguing against YC, but against VC money.

YC doesn't have liquidation preferences, and if it did, the multiple of $20k would be so small its not really relevant in this discussion.

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Re:Where's the love? Very critical slashdot comments on PG a... by nostrademons on Tuesday May 15, 2007 @04:34PM (#22333)
Why the "YC says you go to the loan shark and pay %400 for your money" then?
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Re:Where's the love? Very critical slashdot comments on PG a... by BitGeek on Tuesday May 15, 2007 @04:55PM (#22341)
Because those are the terms that VCs offer, and the YC program is organized around getting a VC investment
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Re:Where's the love? Very critical slashdot comments on PG a... by nostrademons on Tuesday May 15, 2007 @06:05PM (#22361)
Firstly, that's not my impression of YC. Reddit took only angel funding before being acquired. Very few of their startups actually seem to take VC: the ones I can think of are Loopt and Scribd. Most use angel capital only. If you actually had paying customers at the end of the 3 months, I doubt YC would object to simple revenue-based growth.

Secondly, what do you propose instead? Most banks will not give bank loans to revenue-less Internet startups, because they have no guarantee of being repaid. Bootstrapping off savings is ideal (it's what I'm doing...), but not every idea is bootstrappable.

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