The issue with scalability is the same problem many corporations faced 50 years ago. This was before Ray Kroc turned McDonalds into a "turn-key" operation. This model provides the franchisee licensed trademark along with tried and proven methods of doing that particular business; which, in our case, involves establishing mini-YC companies to fund startups.

For scalability, YC will need to experiment with establishing several offices around the country and then provide guidance, connections, and resources from the central office to all the smaller branches. The essence of turn-key operations is to work on building a business rather than the product.

I don't claim to know much about this. So if anyone is interested, they should check out "The E-Myth Revisited".