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sevazhidkov | 3 years ago

The problem with these monetary estimates is that they involve current valuations, which are probabilistically based on future outcomes, not enterprise value.

PG once formalized YC value prop as average outcome multiplier [1]. Whatever the current valuation, would YC improve your expected outcome over lifetime of the company on 7.5%? If yes, then you should do it.

[1] http://www.paulgraham.com/equity.html?viewfullsite=1

discuss

order

swyx|3 years ago

interesting framing. (and awfully convenient for yc/pg, haha, but fine)

this feels like a second order analogue to the "ideas vs execution" debate - we know that idea is worth ~0, execution worth ~100 - but the harder question is - what is YC-fueled 3 months (where lets say you spend max 24 hours with YC partners/peers/events) + say 1-2 years worth of residual relevant connections worth vs a ~10 year hard grind on your own?

not gonna get the answer here but was fun to contemplate :)

wawjgreen|3 years ago

to swyx: wow, i like the way you approach problems--and how you see things. Do you recommend any good books on critical thinking?