Here is a really interesting post I found today about what this author calls the so called ‘death’ of the Y-Combinator model. For those of you that do not know what Y-combinator is, it’s a start up incubator that basically takes good ideas with strong passionate teams, gives them a bit of money to build a prototype so they can then go out and raise a real round. However, this author thinks that this model is no longer valid and gives some rather … interesting suggestions. Read more at the link below
Sadly, and I truly mean that, I believe that the Y Combinator model is dead. The idea that you can put something out there on the cheap, get traction and then raise a quick “real” round no longer seems to be valid. While there will always be exceptions to this rule, from what I can see the market for these companies to the VC’s is mostly dead.