Ask HN: What is Y Combinator return
I am curious what is Ycombinator IRR since inception? I know the total valuation of Ycombinator startups is about 10bln.
1 comments
You'll never get an answer for IRR because a) data provides a competitive advantage and b) most investments in startup companies have not been realized, which are needed to calculate actual IRR.
well, I am curious about the total return, at current valuations, realized or not. I figured something like this, 10 bln * 1% ownership after dilution should be = 100 mln. If they invested 100k each into 700 companiesm, they have invested 70 mln. So, it's roughly inline with a small technology stock ETF. Good return, but not fantastic, relative to the market. Or am I wrong ?
the total valuation of the YC portfolio is way higher. Dropbox alone raised money at at $10 billion valuation back in January of this year. Then you have some others like AirBnB, Stripe, Teespring etc.. They might be close to $20 billion now.
Having said that, it would indeed be very hard to measure the return because of aforementioned reasons.
Having said that, it would indeed be very hard to measure the return because of aforementioned reasons.