On the eery predictability of YC startup valuations

  1. It’s a mega hits driven business. The top 10 YC companies drive about 75% of the value of the entire YC portfolio of 2000+ startups
  2. Top 5% YC startups create massive value. The average valuation of the top 100 YC startups today is about $1.5B², and if we assume an average seed stage valuation for these companies of $7–8M, that’s a 200x difference.
  3. Silicon Valley dominates. 9 of the top 10 (and 18 of the top 20) startups are based in the San Francisco Bay Area.

--

--

--

Techie and investor. Founder at Rebel Fund and previously Pioneer Fund. Chairman of Infosurv/Intengo and CrowdMed (YC W13). Former Bain consultant. Data nerd.

Love podcasts or audiobooks? Learn on the go with our new app.

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Jared Heyman

Jared Heyman

Techie and investor. Founder at Rebel Fund and previously Pioneer Fund. Chairman of Infosurv/Intengo and CrowdMed (YC W13). Former Bain consultant. Data nerd.

More from Medium

On the rapid internationalization of Y Combinator startups

Text analysis to figure out how to Pitch a Startup to Investors

Dealing with uncertainty and figuring things out — Ayo’s journey as a founder

I Am Building a Unicorn: Open Letter to VCs from Underrepresented Founders