Almost everyone is familiar with Silicon Valley, a region of the San Francisco Bay area popular for cutting edge technology and innovation. But not everyone is familiar with the massive seed accelerator Y Combinator, responsible for funding many tech start-ups in the area.
Established in March 2005 by four tech enthusiasts, Y Combinator has funded over two thousand start-ups. Today, Y Combinator is a thriving community with over four thousand followers. The combined value of all Y Combinator’s start-up companies nets a whopping value over $100 billion.
Seed funding, sometimes known as seed capital, is when an investor loans money to a company in exchange for an agreed percentage of that company (equity stake). Seed funding is used to describe money given for the earliest stages of product development.
Overtime, Y Combinator has expanded to offer a lot more than just money. Y Combinator offers services to help collaborate with entrepreneurs. The ultimate goal is to link these entrepreneurs with larger investors and on some occasions, acquirers. Y Combinators philosophy is to focus the creators time and talents on product development.
Once developed, these investments can create jobs. Popular seed funded start-ups include Airbnb or Dropbox.
Kevin has been contributing to multiple news websites since 2015. He started his blog back in 2016 tackling technology and business tips. His passion towards journalism and sharing relevant information with global readers pushed his to take journalism major at Boston University. He is now a full-time contributor to Kev’s Best.