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Quick one: the application deadline was yesterday. How long does it take for YC to make a decision and send out invitations and "we're sorry" e-mails? (I was told they send them all at once).
I'm signing a shareholder's agreement with another accelerator next week unless I'm invited to YC's meeting and I'd like to be able to give them a date when I'll know for sure (I don't want to be an ass).
I just finished an initial Skype call with two guys from a really nice VC fund (made of people who have created successful startups themselves). They like my startup and are willing to work under this unusual time pressure. My gut tells me that when it comes to non-financial aspects of the relationship, it could be better to go with them.
They asked me to send them a list of expected expenses. I know pretty well how much I'm gonna need, but I don't know how much it should last for. While I have some income and it's likely it will increase over the next 6 months, it's not guaranteed and I think I should assume it won't go up, just to be safe.
So how long do I need to be able to run on this 1st investment? 6 months? 12? 18?
The 2nd one is http://www.axelspringerplugandplay.com/ . Axel Springer is this huge publishing house (the largest in Europe), they have numerous big newspapers (Bild, for example). I'd spend 3 months in Berlin working in their office along with other startups. 25k EUR for 5% equity. Demo day. They recruited in Berlin and Krakow (application -> short pitching & Q&A), so I guess most of the participants will speak German. They started a year ago.
The third is http://startupsauna.com/ . Their recruitment process was much cooler, it involved a few hours of 1 on 1 coaching sessions with 6 mentors. It's 1 month, more business oriented (no time to work on a product) and no money/equity involved (they're a non-profit). They said there's a 10k EUR convertible note along with a 30k grant from Finnish govt. The program ends with a demo day they organise at the Slush conf. They started in 2012.
Both offer mentoring, workshops, all the good stuff. Same with a trip to the Valley for the most promising alumni.
My story: mobile app(s), quite a bit of traction (over 1M downloads), pretty solid plans for rapid and rather inexpensive growth. Enough revenue to support my family, but at least a few months away from that growth. Also need 2-3 people for that (have specific people in mind, Axel Springer's money would make it possible).
This is all I know. I don't have any tools at my disposal to evaluate those two programs. I can't compare mentors, alumni or investor pitching potential. * what's your general opinion based on what you just read? * what questions would you ask the before deciding? * if you know anything about either one of those, please share! * are there some websites that would make the comparison easier for me?
So far I was reluctant to talk to VCs, because I'd lose some control and I'd have to deal with all the stuff I don't want to (incorporating, papers, lawyers, etc.) instead of working on the product. So I came with an idea: since the app's is a _bit_ hot right now and it has to do with finance a bit, I'd look around for a bank which would be willing to pay for the development in exchange for my project helping them strengthen the image of a bank that understands mobile and new technologies. I'd brand the app a little (splashscreen, link to their mobile app in the menu and a few extra sponsored features), I'd mention them whenever I talk to the media. So I contacted a few banks, met with some people and it looks like this thing might happen.
I also spent the last few weeks talking to a bunch of smart people about my project. I figured I might learn from their experience and boy, was I right! I got a ton of good advice (and a lot of praises, which nicely tickled my ego).
The last meeting I had put a lot of question marks in my head, though. I met with Jacob Krzych, CEO of Estimote and an YC alumnus. I got a ton of good advice (thank you, if you happen to read this :-) ), but one thing surprised me, he said it would be a great mistake to do the bank deal. It would be a distraction and I'd have to compromise the UI. I should talk to VCs instead.
Now I'm torn... we're talking about an amount that would let me hire enough people (4-5) for half a year but I have to agree that my app's interface wouldn't be 100% about the user anymore.
What do you think?