**Y Combinator: Do I stand a chance?**
https://andrewchen.co/why-investors-dont-fund-dating/
Y Combinator: Do I stand a chance?
I'd love to get in to Tiny Seed. But I've read @robwalling Start Small, Stay Small and know I'm not his SaaS cup of tea. Would my standing be any better with Y Combinator? Dating apps don't get even a half-night stand with investors. And given that my app slips every now and then into the sex-positive and erotica arenas, I suspect it would be ghosted even more so.
Plus, I've launched for a month, only have 100 users and 3 paying customers... do those stats suffice for traction?
Looking forward to fellow IHers advice!
So the generic view from some of the larger VC’s is that dating apps are notoriously difficult to monetize 10x the investment in the 5-7 year window. While that is true there are success stories based on niche based dating apps and there is still money being poured in. So whether you will have traction in YC I am sure none of us can predict for sure.
I have over the years put in various Yc applications and got to an interview round with them with just once where we didn’t make through. But the value is in the process of going through the application. It helps answer you a lot of critical questions about your idea or product.
Your traction numbers are not going to be evaluated in isolation. It’s going to be evaluated in conjunction with your story, background and the process you are using to get traction. So maybe for your process 3 paid and 100 free members are good enough.
So I would suggest you go ahead and do the complete application with your most transparent and illuminating view of your product. I learnt more by the time I filled in the application about what I want to do with my startup than waiting for the YC result.
Also Bumble CEOs have a fund to help women entrepreneurs and considering you are creating in their industry it might be a good one to look into.
Happy to chat if you have any questions.
This is very true and a good point.
I would look at it as two phases: first you need to get them interested, and then you need to convince them / address their objections.
For @Harlem's situation, I think the first phase will be 100% traction. The difficulty in growing a dating app is by far the biggest challenge. Without any traction whatsoever, I would be very surprised if her credentials or idea or story were enough to get them interested.
The second phase occurs once they've taken interest and want to dig a little deeper, and potentially have some doubts. In that situation, if your traction is massive, then it will pretty much speak for itself. But that's very unlikely for anyone, and won't be the case for Harlem. To the extent that your traction doesn't do that, you need to spin a convincing story/strategy showing that you can grow to a massive size and that you're an extremely competent founder.
(Grinning) I hate to prove folks wrong, but when pushed into a corner...
Not trying to hate 😇
Just saying, in your shoes, my approach would be #1 focus on traction, and #2 have a good story to supplement that. I have a good friend who got into YC last year, and I coached her through interview prep, and this was pretty much our strategy. (Traction for her was easier, though, because it was just 1-on-1 sales, so she could brute force it.)
Getting in on 100% traction is probably possible, but my guess is that the numbers you'd need are off-the-charts crazy.
Very informative answer and on point. Nice!
Agreed!
Many thanks for taking the time to reply!
(And I had no idea re Bunble's fund! That's a fab share!)
And great perspective to think of the application process as a learning opportunity!
To my knowledge, YC has funded at least two or three dating apps. If I were in your shoes and I wanted to get my foot in the door, I'd focus on traction. Traction is rapid growth over time. In other words, you need multiple data points, not just your launch month. The application deadline is 2 months away. That's not a lot of time, but it's not nothing.
Consider your personal goals, too. Going the YC route means there will be a lot of pressure to not only demonstrate that you can become a billion-dollar company, but to actually take steps in that direction. In the short term, that means there will be more of a focus on growth and fundraising than there is on profitability.
Perhaps that's the route most dating apps need to take to reach the scale at which they become useful, due to network effects and all that. But perhaps there's another path for you with a few tweaks.
Definitely hear you re "is VC what you really want?" I've gone through three rounds for a prior manufacturing business (2 successful, the last a #HardFail) and I know the pressure inherent with investors. I'm on the fence if I've the wherewithal for another dance.
And I like the idea of seeing what I can do with Happy Endings for the next six weeks in terms of traction. And then deciding whether the resulting growth is worthy of YC consideration.
Many thanks for chiming in!
One of my friends recently got into YC with a dating app for lesbians[1], so it's not like YC is actively avoiding the market. And I went through YC back in 07 and occasionally help with judging applications (as do many alums), so I've got a better-than-nothing sense of what they look for.
But at the time they got accepted, HER wasn't just an idea or a proof of concept. They were similar to Facebook, in that they would gain 100,000 users in a weekend whenever they opened access to a new city, and they were growing at something insane (like 10% per week) even doing everything they could to restrict access.
So their pitch wasn't just about some insight into dating and apps, but rather was about demonstrating that they had obviously hit a nerve, and would like to keep doing what they were already doing. Plus, they also did have a keen insight into why lesbian dating is different from gay/straight/whatever stuff, and why the big players in the other verticals couldn't just reapply their existing products to serve lesbian users.
It's easy from the outside to think that an early-stage funding pitch is all about the idea, but it's more importantly about the traction (or at least some sort of irrefutable evidence of customer demand, even if you aren't growing fast yet).
[1] https://weareher.com/
(Smiling) Hanging around these IH parts, one learns quickly not to put the stock in the idea, but the execution. My question wasn't intended to ask, "Is my idea good enough?". But rather, "Is this an industry that YC humors?" Based on your post the answer is yes. If the traction is tasty.
(And Her is a fab app!)
Thanks for responding!
Yes, you have a chance. 3-in-100! ;)
Thanks for the response. The question was more about "product/market fit" than the well-known stats! Would love to know your opinion about the former...
Hmm. Not sure. But I do have an interesting idea for a disruptive business model for your app. I'm not sure the best method to convey. Happy to post here in public, or send an email. LMK!
Post away. Maybe we can all benefit!
If you don’t mind. Can you clarify for me:
exactly how many paying customers you have.
What plan they are on, how much they pay, how regularly?
Do you have a free plan/trial of any kind?
Are you finding it easier to get ladies or gentlemen?
Thanks!
Ps I did look at your previous posts I “think” you have 3 paying customers and I’m not sure about free/trial
4 paying. 2 on the $21 and 2 on the $9. Here's the link for subscriptions:
https://happyendin.gs/images/subscriptions.png
Ah, got it, thanks. FYI: Sent email with the business model to the email listed on your site not sure if it hit a spam catcher.
Sure! I can't post right now because, need to get to bed, and tomorrow will be busy. But will try to get it written up tomorrow eve. or Mon.
This comment was deleted 7 years ago
Cool. Thanks for chiming in with the sage feedback!