All #AskJason: Which will have bigger impact on the VC market: the AngelList fund or YC fund? | Summary and Q&A

TL;DR

Both Angelus's $400 million fund and YC's Continuity Fund will have a positive impact on the VC market by providing additional funding options for startups.

Key Insights

• 🪡 The angelus's $400 million fund and YC's Continuity Fund will provide much-needed funding options and extended runway for startups.
• ⌛ While they won't dramatically change the VC market, they will benefit startups by offering them more time to develop and gain traction.
• ❓ YC's Continuity Fund is not meant to compete with other VCs, but rather to stay involved with their successful companies.

Transcript

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Questions & Answers

Q: Will Angelus's $400 million fund have a significant impact on the VC Market?

While the fund is relatively small compared to the overall VC market, it will provide startup companies with extra months of runway, which can be beneficial for their growth.

Q: How will YC's Continuity Fund impact other VCs?

The fund aims to support successful companies that come out of YC's incubator, rather than competing with other VCs. It allows YC to stay involved with their biggest companies.

Q: What kind of startups will benefit from these funds?

Both funds provide additional funding options for startups, offering them more time to figure out their business models and gain traction before approaching traditional VCs.

Q: What is the purpose of YC's Continuity Fund?

The Continuity Fund allows YC to continue supporting and funding successful companies that have grown beyond the initial stages, enabling them to keep growing.

Summary & Key Takeaways

• The $400 million fund from Angelus is expected to provide investments of $100,000 to $300,000 per startup, which will offer extra runway for the companies.

• YC's Continuity Fund aims to stay involved with the big companies coming out of their incubator, providing funding for the successful ones.

• While these funds won't dramatically change the VC market, they will provide valuable resources and extended runway for startups.