[plinkplonk]

from last years FAQ

""When the company is formed we set up a bank account. When the bank account is set up we deposit a check for the full amount of our commitment ie. 5 Lakh directly into it. A company secretary is brought in to distribute funds from the company checking account as per the budget instructions. Adjustments to the budget can be made at board meetings. Founders do not have direct check writing control of the bank account."

Has any of this changed? (If not this is a sucker deal, hardly "YC style")

earlier discussion http://news.ycombinator.com/item?id=842150

[karam]

So here's the thing... A vast majority of people who apply to us tend to have just graduated out of college and have never managed funds of any sort before. The idea behind putting a budget in place is only to give them financial structure and inculcate a sense of frugality.

That being said, if a founder tells us they'd like their money up front, we'll write them a cheque.

[plinkplonk]

" A vast majority of people who apply to us tend to have just graduated out of college and have never managed funds of any sort before."

In other words you think people just out of school can't handle 10k$ without board meetings but you want them to build great companies for you. That makes sense ;-)

This (majority of applicants being graduates) is true for YC (and other funds) too. PG and co don't sit around holding board meetings every time a founder wants to buy a laptop or a monitor.

"That being said, if a founder tells us they'd like their money up front, we'll write them a cheque."

This is good to hear. Founders (desperate enough to go with these guys), do demand your money upfront.