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by DelaneyM 3640 days ago
Are investors weighted by their fund's size? Or are founders told the ranking they were given by each interested investor?

I can imagine many firms go into demo day with the resources and willingness to fund 10-20 ventures, whereas others are looking for only one or two.

I would much rather be the fifth choice of the former than third choice of the latter. If I knew my position in the stack I could figure it out for myself, or it could be calculated for me if YC is trying to avoid the negative consequences of making that transparent.

1 comments

Investors are not weighted by their fund's size - they are ranked by the founders individually. Founders would be able to apply your stated preference for meeting with larger funds or with known high frequency investors, if they were so inclined.
Without knowing how one ranks, though, it's substantially harder to prioritize.

This doesn't hurt the big funds so much as it does the small ones. If I were an eCommerce or Logistics company, for example, there are a subset of niche funds which would be great strategic investors; but knowing they're only going to invest in one or two ventures would leave me disinclined to prioritize them when high-frequency investors are in the mix.

I don't want to kvetch here, it's a much better system than the current free-for-all. But since investors already get the first-mover advantage, it would be nice if entrepreneurs had more complete information.

To carry the theme of relationship analogues in this thread: knowing who's interested in me is great, but I'd rather be someone's dream girl than a fallback or fling.

We do have a lot of context on investors that can help founders when choosing who to meet with. In addition, we're going to let investors specify a reason why they want to meet with each company (optionally). This should give less well known investors who are highly suited to particular companies a chance to get noticed.
> we're going to let investors specify a reason why they want to meet with each company (optionally).

Even better! You guys have really thought this through. :)