Question by question breakdown of the Y Combinator application from a late stage YC alum. I get a decent amount of questions about the application process, and often review applications from folks in my network. A lot of the advice I give is redundant, so this is me "open sourcing" it for everyone.
Advice for every question on the YC app from a late-stage YC alum
Hello! My name is Nick and I went through Y Combinator (YC) in Winter 2018 with my cofounder Finbarr for our software startup, Shogun. Shogun is currently at Series C stage, with 35,000+ customers and $115M in capital raised from Y Combinator, Initialized, VMG, Accel, and Insight Partners.
As a YC alum, I get a decent amount of questions about the application process, and often review applications from folks in my network. A lot of the advice I give is redundant, so this is me "open sourcing" it for everyone.
Worth mentioning: YC gives their own advice on how to approach the application, and I recommend you read it: https://www.ycombinator.com/howtoapply/
Also, the questions in the application can change from batch to batch, and the application is publicly available here: https://www.ycombinator.com/apply/
Please note that I do not represent Y Combinator, nor do my opinions reflect the opinions of YC or the YC partners. This is just my advice on how to think about crafting responses.
Application Questions
Before we jump in, please note that YC questions are subject to change, and the application adjusts based on your inputs (i.e. if you respond "No" to the question "Do you have revenue?", the application won't show you all the revenue related questions). If you don't see one of these questions on your application — don't worry.
Company Section
Company name
This question is self explanatory: put the current name of your company or project. Do not spend a bunch of time stressing over the name for your startup, as it doesn't matter much, and very well may change.
Describe what your company does in 50 characters or less.
Being able to concisely articulate what your company does is really important. This may seem easy, but it's not. Here are some tips on crafting your 50 character response:
- Aim for six to eight words
- Focus on your unique value proposition
- Find inspiration here: https://www.ycombinator.com/topcompanies
- Don't use a phrase like "Uber for X" — unless pretty much anyone would know the established company you're referencing. Everyone knows what Uber is, so it works; "Wolfram for X" doesn't.
- Drop the jargon. Unless you're in a sector like biotech, make it so your parents can understand this answer.
- Write like 25 different versions of it. Choose your favorite.
Don't worry if it's not perfect. This is one of the things Y Combinator actually helps with. Just make sure your response is 50 characters or less.
Company url, if any
Drop a link to your website. If you don't have a website yet, consider how quickly you can create one that looks decent. You don't need to be technical to create a great looking website these days. Here are some tools to consider:
- Webflow: allows you to create beautiful sites with interactions and basic functionality including ecommerce.
- Wix, Weebly, Squarespace: all of these website builders have a very low learning curve.
- Shogun: best for ecommerce specific websites that use a platform like Shopify or BigCommerce.
Even if you don't have a product yet (i.e. a web application), the website can still be a part of your MVP.
If you have a demo, attach it below.
Ideally you have a Minimum Viable Product (MVP). In my experience, the attention span for a product explainer video or demo runs 60 seconds, 90 seconds at most. The shorter the better.
If you're looking for a format, try this:
- 10 second intro stating the high level of what you do and what the viewer is looking at
- 20 second UI feature exploration on your current product's primary value prop
- 20 second UI feature exploration on your current product's secondary value prop
- 10 second outro mentioning a small detail or two that wasn't covered; repeat your tagline
Don't worry if the video isn't perfect or refined; it shouldn't be.
Please provide a link to the product, if relevant.
I recommend applying when you have an MVP, but this isn't a hard requirement. YC will consider applicants at ideation stage, but the more traction you have; the more compelling the market validation is.
Drop the link to your product (i.e. web application, mobile app, website, etc.) in the input field. Include login credentials (username and password) if access isn't public.
What is your company going to make? Please describe your product and what it does or will do.
Brevity is still key. I recommend answering this question in 2–4 sentences. Consider a format like this:
- What your product currently is, and the value it currently provides. 1–2 sentences.
- What your product will become in the long term. 1 sentence.
- The value it will provide at full maturity. Your vision. 1 sentence.
Where do you live now, and where would the company be based after YC?
Simple question. State the location(s). Response should be no more than 2 sentences, ideally 1 sentence.
Founders Section
Please provide some details of the cofounders in the startup.
Most of the detail inputs are self explanatory. For each cofounder: full name, email address, phone number, LinkedIn URL, whether you're a technical founder (yes/no), age, and gender.
Don't BS if you're non-technical; it's fine. Being dishonest is not. Go by their definition, and only answer yes if you are a programmer, engineer, or scientist who can build the product without outside assistance.
When adding the details for each cofounder, note the clarification: "Founders must have at least 10% equity in the company." This should be a clue that major imbalances in cofounder equity can be a consideration. The journey is probably 10+ years before any meaningful outcome, and the founders will be diluted along the way.
Model the dilution with your cofounders at the beginning to avoid surprises. Try it with these assumptions:
- Pre-Seed (YC): 7% dilution
- Seed: 20% dilution
- Series A: 20% dilution
- Series B: 20% dilution
- Series C: 10% dilution
- Series D: 10% dilution
If you need to adjust equity, now is a good time to do it. Cofounder disputes and breakups are one of the top reasons startups fail.
Please record a one minute video introducing the founder(s).
This video isn't a pitch video — they're just trying to get a sense of who you are.
Part 1 (~30 seconds): Founders introduce themselves
- Cofounder name
- Cofounder function (i.e. software engineer, product designer, scientist, salesperson)
- 1–2 companies the cofounder has most recently worked at or started
- Repeat for each cofounder
- One cofounder can add a note on how the cofounders met
Part 2 (~30 seconds): A small bit about the company
- "We're {name_of_startup}."
- State the 50-character description of your company
- State what inspired you to solve the pain point you're addressing
- "And we…" — state an impressive thing or two your company has accomplished: customer count, revenue, product launch, etc.
Keep it under 1 minute total.
Who writes code, or does other technical work on your product? Was any of it done by a non-founder? Please explain.
Part one: State the person or entity that has done the R&D work on your product — specifically engineering and design — and make clear their relationship to the company. 1 sentence.
Part two: Ideally all R&D work was done by a cofounder. If not, it needs to have been contracted properly and you need to own the intellectual property. Address this in 1–2 sentences.
Are you looking for a cofounder?
(This question may appear if you're applying as a solo founder.)
If you are looking to add a cofounder, state so, and include 1–3 sentences on the role you're looking to fill and your efforts so far. If not, state: "Not at this time."
YC actively supports cofounder matching and has a platform for it: https://www.ycombinator.com/cofounder-matching
How long have the founders known one another and how did you meet? Have any of the founders not met in person?
Suggested format (4–5 sentences):
- How long each of the cofounders have known each other. 1 sentence.
- How you met. 2–3 sentences.
- Whether all cofounders have met in person; if not, explain. 1 sentence.
Progress Section
How far along are you?
Stick to the facts of what has happened, not what you believe will happen. Examples of data to include:
- Launched our product/MVP on XX/XX date.
- Have $YYK in annual recurring revenue.
- Have ZZ Weekly Active Users (WAU).
- Achieved {hard_tech/biotech/etc.} R&D milestone.
Keep the answer 2–5 sentences. Be concise and avoid persuasion mode.
How long have each of you been working on this? How much of that has been full-time? Please explain.
Keep the response to 1–3 sentences total:
- How long you've been working on it (from the first line of code, incorporation, first customer conversation, etc.). 1 sentence.
- How much of that has been full-time, for each cofounder. 1 sentence.
- Any unique circumstances requiring clarification. 1 sentence (optional).
Are people using your product?
Yes or no question. Both answers prompt separate follow up questions.
How many active users or customers do you have? How many are paying? Who is paying you the most, and how much do they pay you?
(Appears if you selected "Yes" to "Are people using your product?")
- Part 1: Number of active users or customers. 1 sentence.
- Part 2: Number paying. 1 sentence.
- Part 3: Who pays you the most and how much. Consider using ARPU, ASP, or ACV as your metric. 1–2 sentences.
Total response: 2–4 sentences.
When will you have a version people can use?
(Appears if you selected "No" to "Are people using your product?")
A specific launch date, or timeline if you're in hard-tech (e.g. biotech).
Do you have revenue?
Yes or no question. Revenue means money in the bank or obligated by legal contract and invoice.
We're interested in your revenue over the last several months.
Revenue received per calendar month for the past 6 months. Key notes:
- Do not state cumulative revenue — they're looking for revenue received in that specific month.
- They're not looking for Gross Merchandising Volume (GMV). If you sell goods, use Gross Profit (Total Revenue − COGS) instead.
- If you had no revenue that month, put $0.
- All values should be in USD.
Where does your revenue come from? If your revenue comes from multiple sources, please break down how much is coming from each source.
Include revenue source type (consumers, companies, channel partners, etc.) and revenue model type (monthly/annual SaaS subscriptions, take rate, pre-orders, affiliate commissions, consulting fees, etc.). If you have multiple products or companies, list each as separate line items with a total. 2–4 sentences.
Anything else you would like us to know regarding your revenue or growth rate?
If there's anything important or unique about your revenue not covered above (e.g. revenue due but not yet received, LOIs), address it in 1–2 sentences. Otherwise, leave it blank.
If you are applying with the same idea as a previous batch, did anything change? If you applied with a different idea, why did you pivot and what did you learn from the last idea?
- First time applying: State that in 1 short sentence.
- Same idea, new application: 2–4 sentences focused on measurable progress since your last application.
- Pivoted or new company: 2–4 sentences on what inspired the pivot and — most importantly — what you learned.
If you have already participated or committed to participate in an incubator, "accelerator" or "pre-accelerator" program, please tell us about it.
Include: name of the program, when you participated, the result (did you raise money? get clients?), how much equity you gave and any funding received. 2–4 sentences.
Idea Section
Why did you pick this idea to work on? Do you have domain expertise in this area? How do you know people need what you're making?
Aim for 4–5 sentences total:
- What inspired or compelled you toward this specific pain point. 1 sentence.
- Your domain expertise (or lack thereof — outsiders win too). 1 sentence.
- Market validation data: prospective customer interviews, market research, surveys, product usage, payment data. Focus on primary data where possible. 2–3 sentences.
Who are your competitors? What do you understand about your business that they don't?
Think of competitors in 3 categories: (1) large incumbents that need to be disrupted, (2) the old way of doing things / fractional solutions that need to be stitched together, and (3) other startups that have gained market attention or venture capital.
The answer to this question should never be "We have no competitors." For each competitor set, clarify where they're missing the mark in best serving the market. 3–5 sentences total.
How do or will you make money? How much could you make?
- Part 1: 1 sentence recap of your revenue model.
- Part 2: Total Addressable Market (TAM) calculation in 1–2 sentences:
TAM = total number of potential customers × average annual cost of your service per customer
There is no right or wrong answer — just share the data and the calculation behind it.
How do users find your product? How did you get the users you have now? If you run paid ads, what is your cost of acquisition?
(Appears if you selected "Yes" to "Are people using your product?")
- Part 1: List all active acquisition channels (direct sales, social, paid ads, organic search, content, channel partners, etc.). 1 sentence.
- Part 2: How you acquired your current users, with numeric detail where possible. 1 sentence.
- Part 3: Cost of Customer Acquisition (CAC), if you run paid ads:
CAC = Total cost of sales and marketing / Number of new customers acquired
Total response: 3 sentences.
If you track metrics around user engagement and retention, what are they?
(Appears if you selected "Yes" to "Are people using your product?")
List your top 3 user engagement metrics and their current values in 1–2 sentences. For retention:
Retention rate = (number of users at end of period / number of users at start of period) × 100
State the retention rate in 1 sentence, for a total response of 2–3 sentences.
Where will most of your initial users be located?
Self explanatory dropdown. Choose the country where your initial users will be located.
Which category best applies to your company?
Self explanatory dropdown. Choose the best-fit category.
Equity Section
Have you formed ANY legal entity yet?
Yes or no. The application adapts based on your response.
Please list all legal entities you have and in what state or country each was formed.
List all entities as instructed: subsidiaries, entities in other markets, entities from before a pivot, or entities set up to employ developers or service providers.
Please describe the breakdown of the equity ownership in percentages among the founders, employees and any other stockholders.
Think of the response like a 3-column table:
- Column 1: Name of anyone with equity
- Column 2: Role (title or investor)
- Column 3: Percentage of ownership
If something requires explanation, include 1–2 clarifying sentences.
If you have not formed the company yet, describe the planned equity ownership breakdown.
Same format as above. If you haven't determined this yet, take the time to do so now.
Have you taken any investment yet?
Yes or no. Any investment counts, regardless of amount.
List any investments your company has received.
Think of the response as a 5-column table:
- Column 1: Legal name of investor or firm
- Column 2: Dollar amount invested (USD)
- Column 3: Valuation (pre-money valuation for priced rounds, valuation cap for SAFEs, etc.)
- Column 4: Type of security (convertible note, SAFE, stock)
- Column 5: Investment date (MM/DD/YYYY)
How much money have you raised from investors in total in US Dollars?
Numeric response. Total amount raised in USD.
How much money do you spend per month?
Numeric response. Average monthly spend in USD (default to the average of the past 3 months).
How much money does your company have in the bank now?
Numeric response. Total in your company bank account(s) in USD.
How long is your runway?
Runway = Cash Balance / Monthly Burn Rate
If you have debt or a major capital expense coming up, subtract that from Cash Balance first. Express in months.
Are you currently fundraising?
Yes or no. If you are pitching investors, taking calls, or accepting investments: yes.
Please provide any relevant details about your current fundraise.
Consider including: when you started the fundraise, how much you're aiming to raise, how much you've raised so far, and how YC admittance would impact your plans. 2–4 sentences.
Others Section
If you had any other ideas you considered applying with, please list them.
This is not a trick question — if you have other ideas you're interested in, list them. Suggested format per idea:
- Idea in 50 characters or less.
- 1 sentence on what inspired or intrigued you toward this problem area.
Keep it to 3 additional ideas max. Total response: 2–6 sentences.
Curious Section
What convinced you to apply to Y Combinator? Did someone encourage you to apply? Have you been to any YC events?
- Part 1: What inspired or convinced you to apply. 1 sentence.
- Part 2: Name the person who encouraged you, or state "No one encouraged me to apply."
- Part 3: Name the YC event(s) you attended, or state "I have not been to a YC event."
Total: 2–3 sentences.
How did you hear about Y Combinator?
They're looking for the referral source. If word of mouth, name the person. If Paul Graham's essays, HackerNews, YouTube, etc., name the source. 1–2 sentences.
Key Take-aways
Brevity is key.
If there is any opportunity to use fewer words or sentences; do so. Most responses should be 1–3 sentences, or 3–5 sentences max. YC gets about 20,000 applications per batch. The applications that stand out are the ones that spare the partner the task of separating data from fluff.
Focus on data.
YC partners look for facts and metrics. If any part of the app feels like it's "selling" or "pitching", replace it with facts and numbers. They don't want to be pitched — they're the ones who teach startups how to pitch. They just want the relevant data to make a decision.
Provide complete answers to the questions.
Many questions have an initial question and one or two follow-ups. Address all parts concisely.
Be honest.
There are no wrong answers to YC's application questions, except for dishonest ones. YC is serious about ethics. If you knowingly misstate or withhold requested information, that's grounds for disqualification or being kicked out post-acceptance. The partners have reviewed hundreds if not thousands of applications and can spot BS a mile away. Stick to the facts.
Worth noting
YC applications and interviews can be stressful. The acceptance rate is really low — about 1.5%–2%. Some founders get the perception that if they can just get into YC, they've made it, and if they don't, their startup isn't great. Neither of those things are remotely true.
YC rejects many founders that they eventually accept; so keep working on your startup and applying. Consider this:
- Shogun first applied to YC for the Winter 2015 batch and was rejected.
- Shogun applied again in 2015 to the YC Fellowship program (now discontinued), and was rejected again.
- We then bootstrapped Shogun to about $500,000 and applied for a 3rd time, and were accepted to the Winter 2018 batch.
If you're intimidated by the process, don't be. Treat the YC application like any other task you'd do to support your startup. Get it done, and get back to talking to customers and building product.
I hope this was helpful, and thanks for reading!