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Ask YC: When Y Combinator receives equity, when does it start diluting?

5 pointsby phil_KartMeabout 14 years ago
We've been offered a term sheet from a startup accelerator.<p>I think the terms state that their position will continue to adjust, and not be diluted, until just AFTER we raise a round greater than $250K.<p>Is this typical of accelerators? For example, does Y-Combinator continue to hold its full 2-10% investment just after a $1M round is raised?

1 comment

staunchabout 14 years ago
YC takes common stock. They suffer dilution the same as the founders.
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