When to apply to Y Combinator: the only two things that matter

Executive overview

Most applicants assume they need traction or revenue before applying to YC. They don't. The bar is lower and more binary than people think.

You need exactly two things: a founding team and an idea that team is excited to work on.

Apply as soon as you have those two things — you have nothing to lose.

The two required ingredients

• A founding team: the right set of people to work on the idea
• An idea the team is genuinely excited to pursue
• Traction, revenue, and product are not required
• One quarter to one half of funded companies apply with just these two things

If you don't get in the first time

• Rejection doesn't mean YC won't fund that team and idea
• Make more progress, then reapply
• More progress increases funding likelihood
• No downside to applying early