"Some of the biggest companies of the next decade won't be software businesses at all. They'll be services companies like insurance carriers and law firms rebuilt from scratch with AI doing most of the..."

"include picking a market, forming a team, building the actual product, serving the customers, the P&L, and whether or not you should even buy a business. One general comment before we get started. We'..."

"FDA consultants, pair them with an AI platform to deliver faster, higher quality FDA approvals. So, what are some of the specific markets we have in mind here at YC? The known good fit markets include..."

"software margin math doesn't apply when you own and operate physical things. It's very hard to create real leverage, though these can be really good businesses. Let's leave this area to the robotics f..."

"first is domain fluency. Direct experience is best, but learned is actually okay. You're selling to skeptical buyers and often regulated spaces. You have to bleed credibility. How you acquire it matte..."

"think deeply about throughput and how they staff their firm. They've integrated shift work into how they serve clients to reduce cycle times and attract the best lawyers on the team. This is a win-win..."

"output. Inconsistency destroys trust, which causes churn. Thirdly, humans in the loop should scale nonlinearly. If revenue scales just in line with the number of humans you add, you'll have major prob..."

"too many too quickly. Assuming you avoid this early demand trap, pre and post sales looks pretty different, too. You have to sell outcomes, not seats or tokens. The pilot is the product. For the first..."

"consultant study versus hourly, which is the norm in the industry. There's definitely two pricing strategies to avoid. Cost plus pricing caps your upside permanently. Don't do it. Straight line underc..."

"know. That depends on your product and your process. Eventually, you want smooth and predictable growth. A great product process is going to smooth out that lumpiness, but in the early days, it'll be ..."

"This is the revenue minus the COGS minus the opex. You will be judged on your operating income in these businesses faster than you might expect. Net income. This is the operating income less taxes and..."

"There's one decent reason to do it. You need a regulatory mode fast, insurance licensing for example, but otherwise this almost never works. So why is that? You just can't acquire a product market fit..."