Graham and Livingston are interviewed together for the first time. They talk about the selection process for Y Combinator companies, how the best founder teams are genuine friends rather than people who are just working together, and why Graham stepped down. Graham on how to initiate a startup:
The best way to start is not to start. Don’t even start a startup. Start a project.
Livingston on whether the firm would consider follow-on investments in successful projects:
We never say never, but the problem is that is that there’s a signaling thing. Follow-ons would hurt the founders who are probably a great investment but that we just didn’t choose to do a follow-on with.