Article · browsable library

Business Models & Metrics, Y Combinator Startup Library

Y Combinator · ycombinator.com Free Beginner

YC's Startup Library is the canonical, no-fluff reference on how startups actually make money, curated from partners who've seen thousands of companies. It cuts through business-model jargon with practical framing founders can apply immediately.

  • Recurring-revenue models are more defensible than one-time transactional ones
  • The best model is usually an existing proven model with one thing dramatically improved
  • Who pays, how often, and whether revenue compounds matters more than the model's label

It answers 3 questions

  1. What business model should I choose for my startup?
  2. What's the difference between SaaS, marketplace, and transactional business models?
  3. Should I sell to businesses (B2B) or consumers (B2C)?

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  3. A16z is the definitive source on marketplace and network-effect business models, having funded and studied more of them than... a16z.com Article · long-form article All About Network Effects & Marketplaces Andreessen Horowitz (a16z)
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