

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

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?
======
staunch
YC takes common stock. They suffer dilution the same as the founders.

~~~
phil_KartMe
Thanks. Has this been true every year?

~~~
staunch
Yes.

