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This shouldn't be a deterrent for any incubator per se. The value of your idea will purely depend on the size of the market in dollars that you're planning to attack. YC is an investment business where they make bets for the maximum return, so if the outcome of your focus realistically means your business would top out at a million dollars a year in revenue, then no, they won't be interested. You'll need to compete on estimated ROI with all the other applicants which basically boils down to projected return and percent chance of success. If you're attacking a somewhat smaller market, but your chance of success seems very high, then they will be just as interested.

If you haven't already, get a book that talks about estimating startup value, and then create some rough numbers.

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