The “credibility” value is pretty huge IMO. If you’re a small startup, the assumption from potential customers, employees and investors is that you’re super likely to fail, probably soon. Because YC companies have a strong track record, you instantly gain credibility with potential customers, employees and investors.

It’s worth 7% of the company for most, because it makes it more than 7% easier to hire, sell and find raise, and those 3 things are the most important things for most startups.