32 startup investments: what the 14 that shut down taught me
Since 2016 I've invested in 32 startups, 24 of them backed by Y Combinator. Today 17 are still alive, one had an exit and 14 shut down. Almost half didn't make it, and none has had a big exit yet. This is what angel investing really looks like.
- I started investing after Y Combinator rejected SpeakOn, my first startup.
- I invest tickets of around 25 thousand dollars per company.
- The only exit, Plerk, was paid in shares of the acquiring company, not in cash.
| Data | Portfolio |
|---|---|
| Investor | Carlos Gotlib |
| Since | 2016 |
| Investments | 32 startups |
| From Y Combinator | 24 |
| Active | 17 |
| Exits | 1 (Plerk, acquired by minu) |
| Shut down | 14 |
| Typical ticket | Around 25 thousand dollars |
From SpeakOn to Y Combinator
My relationship with Y Combinator started with a rejection. I applied with SpeakOn, my first startup, and we made it to the first interview. But the app went down under the user load, we couldn't fix it and we didn't get in.
That's when I started connecting with people from YC. Over the years those connections turned into investments: 24 of my 32 startups came out of Y Combinator, from batches between 2016 and 2021.
How I invest
I invest at early stage, with tickets of around 25 thousand dollars per company. It's an amount that lets me be in a lot of bets without any single one being able to break me.
Among the ones still alive are Tovala, Writesonic, Kredi, Fitia, Fondo, Karbon, Leah Labs, Nectome and Cero. Among the ones that shut down there are YC and non-YC companies: Enflux, Construct VR, Airdeploy, Moonshot Brands, Kodda, Skylights, Breadcrumbs, Café, Wayru Network, Kanda, Nestdrop, Pledgecamp, Saphibeat and Tribe.
The only exit: Plerk
Plerk was acquired by minu, a Mexican company. The payment was in minu shares, not cash. To this day there hasn't been a big exit in the portfolio.
What the 14 that shut down taught me
- Almost half will die, even if they come from Y Combinator. 14 out of 32 shut down. Being in YC improves the odds; it doesn't guarantee anything.
- That's why the ticket has to be small. With 25 thousand dollars per company, each shutdown hurts but changes nothing. If a single investment can break you, you're not investing, you're gambling.
- The number of bets matters more than getting each one right. In angel investing, the outcome depends on the few that grow a lot, and you don't know in advance which ones those will be.
- Exits take longer than you think. After almost ten years, the portfolio hasn't had a big exit. You have to invest money you won't need for a long time.
- An exit isn't always money. Plerk sold and the payment was in shares of the acquirer. An exit can just be another investment.
Frequently asked questions
How many startups has Carlos Gotlib invested in?
32 since 2016, 24 of them from Y Combinator. 17 are still active, one had an exit (Plerk) and 14 shut down.
How much does Carlos Gotlib invest per startup?
Around 25 thousand dollars per company, at early stage.
How many Y Combinator startups fail?
In Carlos Gotlib's portfolio, 8 out of 24 YC companies shut down. Across the whole portfolio, 14 out of 32.
What happened with Plerk?
Plerk was acquired by minu, a Mexican company, and investors received minu shares instead of cash.
How do you start investing in Y Combinator startups?
In Carlos Gotlib's case, he started by connecting with the YC community after applying with his own startup, SpeakOn, and getting rejected after the first interview.
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