Do Technical Founders Need Business Co-Founders?

Whether or not you need a co-founder is always a hotly debated topic - but going one level deeper, founders often wonder what kind of co-founder they need. It’s also common for technical founders to be told by investors and advisors that they would benefit from a co-founder with non-technical expertise in things like business or marketing.
Are they correct? Dalton Caldwell and Michael Seibel dive into exactly that question.
Apply to Y Combinator: yc.link/DandM-apply
Work at a Startup: yc.link/DandM-jobs
Chapters (Powered by bit.ly/chapterme-yc) -
00:00 - Coming Up
00:31 - It's Complicated
01:10 - Tasks
03:06 - Ability vs. Appetite
04:12 - Technical Problems
05:58 - Examples
07:21 - Helpful vs. Necessary
08:19 - Fake Limitations
10:20 - Outro

[@ycombinator]

What type of background are you looking for in a co-founder?

[@pandalife1313]

a co-founder who can market/sell/do business for the business. Because personally i'm technical

[@jamesclerkmaxwell8020]

Honesty

[@ashrahman_]

How I see this is, business co-founders can do wonders for a startup, getting from 0 to 1 fast. But a lot of them are full of fakes - promise the world and deliver nothing. Finding the right business co-founder is time-consuming - the time that a tech cofounder can use to get to the market and sell to users.

[@hannah__jemima]

most important for me would be someone i can trust. so ideally someone i was good friends with before money was on the table. who i can be sure will look out for my interests equally to theirs. that is a lot to ask, so i'm trying to do it alone. i've put in so much work already that i don't want it stolen from me somehow.

[@yashrajshinde1085]

Someone who can move mountains!

[@neugey]

As an entrepreneur who is still a one-man-army that will launch this summer, the non-technical stuff is sometimes a godsend. Taking a day off to work on the business plan or write copy has recharged my batteries and kept me going on the heads-down technical aspects.

[@cherubin7th]

Doctor for medical software sounds like a technical founder to me, even if they don't code. I think in this case, a doctor learning to code is easier than coders learning medicine.

[@umeshfav]

Correct. Anybody knows proven technique is technical. I think they are talking from solution domain technical ppl. ( Computers) Ofcourse with zeal n aptitude ppl can n do jump in different technical landscape n do wonders.

[@iamvalenci4]

a technical founder is someone can build stuff

[@me.account9690]

Code is about information and logic mainly logic, and thats it

[@michael20051994]

Yeah but doctor cofounder aren’t medicine-ing as a cofounder. They are doing sales, a non technical work. Coders are coding. Logic here doesn’t check out (this is why you need a technical founder…!)

[@RR-et6zp]

Nah

[@omnijack]

From a technical founder to any despairing MBAs: you can still serve as a technical founder by leaning into your (non-professional) interests for inspiration. Don’t give up.

[@daniel-at-privacylabs]

I think an interesting follow-up conversation is about separating or sharing responsibility with co-founders. A technical founder with a non-technical founder can do well to reduce internal strife with clear responsibilities.

[@simmsa24]

I think a better question to ask as a technical founder is will I effectively accomplish the necessary roles of a business co-founder. If not, why not focus on your core-competency and partner with someone who has that interest, background and ability. I also don't agree with Dalton that every technical cofounder is qualified to do theses tasks, that has not been my experience. Just because something can be learned more easily doesn't mean that someone will be able perform well at a new role. If this were the case there would be no need for sales managers.

[@jaffarbh]

Thank you so much guys for responding and making this video. I truly appreciate it. As a tech founder myself, I started by building the MVP and talking to potential customers but things have quickly started to get out of control and I found myself having to learn many (many) new skills. In my particular case, founding a co-founder who is now the CEO has been the right choice. I can focus on product development (which is a full-time job) while my co-founder deals with non-technical affairs. Of course, your mileage may vary.

[@jonassteinberg3779]

haha that's awesome, though!

[@nickd717]

You need someone who has the skill set to be great at the outward-facing tasks - fundraising, sales, talking to users. Being okay at those tasks vs. excelling at them can make a big difference. Some technical founders can do it/learn it while others struggle. But an A+ player in those areas is hugely valuable regardless of whether they’re technical.

[@sputnik8543]

The simple answer is YC rarely backs solo founders, the team should have breadth, operator and technical, you’re good to go. Any technical founder may think code is the most important thing, but ultimately if you’re in a winner takes all market, it becomes scale of operation that will assure victory

[@pandalife1313]

As a Saas founder I've learnt a lot from listening to this channel videos when Michael and Dallton have this important conversations.

[@Salvatoreluciano.]

Hey I saw your comment in what you’re looking for in a founder. I feel like I can help you with the buisness side you got a WhatsApp number or email?

[@srzurka]

I think I could enjoy watching Dalton and Michael talk about anything.

[@SHELDONSMITH]

"If your start-up is focused on B2B sales, you most likely won't need a business founder. However, if your start-up is focused on B2C sales, you will definitely need a business founder. It's worth noting that every start-up example that didn't require a business founder was created during the infant stage of the internet."

[@mantwal]

Technical founders may or may not need a business co-founder. But definitely the business skills. Else the world would haven't witnessed Google, FB or Microsoft.

[@rv8804]

Which can be learned much easier than having to learn the technical/coding stuff like they said lol

[@ayrmendina8314]

@@rv8804 But difficult to do at the same time. That's why if you're starting a startup, you can't be the best coder in the company and likely be equally skilled/knowledgable of the market jargon/go-to-market/business skills without wasting precious time (not in seconds/minutes.. but months/years). There's so much to do that to move asynchronously is too slow. Especially if your startup starts getting traction.

[@Leto2ndAtreides]

I feel the question is more "Do you need a Sales / Marketing / Business Co-Founder" or do you need employees who take ownership, that can cover that? Of course, being able to hire people would mean that you've already made some money or already landed funding. The problem with co-founders is that you don't always have the same values. And being married to someone you have questionable compatibility with, "just because you need a co-founder" can be problematic. There's also another question of what kind of thinking is required to understand your market... And whether the Tech-Founder is suited to getting it.

[@ishangoswami9462]

*I am a technical cofounder and did my bachelor's in computer science, and I love these videos but I kinda disagree with their obsession of technical cofounders*

[@user-uq4qv1ei3l]

I think the key is the definition of a “technical co founder” I have an electrical Eng background but would consider myself “non technical” (not a coder. As went into growth marketing (getting customers). I believe the quality of the “business confounder” make a huge difference.

[@chaz_evans]

I needed this exact answer in this exact moment. Thank you!

[@felipevaldes7679]

Here is a summary of the key points from the document: The document is a transcript of a video discussing whether startups need a business co-founder. The main points are: Startups have many tasks that need to get done that don't require coding, like legal/administrative work, talking to customers, hiring, sales, fundraising, etc. These are "smart generalist tasks" that either a technical or non-technical founder could potentially take ownership of. The key is having someone on the founding team who has the appetite and vigor to adopt these business-related tasks, not just the ability to do them. Many hugely successful companies like Google, Nvidia, Microsoft, Facebook had technical co-founders only. So a business co-founder is not an absolute necessity. However, sometimes industry expertise can be helpful - e.g. if you're selling to lawyers, having a lawyer co-founder who understands that industry. When investors advise startups to get a business co-founder, often they're giving polite feedback that the founding team lacks appetite or skills in some area. But the founders could develop those themselves. The most important reason to have a co-founder is emotional support through the difficult startup journey - not because one person uniquely fills a business skill gap.

[@amorosogombe9650]

I love these talks. So very true and real.

[@CorvusLink-23]

Great points - there are multiple ways to round out the team!

[@marcelriedeman9286]

Thanks guys! These videos help a lot

[@johnstalkernet]

I think something that paralyzed me initially was researching “business-y” things in order to be a startup founder. I’ve learned that you just need to learn what you don’t know when needed and then just be willing to do it. “Overnight expert” is overrated.

[@FahmiEshaq]

Learn what you don't know ***when needed*** is key. It works out well with me

[@FIN-LYTbyEWA]

Thanks for sharing! Interesting insight.

[@indighosh]

Valuable as always. For Institutional and B2B markets ideally sales experience is required and thats what typically business people bring. For us it boils down to time reduced for incremental sales, contract value and expedited activation. If the unit is consumer, undifferentiated with data points and no barriers to access, the specialist business founder is unlikely to make sense.Thats Google, Facebook and Microsoft.

[@mohamadmusa3978]

Thank god I needed this ❤🎉

[@boringmanager9559]

That's a good take, that the whole idea of having a business co-founder stems from the feedback, that the technical founder sucks at business tasks

[@Kingromstar]

full stack dev + marketer = win imo. If you have a hardcore sales person then it will fail.

[@pablo.ferrari]

Fantastic video, thanks

[@aniekanakpanamasi4635]

A good C.E.O is a jack of all trade but master of one. As a technical founder it is necessary to know sales in addition to your coding skills. Product and sales are the backbone of successful startups. If you cannot get a good co-founder you can survive with just this two skills.

[@rilwanj]

0:38 I’m a solo founder, I’m lead developer (10 years), product manager (6 years) and user research (6 years), so for now I feel I have enough to get by

[@RocketCarpenter]

What are you building? Looking to network.

[@batuhantekmen6607]

I am solo founder, for b2c ai app as well

[@maciejbratosiewicz7453]

On behalf of all unemployed business students, please delete this video immediately.

[@ismaeltinta6118]

lmao

[@angieisoverit8742]

Same

[@kwatts123]

lol going to watch the video but felt, as someone who has been through this question on technical side (a great one).... The answer is totally YES.

[@batuhantekmen6607]

I have been building ai related software about 6 years, and selling things in e-commerce world for about 2 years. I learn what it needs to be done to make my current b2c ai e-commerce app to survive. Maybe in the future, i will hire people for the marketing, finance and accounting, bc there are lots of ppl who can do these things better than me & there are lots of tasks that can be delegated in those areas. I think I will stay at the product development and software 😂

[@bw-91]

Personal opinion, but I generally believe this is a nuanced topic, and context matters. Plenty of smart engineers that can do both and plenty of MBA’s that can also do the same. Ideally in the right situation neither have to NEED one or the other. Let’s stop with the stark bias please.

[@just1andrew1]

I've developed an interesting metaphor. I always find it interesting to look into the empty black space of a code editor (where there are no characters at all). Without code - you are literally looking into nothingness. It's very similar with the business infrastructure of a project. If there is nothing on business ("business editor" is completely empty) - you are literally coding into nothingness.

[@user-cg2jx3pr9k]

Imho knowing business basics and legal fundamentals is everyones obligation if you are running a startup, the thing of "finding a co-founder" is part of the story telling that ycombinator has in all of their startups backed by them and rises their vaulations with other rounds. Instead do your homework, get proper assessment in legal, accounting, and all the requirements to run a business, then you should start.

[@bya7565]

I LOVE these videos, but my biggest gripe is they never have advice on finding a cofounder if you don't start out with one. I've seen you all talk about the importance of cofounders, and how cofounder are necessary but you've also said that most cofounders that are paired up after a founder has started the startup don't work out because of trust. So the insights are great but I'm yet to actually see an imperical solve from the YC team on finding a cofounder and making it work AFTER a founder has been doing the initial startup work. It's not easy. So thanks in advance if you all ever address this.

[@ninjabastard]

One you thing you have to be careful about with non-tech co-founders is overcompensation. Everyone asks "do even need an MBA bro?" all the time, to the point they overcorrect in both positive and negative ways.

[@estrsb]

2 time founder. Non-technical. Honestly, it's not so simple as these guys describe it. I've met both of them and pitched my company to them - hey Mike, hey Dalton! It's not black or white - technical or not - any founder has to become both. Good founders embrace the aspects they lack and learn them on the fly. Listing off a bunch of big companies and their founders to prove your "point" is garbage! The founders of Google, etc. had to learn skills on the job (either technical or non), or shortcut the process by hiring someone to become the companies they are now. A founder will learn, in real-time running a startup, the things they lack. And if they want their startup to survive, they will learn the traits their company needs to survive. "Appetite" for any task is a luxury. Perhaps "appetite" for creating a startup should *truly* be the topic of this discussion 🤔

[@00doblecero]

the only comment here that is valuable. I'm non-technical, but I learned to code just because at the time it was required to survive.

[@estrsb]

​@@00dobleceroExactly! and on the other side - my technical (very timid) cofounder learned how to talk to our customers and pitch to investors. You have to do it all!

[@b-b0t]

Dalton is always so happy :D

[@user-ud2vq1nr1e]

Ok I'm convinced I need a business co-founder 😊, the thing in my case right now, is that my solution is so narrow, and seems there is no urging need or identified clients.. but technically I'm 100% sure it's going to work... How can I convince anyone to jump on the boat with me 😮😮😮

[@carlosg1535]

“Yes” - Michael Seibel

[@theframe2483]

Hi please make a video about what happened when start-up failed

[@jordiamatller1379]

Where to find business cofounders? Your videos are great

[@vlogmoinc5597]

Came in hot. Good advice

[@ShoaibMahmudOfficial]

Different skillsets together bring excellence.

[@j4k3br4k3]

A "technical" founder can likely do the "non-technical" roles it will just take the company twice as long to grow with 1 person doing both.

[@IITians_analysis]

Calm down business guys, your jobs are not lost by this video.

[@mayanksj]

loved it!

[@user-gk1rp3tz1o]

If you're creating a business in tech you need a business cofounder and a non-business cofounder, if you're creating a business in non tech you don't need a non-business cofounder, if you're creating a project for a science fair or similar, a tech person is enough. If you think a business cofounder job is just sales and email replying, then you definitely need a business cofounder. And if you think a tech cofounder job is just writing code and you can outsource a coder, then you definitely need a technical cofounder. Google and Microsoft are extreme examples, however you can also look at Apple and Samsung.

[@same.7939]

I feel like the fact they mentioned payroll and back office stuff in same breath as talking to customers makes me think Y has a bias of thinking tech founders are more valuable than non-tech founders that actually drive the business strategy and bring in revenue. Also reducing the role of a business cofounder to “emotional support” is surprising. Let’s remember that many startups fail because they can’t find the right customers / GTM for the product, not because the tech was not sleek enough. Don’t kid yourself that tech is everything.

[@JasonBauder-ki9ji]

Is it helpful or useful to apply for a program and wait 6 months to even find out if you can pay to participate?

[@mikefunderburk7965]

This may feel obvious but it's worth saying... all of this advice applies to TECH startups. They made this point in the 'do you need a technical co-founder' video, not sure why they missed it here.

[@jamesclerkmaxwell8020]

Imho- Short answer is no* (*) Obviously, business people are needed in the company - but not necessarily on the Founding team

[@loneranger4282]

I get what you mean, but it's hard to pay someone do be the business person when the company started 1 week ago

[@jamesclerkmaxwell8020]

@@loneranger4282 In such situations, there is a strain for technical types to morph into business types in their spare time, which is doable. The other way around is almost impossible

[@yashrajshinde1085]

Great... As a tech person now my thoughts are validated. I wish YC one day invest in companies totally online. It would be better for far away startups...

[@micah2282]

Is this only for tech companies/ Silicon Valley startups. There are plenty of non tech companies in the Fortune 500 that don’t have a technical founder

[@basilisking1]

Maybe, the best video ever )

[@Musicenerg1]

I might be biased, but I think non-technical (candidate) co-founders can bring great domain experience, insights and a long-term vision that can inspire. They feel and breath the specific market and know how, where and when to act. I'm wondering if more impactful innovation would occur if such non-technical people would more often, and earlier in the process, train and develop themselves in becoming (more) technical... What do you think? I mean I'm clearly a non-tech guy, but I did some coding now and then and I try to keep up with all the latest tech developments so I can have more or less decent conversations with my tech friends and come up with some nice ideas. I just feel that, if I would be able to play around with concepts and frameworks in the tech domain like I do in my daily work from my domain of expertise, that might generate some great stuff. Really curious about your thoughts on this?

[@Musicenerg1]

And another thought I had during the video: What about being a product developer/designer? It wasn't mentioned during the entire video if I'm not mistaken? Do you think a non-tech can't do this or do you consider a product developer/designer a 'tech' person by definition? Of course it depends on the product you're trying to build...

[@p44t47]

How good of a developer should I be to call myself technical founder? Enough to build MVP myself? Further?

[@flaiminjmin]

This is great

[@user-uq4qv1ei3l]

I believe Steve Jobs was “non technical” and essential to apples success?

[@dalecameronofficial]

Honestly believe you guys are doing God's work 🙏 super grateful for the level of insight you guys consistently offer to engineers on a path to building or "founding" the next generation of Tech companies 😂🎉

[@doodlebroSH]

Impressive, lets see Dan Gackle's answer.

[@Jackson_Zheng]

People don't realise how important it is to have someone who has the APPETITE to do sales and take appointments and hire and be public facing. As someone who started in sales and then made a drastic shift to becoming technical, I can't see myself going back, even though I realise it's a part of business. People is just so fucking difficult to deal with lol. I could write code and if it doesn't run, then I KNOW it's my fault. But when I do everything RIGHT and the prospect says no, I get GASLIGHTED into thinking it's my fault. 😂

[@nicolasguillenc]

ME, I tried and now I know know I just want to code and make some money. Entrepreneurhip as a solo founder is for the tough... Respect to the sales people by the way, it sucks to hear a hard no on the phone haha

[@nicolasguillenc]

Loved this video btw, I wish I could find a business guy. I wouldn't mind splitting 50/50 or 60/40 (me 40) if this guy handles all sales and marketing and brings the money! 😂

[@ameliaj4242]

I could be interested in having a chat, would be hell of a story to meet in YT comments and do something successful 😅 where are you based?

[@aslanf3367]

Does anybody know of some social media platform where tech and non-tech founders can meet?

[@ycombinator]

www.ycombinator.com/cofounder-matching

[@aslanf3367]

@@ycombinator Thanks!

[@Afrifama]

I feel like there is a need for Tech founders to have Business Cofounder, I believe their insights and skills are what can make the startup grow beyond code. Personally, I am not a tech guy, I am from the business side and I always love listening to this segment (Dalton & Michael) feels like I am in an MBA Class.

[@ismaeltinta6118]

of course the need is there... vice versa BUT the reason why one might want to go solo is from experience! Finding someone who does a great job with great appetite is the ISSUE!

[@StreamAgency]

YC for the win!

[@AT-qn6zo]

Technical founders get most support from accelerators though. Most non-technical founders are rejected by accelerators.

[@yanfranca8382]

My tip is: make sure you find a great co-founder.

[@markrussellfilaroski5035]

many startups (I have 3 to over 10 million in revenue) often require resilience, determination and creativity ("insights, grit, etc.") beyond technical skills. Successful founders like Airbnb's demonstrate this.Advances in no-code/low-code platforms are making it easier for non-technical founders to build products without deep technical expertise. This could increase the viability of startups founded by business-focused founders. At the same time, some startups are tackling hard technical problems that do require founders with engineering backgrounds. (deep tech and developer tools) But I still think there is plenty of room to improve products from the design seat like Airbnb. and I have worked with many devs who need a extremely detailed PDR to even be useful. (they wouldn't know what to build)

[@PhatPham96]

Design is pretty technical.

[@markrussellfilaroski5035]

@@PhatPham96 I use Figma daily. I get it.

[@AI_news_ru]

As an MBA graduated I feel attacked. Short answer is yes, you don't need us. Call us than you need product-market fit.

[@choilive]

... perhaps AFTER product market fit.

[@AI_news_ru]

@@choilive you are right)

[@Basta11]

Many people who have MBAs would be great entrepreneurs, but that has nothing to do with the MBA. MBAs are a dime a dozen and it’s application is extremely broad. Many MBAs are better suited to corporate machine than to start ups.

[@KeithKritselis]

This is great... I'd like to see a followup where you give tips for Technical founders to find and vet non-technical partners... As the coder and technical one, I have struggled in the past to identify the qualities needed in a successful non-technical founder...

[@chapterme]

Chapters (Powered by ChapterMe) - 00:00 - Coming Up 00:32 - Complicated Question: Do you need a business cofounder? 01:10 - Essential Non-Coding Tasks for Startups 02:46 - Technical people perform tasks more easily than business people 03:06 - Importance of Willingness and Appetite for Tasks 04:12 - Technical person should solve technical problems 05:58 - Examples like Google, Microsoft, and Nvidia show successful companies founded solely by technical founders 07:34 - When selling into industries with knowledgeable non-technical founders 08:19 - Don't let fake limitations hold you back 09:42 - Challenging the Formula for Startup Success 10:12 - Outro: Emotional support needed

[@wepyk6552]

From my experience as a business founder, you guys, engineers, do not need business cofounders. Why? Because to be successful in the startup ecosystem, you need to become a startup acumen. What’s a startup acumen? A startup acumen is a person who is at the same time a business acumen (in form of startup) and a seasoned engineer. If you think you can’t, that’s where failure starts. No one is going to sell for you.

[@michaelfulton1295]

I think business co-founder vs technical co-founder is the wrong delineation. I think your founding team needs the ability and passion to set strategy, develop a product, sell a product and operate a business. If your product incorporates technology, then technical knowledge is beneficial to all of those roles. If your product doesn't incorporate technology, then you need a different kind of knowledge. VCs and Y-Combinator obviously prefer startups with a technology component because technology creates the opportunity for exponential scale, which pays out when successful for investors.

[@cinturonnegro1263]

2:46 important message

[@markg5986]

Apple: ONE tech co-founder

[@p_k_2000]

Can't we just outsource it?

[@oberoidhruv]

Pretty sure they confused Electrical and Electronics engineering when discussing Nvidia

[@williamcain1783]

Start Ups are science. You need a team of qualified scientists to work. But at the same time, there are more than 1 way to win in this game. Just my opinion

[@AZ-zy8sz]

Next startup 100% will have a 2-3 people team, with one technical and one business a must.

[@me.account9690]

Technical is the core of the product, its like the bone and brain of human, but business its heart and everything cell that run through your body to function. Even the TV series, their team also needed a business person to solve those tasks. Comment below if you know who im talking about😂

[@richardhollowayjr]

Oh look it the Sam Altman group

[@djryanashton]

I think the point is that a business comes into existence in support of an idea and in most cases, it’s the techies who’ll be dreaming up those ideas.

[@stevenheymans]

The sarcastic voice of this video is too confusing to me. I personally agree that most of the team should be technical, but also believe most technical teams will fail if they don’t understand that marketing and business has little to do with how smart you are but more with your EQ and very often high EQ and high IQ are not the same people, especially when talking about exceptionally high levels, the probability of finding it in one person decreases drastically so choices need to be made at some point.

[@dom3342]

🤯

[@marionogueiraramos9488]

this stuff again? at this point one wonders why on earth would you even consider yc if you are not a programmer… 🙄

[@Smu2]

I think they aren’t interested in teams that don’t have a technical software engineer founder

[@RR-et6zp]

The answer is no.

[@joeyx4056]

Kind of bias, Steve Jobs wasn’t a technical cofounder but he created Apple which is the best company in the world. I think the product sense and execution are more important than any skills in tech startup.

[@SpiritsBB]

Nuances to what Elon musk said, hiring only engineers

[@harshalchopkar5378]

Need a co founder of web developer contact us if you

[@mightybobka]

A technical founder always can hire a person with business skills or even hire a pack of business persons, so there is no need in business founders at all.

[@newlifeAI77]

н да уж

[@Clyde.artwork]

"full stop" - yikes

[@just.a.viewer]

this episode look like a joking talking show. wow you change your style for 2024 :)

[@r0e19]

If AI can code then why would you need a technical co-founder?

[@andrewsnyder3056]

You need a technical co-founder to slap you when you ask questions like that.

[@jamesclerkmaxwell8020]

AI cannot invent

[@user-zc8ml5ne4u]

Nope! These guys do not know what they are talking about here unfortunately. A start up does not reach any success without customers ok? You need revenue, as much as possible and quick. You need the logos and tje succescases. A technical Co founder are generaly NOT good at sales and making business effectively, its a harsh competition and you could be sitting on the worlds best solution without food on the table if it doesnt sell. And it will not sell it self. Its a huge competition out their generaly speaking. Selling is a craftmanship and a skill and if you do not recognize that and think that anyone can do an excellent job at it given time.. the answer is no. And one of these guys just passes sales a parantesis as easy as officemanagement. Jesus. Unsubscribes. Lost all cred in my eyes.

[@MiroKrotky]

Your videos are way too long

[@ycombinator]

Feel free to check out our shorts: www.youtube.com/@ycombinator/shorts

[@MiroKrotky]

Will do. Tyvm!

[@BizLytInteractive]